The Education Plan, New Mexico's 529 education savings plan, is a smart way for New Mexicans to save small amounts that can grow significantly over time to cover future education expenses and reduce the burden of student loan debt.
New Mexico’s 529 Education Savings Plan
The Education Plan can help them achieve more with less debt. And there are so many benefits to setting one up.
- Tax-free earnings & withdrawals for qualified education expenses. New Mexico taxpayers can deduct contributions from their state income tax.
- Funds can be used for any level of higher education at in and out-of-state colleges, as well as trade and private schools, online universities, and even many schools abroad.
- It’s not just for higher education. Funds can be used to pay for K-12 tuition and expenses, including books and instructional materials, tutoring, fees for standardized exams, and more. You can also use funds for apprenticeship expenses and credentialing purposes.
- You can open your account with as little as $1. Saving just $500 has proven to significantly increase graduation rates.