Tag Archives: 529 plan
Generous grandparents have even more reasons to establish 529 educational savings plans for their grandchildren in 2024 when new Roth IRA rollover provisions are in effect. Generally, contributions to 529 plans grow tax-deferred and can be withdrawn by beneficiaries tax-free when used to pay for qualifying education expenses, including tuition, books, computers, and room and […]
College tuition costs continue to rise, forcing families to plan far in advance for how they will afford the future costs of their children’s higher education. Taking advantage of a 529 saving plan helps families reach these goals while providing significant tax benefits. Contributions you make today to a 529 college-saving plan grow tax-deferred until […]
Effective Jan. 1, 2024, investors with unused dollars in certain 529 college-savings plans can roll their remaining balances into tax-free Roth IRAs for the benefit of those plans’ named beneficiaries without risk of penalties or income-tax exposure. Moreover, investments in Roth IRAs may continue to grow free of tax for beneficiaries to withdraw in retirement […]
Growing a family, buying a home and retiring from your professional career are exciting life events that people talk about but few plan for. If you put off planning for these happy occasions, imagine how little time you devote to preparing for life’s unfortunate realities, such as losing a job, becoming disabled or passing away, […]
529 plans provide families at all income levels with a tax-advantaged method for funding their children’s future education. Generally, contributions are invested and allowed to grow free of federal income tax when withdrawals are used to pay qualifying higher-education expenses, including tuition and fees for an undergrad or graduate school student; room and board, subject […]