Are you looking for way to invest in your children or grandchildren’s future? Providing them with assistance for college is a great way to do this. The good news is that there is now a plan that is available that will allow you to put away money, tax free, for college education for your loved ones; a 529 Plan.

What is the 529 Plan?

A 529 is an investment account that would allow you to set your money aside to be used for college for a beneficiary of your choice. Congress has recently passed legislation that makes these plans possible, but laws will differ from state to state. Most states offer a tax deduction and some states even offer creditor protections and other benefits. Each state has an investment company that is operating the plans, so you will need to check with your state to find the particulars in your area.

529s allow you to set up an automatic investment that does not change. This means you can set the amount you wish to be deposited on a monthly basis and that won’t change at any time in the future.

Tax Free College

The best part is, all the earnings of the account are tax free, as are withdrawals, as long as the money is used for college.

If you require legal assistance setting up a 529 or any other elder savings funds, contact Stano Law group.