Calling all parents, current and former students: tell us about your experience with 529 college savings plans
On Tuesday, President Barack Obama decided to drop his proposal to tax the 529 college savings plans. The decision, which dominated more than a few headlines, came just a week after the president floated the idea as part of his plan to make college more affordable for low-income Americans.
Initially, the White House suggested taxing the plans, which are most commonly used by better-off Americans, to help expand tuition tax credits for the middle class. The proposal would have brought in about $1bn over the next 10 years. The White House might have misjudged their definition of middle class, seeing that the proposal met with opposition from both Republicans and Democrats.
Related: Obama drops college-savings tax as plan to swap out breaks on rich crumbles
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