529 State Tax Deduction Calculator

One of the many important factors to consider when selecting a 529 plan is whether or not your state offers a tax deduction or credit for contributions made to the in-state plan. The 529 State Tax Deduction Calculator helps you quantify the value of your state's tax deduction or credit applied over your investment horizon, given your planned contributions, taxable income and filing status. This will allow you and your advisor to assess the relative importance of this particular factor in choosing a 529 college savings plan, in light of other important factors such as plan investment performance, contribution limits, and additional plan features.

The Calculator allows you to compare investments in an in-state 529 plan that offers a tax deduction or credit to investments in an out-of-state plan where the deduction or credit is not available, illustrating the impact of the potential tax benefit relative to potential plan performance.


Planned Contribution This Year*:    $
Subsequent Annual Contributions*:    $
  * This calculator does not take federal gift tax exclusions into account.
Years Until College:      
State of Residence:      
Filing Status:      Married/Joint     Single  
Taxable Income:    $
Estimated Annual Rate of Return:        %
First State:      
Second State:      
  * Denotes states allowing deductible or creditable
  in-state plan contributions for state residents
 
    
If you would like to personalize your report, please enter the information below:


  Client     Financial Advisor
Full Name   Full Name
      Company
      Address 1
      Address 2
      City
      State Zip
      Phone #
      Email
 
 


© 2017 Wealth Management Systems Inc.
powered by WMSI

 

The above calculator is powered and maintained by Wealth Management Systems Inc.

IMPORTANT: The projections or other information generated by this calculator regarding the likelihood of various investment outcomes are hypothetical in nature, do not reflect actual investment results and are not guarantees of future results. These calculations assume a hypothetical fixed average rate of return that is for illustrative purposes and is not intended to depict or predict the performance of any specific investment for any period of time. The calculation does not account for changes in capital value, but does include potential tax obligations as noted. These calculations are not recommendations, for which an investment professional should be consulted. Results may vary with each use and over time.

This material is provided for general and educational purposes only and is not intended to provide legal, tax or investment advice, or for use to avoid penalties that may be imposed under U.S. federal tax laws. Contact your attorney or other advisor regarding your specific legal, investment or tax situation.

The Texas Tuition Promise Fund® is established and maintained by the Texas Prepaid Higher Education Tuition Board and distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. NorthStar Financial Services Group, LLC, the parent company of Northern Lights Distributors, LLC, is the Plan manager and administrator of the Plan.

Some states offer favorable tax treatment to their residents only if they invest in the state's own 529 plan. Purchasers who are non-residents of Texas should consider whether their home state offers its residents a 529 plan with alternative tax advantages and should consult their tax advisor.

Contracts in the Plan are not deposits or other obligations of any depository institution. Neither a contract nor any return paid with a refund is insured or guaranteed by the FDIC, the state of Texas, the Texas Prepaid Higher Education Tuition Board, any other state or federal governmental agency or NorthStar or its affiliates. The contracts have not been registered with the U.S. Securities and Exchange Commission or with any state.

Purchasers should carefully consider the risks, administrative fees, service and other charges and expenses associated with the contracts, including Plan termination and decreased transfer or refund value. The Plan Description and Master Agreement contains this and other information about the Plan and may be obtained by visiting www.texastuitionpromisefund.com or calling 1.800.445.GRAD (4723), Option #5. Purchasers should read these documents carefully before purchasing a contract.

Comments or complaints may be forwarded to the Prepaid Higher Education Tuition Program, Office of the Comptroller of Public Accounts, at P.O. Box 13407, Austin, Texas 78711-3407, or at 1.512.936.2064.

"Texas Tuition Promise Fund®" is a registered mark of the Texas Prepaid Higher Education Tuition Board. All rights reserved.
©Copyright Texas Tuition Promise Fund. All rights reserved.