The Situation

The 529 Plan: What It Is and Isn't

A 529 plan is a tax-advantaged savings account specifically for education expenses. Contributions grow tax-free, and withdrawals for qualified education expenses — tuition, room, board, books, and now K-12 tuition up to $10,000/year — are completely tax-free. It is the most tax-efficient education savings vehicle available.

A 529 funded early is not primarily a savings vehicle. It is a compounding vehicle — and time is its most important ingredient.

— Worthune Decision Framework

• You have children but haven't opened a 529 or investigated education savings options
• You're unsure how much to save, whether to prioritize college savings over retirement, or which state's plan to use
• You've been putting off 529 contributions because the college cost projections feel overwhelming