main
community
contact staff ecs twitter facebook

Document Number: 5491

When Saving Means Losing: Weighing the Benefits of College-savings Plans - In recent years college-savings plans, or "529 plans," have become a popular tool used by students and families to combat the rising costs of a college education. This report analyzes the effects of college-savings plans on four family income levels and concludes that these plans may actually decrease the affordability of a postsecondary education. Low-income students, in particular, can see a reduction in the amount of need-based aid they receive if they choose to invest in a college-savings plan. The authors argue there needs to be better alignment of the outcomes of college-savings plans with the intentions of those who created and support them. (Roberto M. Ifill and Michael S. McPherson, The Lumina Foundation, July 2004) ...


Related Issues

Postsecondary Affordability

 
Home  |  About ECS  |  Education Issues A-Z  | Research Studies  |  Reports & Databases  |  State Legislation  |  State Profiles  |  Projects & Institutes  |  Newsroom  |  Website User's Guide
700 Broadway, #810 Denver, CO 80203-3442
Phone: 303.299.3600 | Fax: 303.296.8332
 
©2014 Education Commission of the States
www.ecs.org | ecs@ecs.org
Read our privacy policy