Category:529 Plans

From Bogleheads

The 529 Plans category describes qualified tuition plans, which are tax-advantaged college savings vehicles authorized by Section 529 of the Internal Revenue Code.

The 529 Plan pages provide information on and links to direct-sold state 529 plans. These plans are distributed directly to the investor without intermediation from a sales broker, and do not contain commissions or sales loads. Many states offer multiple 529 plans, which usually include advisor sold 529 plans charging sales loads and commissions. One is best advised to avoid these higher cost 529 options in favor of a low-cost direct-sold plan.

The IRS has announced (Notice 2009-01) that 529 plans will be able to accept two investment change requests per 529 account during calendar year 2009. Prior rules contained a once-per-calendar year investment change restriction.(December 23, 2008)

The increased flexibility is being granted "in response to concerns that have been caused by the recent condition of the financial markets." The change is applicable to calendar year 2009 only.

• Updates to 529 plan news is available at 529 News