Biggest pros and cons of 529 plans for college

A 529 plan is a tax-privileged investment account that offers families an easy, low-cost way to save for college. These savings plans grow tax-free and allow tax-free withdrawals when used for qualified educational expenses.

There are a multitude of smart ways to save and pay for college, but 529 plans are becoming increasingly popular. There were over 14.56 million 529 savings accounts nationwide as of June 2020, according to the College Savings Plans Network.

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