Current Monthly Payment (P&I): $0
Principal & Interest only - does not include taxes, insurance, or HOA
Auto-fills from current balance, but you can edit for cash-out scenarios
Monthly Savings Available for 529
🎓 Why a 529 Plan is a Game-Changer
💸 Tax-Free Growth
Your money grows without paying capital gains taxes - ever. Every dollar of growth is yours to keep.
🎯 Tax-Free Withdrawals
When used for qualified education expenses (tuition, books, room & board), you pay ZERO taxes on withdrawals.
🔄 Ultimate Flexibility
Use for college, grad school, trade school, K-12 tuition, student loan repayment, or transfer to siblings. No age limits.
🚀 Roth IRA Rollover Option
Unused funds can roll into a Roth IRA for your child (up to $35k). Tax-free retirement head start even if they don't go to college.
💰 High Contribution Limits
Contribute $300k-$550k+ per child over time. No annual limits like IRAs. Save as much as you want.
🎁 Estate Planning Benefits
Gift up to $95k ($190k married) in one year tax-free. Perfect for cash-out refinance proceeds. Removes assets from your estate while you keep control.
🏛️ State Tax Benefits
Over 30 states offer tax deductions for 529 contributions, putting money back in your pocket each year.
👤 You Stay in Control
Unlike custodial accounts where kids gain control at 18, you manage the 529 indefinitely. Change beneficiaries, adjust investments, or withdraw funds (with tax penalty on earnings) if needed.
📊 Minimal Financial Aid Impact
Parent-owned 529 plans have a minimal effect on financial aid eligibility. Grandparent-owned accounts don't count at all on FAFSA.
Ready to Dive Deeper?
📚 Common Questions About 529 Plans
No! There's no age limit or required distribution schedule. Use it as needed for qualified education expenses whenever they occur.
You can transfer it to another family member (siblings, parents, even yourself!), use up to $10k for student loan repayment, or roll up to $35k into a Roth IRA for your child (must be open 15 years). You can also withdraw with a penalty on earnings only.
Yes! Starting in 2024, you can roll unused 529 funds into a Roth IRA for the beneficiary (up to $35k lifetime). The account must be open 15 years. This creates a tax-free retirement account even if they never use it for education.
College/university tuition, grad school, trade schools, K-12 tuition (up to $10k/year), books, supplies, room & board, computers, and even student loan payments (up to $10k lifetime).
