What is a 529 plan?
A 529 plan is a type of investment tuition savings plan. It is named after Section 529 of the Internal Revenue Code (IRC). Authorized to give “tax-free” status to qualified tuition programs, the earnings also accumulate on a tax-deferred basis and the distributions aren’t federally taxed when used for qualifying “higher education” expenses. The qualifying higher education expenses were expanded to not only include tuition and books but also computers, up to $10,000 annually in […]