529 Plans: Should You Use Them For K-12 Education? – Forbes

Editorial Note: Forbes may earn a commission on sales made from partner links on this page, but that doesn’t affect our editors’ opinions or evaluations.

In 2019, changes to federal law made it possible for 529 plans, tax-advantaged education investment accounts, to be used for up to $10,000 each in student loan repayment and K-12 education, in addition to college costs.
Cash-strapped parents may feel pressure to save for both college and private K-12 expenses. Here’s what to know about whether saving for both is the right choice for you.

What Is a 529 Plan?

A 529 plan is an education investment account generally authorized by one of 50 states.
529 plans come in two forms. One form has investment options, similar to a 401(k), that you can spend on K-12 tuition or the higher education institution of the student’s choice. The other is prepaid tuition plans where