How Much Can You Contribute to a Qualified Tuition Account?

We're continuing our college series with an in-depth discussion of 529 plans.

529 plans are incredibly popular in all their permutations. (Many people who are currently participating in a 529 plan don't actually realize it because they refer to it as a pre-paid tuition program.)

They're also under attack. President Obama's most recent budget proposal targeted them for change. (It also targeted Coverdell ESAs.)

Personally, I think 529 plans are often misused and mis-applied. The majority of the mass affluent who participate are simply not getting a huge benefit in exchange for giving up the freedom and flexibility of the money.

But, there are a number of things that can be done with these accounts that are really unique.

Enjoy part 1 of our class today and learn:

• What the differences are between various types of 529 plans.
• Who they're a great fit for.
• How to use them to pay for travel and real estate tax-free.
• The history of the legislation affecting these accounts.

Enjoy!

Joshua

Links:

• A Comprehensive Guide to the Ultimate Education Account a.k.a. the Coverdell Educational Savings Account
• IRS Publication 970: Tax Benefits for Education