Sometimes it’s easier to learn things when it’s fun. So, test your smarts or gain some new knowledge by spotting the lie about 529 College Savings Accounts from the four statements:
- 529 College Investment Accounts can only be used in the state where the account is located.
- 529 College Investment Accounts can be transferred out to first cousin relations of the original beneficiary.
- Grandparents, parents, aunts, and strangers can all open their own 529 accounts to benefit the same child.
- 529 accounts are easy to invest, using target date or asset allocation funds managed by the 529 plan provider.
Drum roll…. If you guessed #1 is the lie, you are right! 529 College Investment accounts are not like the pre-paid tuition plans of the past. The money invested can be used in any state at an accredited school (trade school, too!) for tuition, room and board, books, fees, even a laptop.
Thanks for playing!