529 Plans - A Comprehensive Guide
Author: Daniel Johnson
| CPE Credit: |
1 hour for CPAs
1 hour Federal Tax Related for EAs and OTRPs
1 hour Federal Tax Law for CTEC |
This course provides a comprehensive examination of 529 college savings plans, including their structure, tax advantages, contribution and distribution rules, and advanced planning strategies. Updated for recent legislative changes, including SECURE 2.0 provisions, the course covers the new 529-to-Roth IRA rollover option, coordination with financial aid, multigenerational planning, and integration with other tax-advantaged accounts. Participants will also explore special use cases, such as ABLE accounts, grandparent gifting, and funding strategies for individuals with disabilities.
Stay ahead of the curve and position yourself as the go-to expert for education savings strategies.
Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2028 to receive credits. NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN cardPublication Date: February 2026
Topics Covered
- 529 plan basics: structure, investment options, and tax benefits
- Federal and state contribution limits, gift tax rules, and five-year gift tax averaging
- Qualified education expenses and recent expansion to K–12 tuition and apprenticeship programs
- SECURE 2.0 provision: 529-to-Roth IRA rollover eligibility, limits, and requirements
- Strategies for maximizing state tax benefits and avoiding penalties on non-qualified withdrawals
- Coordination with FAFSA and CSS Profile; impact of parent vs. grandparent account ownership
- Gifting strategies, including appreciated assets and timing to maximize aid eligibility
- Multigenerational planning with “family dynasty” 529 accounts
- 529A ABLE accounts: rules, contributions, and integration with standard 529s for individuals with disabilities
- Comparing 529s to other savings vehicles (taxable accounts, custodial accounts, Roth IRAs)
- Common pitfalls and when 529 plans may not be the most tax-efficient choice
Learning Objectives
- Explain the tax treatment, contribution limits, and qualified expense rules for 529 plans
- Apply the SECURE 2.0 provision allowing 529-to-Roth IRA rollovers and evaluate their planning opportunities
- Analyze strategies to coordinate 529 plans with financial aid eligibility, including grandparent-owned accounts
- Compare 529 plans with alternative savings vehicles and identify scenarios where 529s may not be optimal
- Implement advanced planning strategies such as multigenerational 529 “dynasty” plans and integration with ABLE accounts
Level
Intermediate
Instructional Method
Self-Study
NASBA Field of Study
Taxes (1 hour)
Program Prerequisites
Basic understanding of 529 Plans
Advance Preparation
None
