529 Plan Rules 2026: What the IRS Says About Education Savings
Sources & Methodology
- Internal Revenue Service (IRS, irs.gov)
- Federal Student Aid (StudentAid.gov)
All figures are estimates based on publicly available data. Use the linked calculators to model your own situation.
Related Calculators
Frequently Asked Questions
What can 529 money be used for?▼
Generally tuition, fees, books, supplies, required equipment, and certain room and board for at least half-time students, plus some apprenticeship and loan-repayment uses under annual limits.
Are 529 earnings taxable?▼
Earnings are generally federal-tax-free when used for qualified education expenses; non-qualified withdrawals are usually taxed and may be penalized.
Does a 529 hurt financial aid?▼
It can affect aid, but a parent- or student-owned 529 is generally treated more favorably than some assets. Confirm with your financial aid office.