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What is a 529 plan?

Short answer

A tax-advantaged savings account for education. Earnings grow federal tax-free and withdrawals are tax-free for qualified education expenses.

Rules differ by state. This is general information, not legal or professional advice.

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People also ask

What if my child doesn’t go to college?›Do I have to use my own state’s 529 plan?›How much should I save for my child’s college?›Can grandparents contribute to a 529 plan?›What happens to a 529 if my child doesn’t go to college?›Does a 529 plan affect financial aid?›Should I save for college or retirement first?›

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Official sources

SEC Investor.gov: 529 plansinvestor.gov
IRS: 529 plans questions and answersirs.gov
StudentAid.gov: financial aid basicsstudentaid.gov