A 529 plan is an education savings plan that allows individuals to save for qualified education expenses. It offers the opportunity for contributions to grow tax-free, making it an attractive option for parents and guardians looking to fund their children's college education.
With a 529 plan, one of the key advantages is that withdrawals are tax-free if used for qualified education expenses. This makes it a valuable tool for long-term savings and investment, as the funds can be used without incurring additional tax liabilities.
Fidelity, a renowned investment firm, offers a range of 529 investment options that provide commission-free trading, automated advice, investment research, and other wealth-building products. These features make Fidelity an appealing choice for individuals looking to start investing in a 529 plan.
As the stock and bond markets experience fluctuations, 529 plans have taken a hit. However, it's important to note that there is no one-size-fits-all answer when it comes to choosing the right 529 plan. Individuals have various options available to them, and it's crucial to assess each plan's features and benefits to make an informed decision.
Individuals are not limited to choosing their home state's 529 plan. In fact, Forbes Advisor has compiled a list of the best 529 plans for college savings based on performance, low fees, and investment choices. This list provides a comprehensive overview of the top plans available, including those offered by Fidelity.
Capital Group and Fidelity are recognized as two of the leading investment firms in the industry. They consistently provide excellent investment options and services to both new and seasoned investors. Their expertise and reputation make them trustworthy choices for individuals considering a 529 plan.
Fidelity has recently launched new 529 blend portfolios, further expanding their range of investment options. These portfolios offer diversification and flexibility, catering to the needs of different investors and their specific college savings goals.
