🎓 529 Plan: Calculator

Project how your tax-free 529 college savings plan grows, and see how it stacks up against future college costs.

Age
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PROJECTED 529 BALANCE AT COLLEGE
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In 0 years, tax-free growth
Total Contributed
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Tax-Free Growth
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Future College Cost
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Coverage of Future Cost
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How 529 Plans Work

A 529 plan is a state-sponsored, tax-advantaged investment account built for education savings. Money you contribute grows tax-free, and withdrawals are also tax-free when used for qualified education expenses — tuition, fees, room and board, books, and even K-12 tuition up to certain limits.

Balance grows monthly: new balance = (previous balance × (1 + monthly return)) + monthly contribution

No Federal Deduction, But State Deductions Are Common

Contributions aren't deductible on your federal return, but more than 30 states offer a state income tax deduction or credit for contributions to that state's own 529 plan — worth checking before you pick a plan, since some states allow you to deduct contributions to any state's plan, not just their own.

Contribution Limits & Superfunding

What If There's Money Left Over?

Unused 529 funds aren't trapped: you can change the beneficiary to another qualifying family member penalty-free, use it for the account owner's own continuing education, or — thanks to SECURE 2.0 — roll up to a lifetime $35,000 into the beneficiary's Roth IRA (subject to the beneficiary's annual Roth contribution limits and a 15-year account-age requirement). Non-qualified withdrawals otherwise owe ordinary income tax plus a 10% penalty, but only on the earnings portion.

⚠️ Important: This is a simplified growth projection assuming a constant monthly return and doesn't account for market volatility, plan fees/expense ratios, or state tax benefits (which vary by state and aren't included here). College cost inflation has historically run faster than general inflation. Consult a financial advisor for your specific education funding plan.

📎 Related Tools: College Cost Calculator Student Loan Calculator Savings Calculator Compound Interest Calculator Roth IRA Calculator

❓ Frequently Asked Questions

What is a 529 plan?
A 529 plan is a tax-advantaged investment account for education expenses. Contributions grow tax-free, and withdrawals are also tax-free when used for qualified education expenses like tuition, fees, room and board, and books.
Is there a federal tax deduction for 529 contributions?
No — there's no federal income tax deduction for 529 contributions. However, over 30 states offer a state income tax deduction or credit for contributions to their own state's 529 plan, so it's worth checking your state's specific rules.
How much can I contribute to a 529 plan?
There's no federal annual contribution limit, but contributions above the annual gift tax exclusion count against your lifetime gift/estate tax exemption. 529 plans also allow "superfunding" — contributing 5 years' worth of the annual gift exclusion at once and spreading it over 5 years on your gift tax return.
What happens to unused 529 money?
You can change the beneficiary to another qualifying family member penalty-free, use it for the account owner's own further education, or — under SECURE 2.0 — roll up to a lifetime limit of $35,000 into the beneficiary's Roth IRA (subject to annual Roth contribution limits and a 15-year account-age requirement). Non-qualified withdrawals otherwise owe income tax plus a 10% penalty on the earnings portion.
Does a 529 plan hurt financial aid eligibility?
A parent-owned 529 plan is assessed as a parental asset on the FAFSA, which reduces aid eligibility by at most 5.64% of the account value — much less impactful than it being counted as a student asset.

🏆 About This Tool — Accuracy & Trust

🔒 Data Privacy: All calculations run entirely within your browser using JavaScript. Nothing you enter here is ever transmitted to our servers, stored, sold, or shared.

📐 Accuracy Note: Rules described (SECURE 2.0 Roth rollover, superfunding, FAFSA treatment) reflect current federal law as of October 2026. Results are projections for informational purposes; consult a financial advisor or your state's 529 plan administrator for your specific situation.

📅 Last Updated: October 2026.

Created and maintained by , founder of Your Calculator Hub · Last updated . How we build and check our calculators. Results are estimates for general information, not professional advice.