The PATH Act that went into effect in 2015 includes several changes pertinent to 529 plans. The big ones: Computers, peripherals and Internet access are now qualified expenses. So add any money spent on those to what’s on your 1098-t. People with multiple 529 accounts no longer need to aggregate them to determine how much is taxable earnings in the…
Tax time is upon us and with it, questions about form 1098-t. This is the form colleges use to report qualified expenses. The 1098-t is sent to any student who (or on whose behalf were) paid qualified education expenses. Colleges can report expenses two ways: If the expense is reported in box 1, the college is
Lauren Haynes is a fellow financial advisor who blogs about family finance at wordsonwealth.com. Below she offers some guidance on starting a healthy, productive dialog with your teen about college and their future. A 2016 Citizens Financial Group survey said that 57% of millennials wished they hadn’t borrowed so much money to attend college. This statistic leaves parents in a…
Navient, the largest servicer of student loans, has been in the news this past week because it is being sued by the Consumer Financial Protection Bureau and several states’ attorneys general. One of the CFPB’s charges is that Navient steered borrowers into forbearance instead of income-driven repayment, which often results in borrowers owing considerably
Since the end of the Great Recession in 2009, almost all of the economic gains have gone to workers with college degrees, according to a recent report from the Economic Policy Institute. In fact, the earnings gap between college graduates and those with only a high school diploma is larger than it has ever been, with college graduates earning 56%…