Keeping Student Loan Debt Controllable
#6 Read the Small Print on 529!
There are a lot of changes coming for certain 529 plans.
A 529 Plan is an education savings plan operated by a state or educational institution designed to help families set aside funds for future college costs. It is named after Section 529 of the Internal Revenue Code, which created these types of savings plans in 1996.
These are STATE plans, not Federal. This year, North Carolina (as an example) wee end the “up to $5,000” state dedication. Pennsylvania is lowering its fees, and Wisconsin is considering increasing tax incentives.
529 plans can be a great help in planning for college without incurring debt. Depending on your state though, they may not always be your best choice due to fees, or tax incentives.
Read the fine print, be a smart consumer. Minimize you college debt.