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Should grandparents invest in a 529 plan?

Grandparents looking to contribute funds to cover their grandchild's college costs often turn to a 529 plan, a type of account that provides tax benefits for education savings. But grandparents must take steps to get the best value from these plans and avoid hurting a student's financial aid options.

How can grandparents help their grandchildren save for college?

Sign up for Fidelity Viewpoints weekly email for our latest insights. One flexible way for grandparents to help their grandchildren save for college is with 529 college savings plans, which offer an appealing combination of tax advantages, control, flexibility, and minimal impact on student aid.

Should you gift a 529 education savings plan to your grandchildren?

The 529 education savings plan offers an appealing combination of tax advantages, control, flexibility, and minimal impact on student aid. Determine how much control you want to retain over the money you gift to grandchildren. Consider the importance of potential tax advantages in your gifting decision.

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