529 College Savings Plan


Let Harbor Asset Planning help you set up a 529 plan. This tax-advantaged account is used to save for future college expenses. 529 plans are sponsored by each state and also by financial institutions, and provide a variety of investment options. The accounts grow free of taxes, and withdrawals used for qualified education expenses are also tax free. Planning early for a child’s future will provide you with the best opportunity to pay for the ever-rising costs of a college education. A 529 savings plan can be the perfect vehicle for this type of expense.

Tax Benefits and Options

  • Earnings are tax-free for qualified distributions
  • Use your funds at any college in the country
  • Pay for tuition, room and board, books
  • Affordable minimum contributions
  • Low maintenance costs
  • Transfer unused funds to another related child
  • Flexible investment options

Contributions From Grandparents

Grandparents can help contribute to their grandchildren’s education, and many have the resources to help. Opening an account in a 529 Plan or contributing to an existing account is a great way to assist with college costs.

  • Control withdrawals unlike UGMA or UTMA accounts
  • Change beneficiaries to other family members
  • Annual federal gift tax exclusion $16,000
  • Special gift tax exclusion up to $80,000