529 Plan Changes Proposed

Paying for College
1

<p>FYI, from the SavingForCollege.com site:</p>

<p>"H.R. 529 would add new tax incentives to 529 plans</p>

<p>(February 10, 2011) - On Feb. 8, 2011, Rep. Lynn Jenkins (R-KS) and Rep. Ron Kind (D-WI) introduced the Savings Enhancement for Education in College Act (H.R. 529), legislation that will help encourage low- and moderate-income families to take advantage of 529 plans to help save for college.</p>

<p>The bill includes the following provisions:</p>

<pre><code>* Reinstates the inclusion of computer technology used by the student as a qualified higher education expense.

  • Extends the current retirement saver’s credit to include contributions to a 529 plan.

  • Increases the number of permitted investment changes in a 529 account within the calendar year from one to four.

  • Allows employers to make matching contributions to employee 529 accounts tax-free up to $600 per year.
    </code></pre>

<p>The bill has been referred to the House Ways and Means Committee."</p>