529 tax law change

[brewer12345]

There is currently an article floating around at bankrate.com talking about some of the extraneous tax law changes buried in the 900+ page pension reform bill. No doubt there is more there than they have dug up just yet, but they point out that this law made the tax-free withdrawal of 529 money permanent. Now the gummint giveth and the gummint taketh away, but this change makes me a lot more comfy with the idea of 529 plans for college savngs.

 

[gindie]

You are correct.  I first saw this at Joe's blog at www.savingforcollege.com.

However, the same permanency of improved benefits was not granted to Coverdell accounts.

 

[FinanceDude]

Sweet!! It's about time the govt did something good...........