Education is the key to a bright future, whether you’re destined for a career in a wood shop, a laboratory, a classroom, an office, or a courtroom. Education opens doors and illuminates possibilities, but it also comes with a price tag.
Every person deserves to have the opportunity to reach their goals, fulfill their potential, and provide for themselves and their families without being forced into debt. Thankfully, qualified tuition plans can help ease your financial burden. Also known as Section 529 plans, they’re a great option for families who want to help their children save money for future educational pursuits.
About Qualified Tuition Plans
There are two types of qualified tuition plans:
- College savings plans, which allow for the tax-free accrual of funds to be used for higher education costs
- Prepaid tuition plans, which allow parents to pre-pay for a college education at today’s rates
Both accounts let the account owner maintain control of the money to ensure that it is used for its intended purpose, or change beneficiaries should the originally intended beneficiary opt not to use the funds. Rules and regulations apply to each plan, so it is important to enlist the help of a tax professional to fully explain the details and help you decide which option works best for your situation.
The team at Taxation Solutions, Inc. has more than 40 years of experience helping families effectively navigate the tax code. Our goal is to help students reach their fullest potential while maintaining healthy finances. We believe that access to a quality education establishes the groundwork for a life of prosperity and purpose. Please do not hesitate to contact us to learn more about qualified tuition plans. A little planning now can make a huge difference in your child’s future!