Back and better than ever: The 529

Making Margin

English - September 25, 2023 12:54 - 28 minutes - 26.2 MB - ★★★★★ - 11 ratings
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Welcome to the Making Margin podcast! Greenway’s team is here to discuss common financial mistakes and to help you navigate them.

Meet the voices behind this episode of Making Margin:

Nick Natalie Jeff Allie

Since its inception, the 529 has been a popular education savings vehicle. Over the years, it has received a few enhancements, but none better than the most recent one thanks to the Secure Act 2.0. We’ll talk about the 529, the changes, and how it might fit into a financial plan.

In 1996, U.S. Senator Bob Graham of Florida, where a prepaid plan was well established, and U.S. Senator Mitch McConnell of Kentucky, which had a savings trust, led a bipartisan effort to provide federal tax relief for all plans, resulting in the creation of Section 529 of the Internal Revenue Code (IRC).

Questions

What have been the changes to 529 plans, previously and in 2023?How should a plan most appropriately be utilized? Who does it make sense for?

Resources:

https://www.collegesavings.org/history-of-529-plans#:~:text=In%201996%2C%20U.S.%20Senator%20Bob,Internal%20Revenue%20Code%20(IRC).

https://finaid.org/savings/state529deductions/