It’s the end of May and since Section 529 of Title 26 of the US Tax Code allows for “qualified tuition programs” the commonwealth of Virginia’s 529 program likes to celebrate and advertise their college savings plans. This year’s benefit: essentially a one-time match! If you open a new account before the end of May(!); set up a recurring debit which has at least 1 contribution and have $50 in the account prior to the end of August, Virginia 529 will make a $50 contribution in your account.
The new tax bill has 5 key changes that taxpayers can expect as a result of this new bill, including:
Changes to the personal tax code
Impacts on business owners and the introduction of the pass-through deduction
The ability to utilize a 529 Plan to pay for private elementary and secondary education
The doubling of the estate tax exemption
Read on to learn more.
I want you to know what a 529 plan is and why it’s worth your consideration if you plan to help someone you care about pay for college.
529 programs are state-sponsored saving programs that you can use toward any qualified higher education institution, even outside of the state’s plan you’ve chosen. It just happens to be that Virginia’s direct-sold savings program (529 inVEST) is quite good.