- The only dedicated higher education saving program available in the U.S. market is the States sponsored 529 Plan. http://www.sec.gov/investor/pubs/intro529.htm
- The 529 plan, named after the IRS 529 code, is a simple saving account offering no guaranteed results. Saving is at the sole risk of the contributor. 529 offers tax advantage on the future payout, if used solely for college related payment.
- The 529 available only for U.S. citizens or permanent residents. No foreign family can join the plan.
According to www.collegesaving.org 2013 529 statistics:
The Need is Acute…529 is the ONLY game in town…. Thus:
$36.4 Billion were saved by American families into the 529 plan, up from $26B a year earlier!!!
500,000 new 529 accounts opened in 2013 up from 400,000 a year earlier.
Almost $70 Billion were invested in the last two years 2012-2013.