Education Tax Planning & Benefits

Maximize education tax benefits including 529 plans, Coverdell ESAs, American Opportunity Credit, and Lifetime Learning Credit.

Education Tax Planning Resources

Maximize education tax benefits through strategic savings and understanding available credits and deductions.

Education Tax Benefits

Education Tax Credits & Deductions

2025

American Opportunity Credit (up to $2,500), Lifetime Learning Credit (up to $2,000), student loan interest deduction, qualified education expenses, and income phaseouts.

Credit Comparison:

  • American Opportunity: First 4 years of post-secondary education, up to $2,500, 40% refundable
  • Lifetime Learning: Unlimited years, graduate school, up to $2,000, non-refundable

College Savings

College Savings Plan Tax Benefits

2025

529 qualified tuition programs, Coverdell Education Savings Accounts (ESAs), tax-free growth, qualified education expenses, K-12 tuition (529 only, $10,000 limit), and state tax benefits.

529 Plan Benefits:

  • Tax-free growth
  • Tax-free distributions for qualified education expenses
  • $18,000 annual gift tax exclusion per beneficiary (can superfund 5 years = $90,000)
  • Some states offer state tax deductions/credits

Education Planning

Contact us for comprehensive education tax planning strategies.

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