529 Facts
- $100 invested today, will be worth $3,552.83 in 18 years (20% return)
- $100 invested every month, will be worth $196,623.51 in 18 years (20% return)
- 529 savings plans can be used at any school, accredited college or university in the U.S. and some foreign schools.
- Earnings from 529 plans are not taxed when used to pay for eligible college expenses, which include tuition, books, supplies, room, board (food), equipment and transportation.
- The account custodian (parent or guardian) maintains control over the use of the account.
- Some states offer matching contributions and benefits.
- A 529 contribution qualifies for $13,000 annual gift tax exclusion.
- 529 plans come in more than one variety, so check with each plan program for the best one.
- Some states offer an income tax deducation or credit on your contributions.
- There are no income limitations on a person’s ability to contribute to an account.
- You can participate in any 529 plan offered.
- 529 plans are a proactive alternative to student loans.
- Over the past 20 years, college expenses have grown at 10 time the inflation rate.
- High school graduates are more likely to attend college today than in the past.
- College graduates over 25 earn three times as much as workers who only have a high school diploma.
- The gap in earnings between college graduates and high school graduates continues to widen.
- There is no minimum contribution to a 529 fund.
- Is some states, you can contribute as much as $300,000 per beneficiary.
- Prepaid plans are currently offered in 12 states.
- More than $157 billion is invested in 529 plans across the United States.
- More than 12 million 529 accounts have been opened in plans across the United States.
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