Superfunding a 529 College Savings Plan
At ShankerValleau, we frequently advise entire families; supporting each generation as they plan for the next. Wishes for the next generation may include jump starting a grandchild’s college savings or giving a meaningful gift to a cherished family member. But sometimes, an individual’s wish to gift to the younger generation is constricted by gift tax laws. While there are various tools available for making significant, tax efficient gifts, let’s focus on 529 college savings plans and the act of “Superfunding”. What is Superfunding? In 2022, the federal gift tax exclusion is $16,000. A person may give away up to $16,000 …
