Possessing extensive experience in the financial sector, Ricky Mantei serves as the branch manager of Centaurus Financial, Inc., in Lexington, South Carolina. Ricky Mantei oversees four offices of 14 representatives who help clients with a range of financial initiatives, such as saving for education expenses with a 529 plan.
A 529 plan allows individuals to save for college or other education-related expenses. Contributions to a 529 are not tax deductible, but the money placed in the account is allowed to grow without any federal tax implications. Also, as long as money withdrawn from the account is used for qualified education expenses, the withdrawal is not taxed. Other vehicles for college savings, such as mutual funds, involve annual income tax and a capital gains tax at withdrawal, which makes a 529 plan a great deal.
In addition to the federal tax break, more than 30 states provide full or partial tax benefits for 529 plans. States that allow tax deductions or credits for 529 contributions have an annual benefit, so it pays to continue contributions up until the final tuition bill. Furthermore, it’s possible to invest in a 529 from any state, so if a home state does not have resident benefits, another state’s plan may be a better choice.
Securities and advisory services offered through Centaurus Financial, Inc. Member FINRA and SIPC, a Registered Investment Advisor. Centaurus Financial, Inc. and Cola Wealth Advisors are not affiliated companies. Please visit Cola’s website for more information: https://www.colawealthadvisors.com/.
A 529 plan allows individuals to save for college or other education-related expenses. Contributions to a 529 are not tax deductible, but the money placed in the account is allowed to grow without any federal tax implications. Also, as long as money withdrawn from the account is used for qualified education expenses, the withdrawal is not taxed. Other vehicles for college savings, such as mutual funds, involve annual income tax and a capital gains tax at withdrawal, which makes a 529 plan a great deal.
In addition to the federal tax break, more than 30 states provide full or partial tax benefits for 529 plans. States that allow tax deductions or credits for 529 contributions have an annual benefit, so it pays to continue contributions up until the final tuition bill. Furthermore, it’s possible to invest in a 529 from any state, so if a home state does not have resident benefits, another state’s plan may be a better choice.
Securities and advisory services offered through Centaurus Financial, Inc. Member FINRA and SIPC, a Registered Investment Advisor. Centaurus Financial, Inc. and Cola Wealth Advisors are not affiliated companies. Please visit Cola’s website for more information: https://www.colawealthadvisors.com/.
