Latest / The College Savings Podcast with Fexingo: 529 Plans, Education Funding, and Student Costs
529 Plans Can Now Pay Student Loan Bills Up to the Limit
Episode 107 of The College Savings Podcast with Fexingo dives into one of the most practical 529 updates in years: using leftover 529 funds to pay down a beneficiary's student loans, up to a lifetime limit of $10,000 per beneficiary. Lucas and Luna explain the rule's history from the SECURE Act of 2019, walk through a real example of a graduate with $28,000 in federal loans, and discuss the tax implications for both the account owner and the beneficiary. They also cover state-by-state variations — like Arizona and Kansas that mirror the federal treatment, versus others like…
The skinny
The skinny isn't ready yet — notes appear once the transcript is processed.