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This Element is an excerpt from The College Solution: A Guide for Everyone Looking for the Right School at the Right Price (9780132365703) by Lynn O’Shaughnessy. Available in print and digital formats.
What you need to know about 529 college savings plans: don’t get ripped off!
Advocates greeted the 529 plan as a way for parents to stuff college savings into special accounts with an attractive tax advantage. The federal government, however, did families no favor by leaving many details to individual states. Financial service companies fanned out across the country to wrestle their own piece of the action. This led to many states approving plans with mediocre mutual funds and bloated fees....