Finally, It's for Keeps
What could the Pension Protection Act of 2006 possibly have to do with saving for college? The new pension legislation, which was signed into law in August 2006, made tax–free withdrawals from a 529 college savings plan permanent. Without this legislation, tax–free withdrawals would have expired after 2010. This may have removed a potential source of uncertainty for families who are using 529 plans to help send their students to college. High Marks for Tax–Free Withdrawals Section 529 savings plans are state–sponsored plans that allow families to save for future higher education costs. Contributions are made with after–tax dollars, which…