Why a 529 plan?
529 plans are a tax-smart way to invest for education for children, grandchildren, nieces, nephews, friends, even yourself or another adult. 529 plans:
Offer tax-free investing for any qualified education expense1
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Can be used at all accredited schools throughout the United States and overseas, including community colleges, four-year universities, graduate schools, vocational/trade schools and apprenticeship programs
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Have limited impact on financial aid, depending on who owns the account
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Offer special tax benefits that enable large, tax-free gifts and exclude all account assets from federal estate taxes2
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Allow tax-free rollovers to Roth IRAs up to $35,000 lifetime limit as of January 20243
Why Future Path 529?
Future Path 529 offers full access to investment management and education planning expertise from J.P. Morgan Asset Management. Benefits include:
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A dedicated team to build portfolios, select investments and make adjustments as markets change
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Broad diversification to help increase return potential and manage risk
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Low investing fees to put more money to work toward a child’s future
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Special benefits for Nevada residents and tax-deductible contributions for those living in several other states
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High contribution limit of $500,000 per beneficiary
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Low minimum investment of just $15 with automatic monthly contributions
1 Earnings on federal non-qualified withdrawals are subject to federal income tax and with limited exceptions a 10% federal penalty tax, as well as any applicable state and local income taxes.
2 Subject to annual IRS limits and restrictions see the Plan Description and Participation Agreement for more information before investing.
3 Restrictions and limitations apply, as of January 2024. Consult your financial or tax professional for more information.
Tax Advantages
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Federal tax-free qualified withdrawals.
Withdrawals used to pay for qualified higher education expenses are free from federal income tax, so more of your money can go towards college.*
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Estate tax benefits.
Future Path 529 Account Owners can contribute up to $19,000 per beneficiary each year ($38,000 for married couples filing jointly) without incurring federal gift-tax consequences. You can choose to contribute up to $95,000 per child in a single year ($190,000 for married couples) and take advantage of five years' worth of tax-free gifts at one time.^ (Contributions are considered completed gifts and are removed from your estate, but you, as the account owner, retain control)
Join our 529 savings webinar to learn more
Join us to learn about the benefits of Future Path 529 - Nevada's 529 college savings plan to help you save for future educational expenses.
*Earnings on nonqualified withdrawals are subject to federal income tax and may be subject to a 10 percent federal penalty tax, as well as state and local income taxes. The availability of tax or other benefits may be contingent upon meeting other requirements.
**Upromise rewards is an optional service offered by Upromise, Inc., is separate from the Future Path 529 Plan, and is not affiliated with the State of Nevada. Terms and conditions apply to the Upromise service. Participating companies, contribution levels, and terms and conditions are subject to change at any time without notice.
***If the account owner or beneficiary does not have a Nevada permanent address or mailing address on file, or is not invested in the JPMorgan Stable Asset Income Portfolio, a $20 annual maintenance fee will be assessed.
^In the event the donor does not survive the five-year period, a pro-rated amount will revert to the donor's taxable estate.
