| A 529 Plan is an education savings plan that many | | | | One of the few criticism directed at the 529 plan |
| people use to fund the higher education costs for | | | | was the limited expenditures it could be used for. |
| their kids. The plan has very specific approved | | | | The fees included the basics like tuition, room and |
| expenditures, and a new one has been added - | | | | board, supplies and books. In this digital world, it |
| computer technology. | | | | was rather odd that computers were not |
| 529 plans have long been popular with parents. | | | | considered an accepted expenditure. This is |
| This is due to the fact they provide tax-free | | | | particularly true since many teachers at levels as |
| earnings for the benefit of higher education. Much | | | | low as high school and elementary school now |
| like an IRA, parents can contribute to the funds | | | | post homework assignments and the like online. |
| and what the gains grow tax fee over the years | | | | Going to college without a computer seems |
| until their child is ready for higher education. Higher | | | | practically prehistoric! This oddity has now been |
| education includes college, vocational schools and | | | | changed. |
| graduate school. | | | | |