Parents faced with the daunting task of paying for their childrens college education continued to put cash in 529 college savings plans, as assets rose to $45.1 billion in the third quarter, according to data released Tuesday by the
"The latest data on cost trends across the nations higher education institutions continue to document the ongoing and critical need for a focused, tax-efficient vehicle for education savings," said CSF Chairman Chuck Toth, in a prepared statement.
Toth said he is hopeful that Congress will support the 529 movement by making the tax-free treatment of qualified distributions from 529 plans a "permanent" feature. At present, the tax-free treatment provision of Section 529 college savings plans is scheduled to expire at the end of 2010.
Net sales of 529s for the third quarter were $2.2 billion, compared with $2.9 billion in the second quarter and $2.9 billion in 2003s third quarter, according to