Monday, March 4th, 2013
Starting a college savings fund is one of the most important things parents can do for a child, but it can also be one of the most difficult—especially for the many who live paycheck to paycheck. Congresswoman Lynn Jenkins (R-Kansas) and Congressman Ron Kind (D-Wisconsin) are trying to make it a little easier.
They recently introduced legislation that would make 529 college-savings plan contributions eligible for a SAVERs tax credit of up to $1,000 for individual filers and $2,000 for those filing jointly. The bill, known as H.R. 529, would also allow companies to match up to $600 annually of their employees’ college-savings contributions tax-free.
“A 529 plan is a powerful tool for helping families cope with the rising cost of college. The improvements in this bill will help put a college degree within reach of more children,” says Hon. Michael L. Fitzgerald, chair of The College Savings Plans Network.
H.R. 529 was assigned last month to a Congressional committee, which will consider it before possibly sending it to the House or Senate for debate. You can show your support for the bill by contacting Eric Schmitz in Rep. Jenkins’s office at firstname.lastname@example.org or by phone at (202) 225-6601. You can also track its progress on govtracks.us.