A 529 Plan Strategy That Could Help Boost Your Financial Aid

The numbers 529 on toy blocks on top of textbooks next to a piggy bank wearing glasses.

Since their creation in 1996, 529 college savings plans have become a popular vehicle to help parents save money to help pay for their children’s ever-increasing higher education costs.

Assets in 529 plans grow tax-deferred, and distributions from them are tax-free as long as they’re used to pay qualified educational expenses for the beneficiary, such as tuition, fees and books.