529 plan

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529 College Savings Plan

An account into which persons deposit funds to save for university-related expenses. The funds in a 529 college savings account are tax-deferred and, if used directly to pay for college, tax exempt at the federal level. They are sometimes exempt at the state level as well. The plan exists in an attempt to make post-secondary education more affordable. See also: IRA, 401(k).

529 plan

References in periodicals archive ?
In Announcement 2008-17 (REG-127127-05), March 3, 2008, the IRS stated it plans to provide formal guidance on how to recognize a loss in a section 529 plan but that in the interim, taxpayers may rely upon the interpretation of Publication 970.
The interest on I-bonds can also be tax-free if they are rolled into a Section 529 plan for your education or that of a spouse or dependent.
Keywords: Asset, Allocation, College, Savings, Taxes, Section 529 Plan
In addition, the generation skipping tax is not applicable to transfers under a section 529 plan.
DeGennaro's paper explores the important distinction between the decision to allocate funds to a Section 529 plan and the decision to allocate funds within the plan.
Similar to the Education IRAs, you can get both the Hope or Lifetime Learning Credit and tax-free distributions from your Section 529 plan in the same year, as long as they cover different expenses.
Arkansas knows that the right education can change the lives of entire families," said Martha Shoffner, Arkansas' State Treasurer and Chairwoman of the Arkansas Section 529 Plan Review Committee, which oversees the Arkansas College Savings Plans.
You have more control with a Section 529 plan than with an education IRA," says Romero.
A QSTP, also known as a Section 529 plan, imposes no age or income limitations on participants, so the benefits are available to all.
Treasurer Martha Shoffner, who oversees Arkansas's 529 Plans in her role as chairperson of the state's Section 529 Plan Review Committee, added: "Arkansas families face plenty of challenges every day, and they are all working to overcome those obstacles and build a bright future.

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