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529 Plans

Using 529-Plan Money for College Overseas

If your son or daughter plans to attend college abroad, here's what you should know.

Question: My daughter may go to college in Europe next year. Can we use her 529 college-savings money tax-free outside of the U.S.? - S.S., Lubbock, Texas

Answer: Yes. You can use 529 money tax-free at any college that is elig­ible for federal financial aid, which includes more than 400 foreign institutions, says Mark Kantrowitz, of Savingforcollege.com. To look up eligible schools, go to www.savingforcollege.com/eligible_institutions.

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