Feb. 3, 2015
Monica Potts wrote for the Daily Beast on how 529 plans do make college more affordable for low and moderate-income families:
As part of President Barack Obama's plan to make community college free, he included a modest component designed to decrease the tax discount people receive when they save for their children's college. That idea lasted exactly five days before it died in Washington as members of both parties rose up in outrage. It wasn't part of the budget proposal the White house released Monday.
The savings plans, called 529 plans, provide a tax credit that Republicans heralded as aid for the middle class. John Boehner, leader of the Republicans in the House of Representatives, said "529 plans help middle-class families save for college, but now the president want to tax those plans." If you want to score political points, accusing someone of attacking the middle class is always an easy way to do it.