You’re probably familiar with 529 plans. These are great ways to save for college for your kids or grandkids. Your money grows tax-free, and withdrawals are tax-free as well when used to pay for college expenses. That makes for a dynamic combination ensuring your money grows as fast as possible.
Morningstar singled out 30 best-in-class 529 plans in total, ranking them Gold, Silver and Bronze.
The best plans have low expenses (so your money goes farther), good administrative support, and well-designed investment options.
We’re pleased to see that our favorite 529 plans – those we recommend most frequently to clients – are top-ranked by Morningstar.
They agree that these plans offer an amazing way to save for college, and can help you trim the high cost of higher education.
The Takeaway: If saving for college is one of your goals, talk to us or take a look at Morningstar’s list of stellar 529 plans. For most people, 529 plans are hands-down the best way to save for college, offering unbeatable tax, administrative and investment benefits.