[USER]

How does a 529 work in CT for paying off student loans?
Do I just transfer $ into 529, then pay the student loan from 529?

I read up to $10k deduction per year. Is that deduction just for CT taxes, or federal too?

[Jamie]

You simply request a withdrawal and make the payment. Keep documentation to prove how you used the money if audited.

The limit is a lifetime of $10,000 to use toward student loans per beneficiary.

There are other rules related to using 529 funds for student loans so you should read the relevant information in the attached document.

[John]

all growth is fed/local tax free if used for educational expenses. These expenses can be food computers housing tuition etc.

529’s work best if started at birth because by the time the student is 14 or so they shift to bonds for protection and grow very little if at all.

I started one when my kids were born and it covered all expenses. Grandparents can contribute too

[Author]

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