|
Replies: 18
| visibility 151
|
Oculus Spirit [85339]
TigerPulse: 100%
Posts: 24920
Joined: 5/21/14
|
Tax Question of the Day, Re:529
2
Mar 28, 2024, 11:13 AM
|
|
I still don't know if our SC-529 contributions are tax deductible.
I did not claim it the first 6 years, then I did claim it the last two years.
The problem is it is a regular contribution into a "FUTURE SCHOLAR 529 PLAN - SC". However, it is being actively managed by Merrill Lynch. Apparently the 529 folks claim they can't even see it on their end.
From Future Scholar:
"It’s true. In fact, South Carolina is one of six states where you can still make a contribution to the state administered 529 plan – Future Scholar – and claim a deduction for the prior tax year, up until you file your tax return."
Those words "state administered" make me think I can't get the deduction. But it's very easy for me to say I contributed $###/mo to a SC 529 plan because I did and therefore, it should be tax deductible??
FYT:
|
|
|
|
 |
Hall of Famer [21940]
TigerPulse: 100%
Posts: 8600
Joined: 9/11/11
|
can't help you
3
Mar 28, 2024, 11:24 AM
|
|
no state income tax = no state tax deductions. sorry, not sorry
|
|
|
|
|
|
Lot o points [155972]
TigerPulse: 100%
Posts: 65837
Joined: 5/6/13
|
Fist bump.
1
Mar 28, 2024, 11:49 AM
|
|
We living the TN Salt Life.
|
|
|
|
|
|
All-TigerNet [12165]
TigerPulse: 100%
Posts: 17895
Joined: 5/16/00
|
Hmmm our SC 529 is/was managed by yours truly
1
Mar 28, 2024, 11:31 AM
|
|
so I just entered our yearly contributions.
You should possibly look at doing that sucker yourself if you are paying any fees to ML
Very easy with the future scholars website.
|
|
|
|
|
|
All-In [42907]
TigerPulse: 100%
Posts: 10448
Joined: 3/1/18
|
I beleef you can deduct contributions, yes. Ask a smart person tho.***
1
Mar 28, 2024, 11:31 AM
|
|
|
|
|
|
|
|
Oculus Spirit [85339]
TigerPulse: 100%
Posts: 24920
Joined: 5/21/14
|
My problem is understanding state administered vs ML administered***
Mar 28, 2024, 11:49 AM
|
|
|
|
|
|
|
|
Lot o points [155972]
TigerPulse: 100%
Posts: 65837
Joined: 5/6/13
|
Mother-in-law?
Mar 28, 2024, 12:01 PM
|
|
Are you FBC?
|
|
|
|
|
|
Oculus Spirit [85339]
TigerPulse: 100%
Posts: 24920
Joined: 5/21/14
|
Merrill Lynch, 2 Rs and 2 Ls is hard to remember
Mar 28, 2024, 1:15 PM
|
|
These are all Parent Contributions, my wife and I both make a monthly contribution.
However, my grandfather did leave his lake house to the great grandchildren for education. Too bad for MsJr, she was so young, she was left out.
|
|
|
|
|
|
Oculus Spirit [85339]
TigerPulse: 100%
Posts: 24920
Joined: 5/21/14
|
Or too bad for me I guess***
Mar 28, 2024, 1:16 PM
|
|
|
|
|
|
|
|
All-In [42907]
TigerPulse: 100%
Posts: 10448
Joined: 3/1/18
|
|
|
|
|
|
Heisman Winner [119741]
TigerPulse: 100%
Posts: 54493
Joined: 6/24/09
|
529 reduces your taxable income***
2
Mar 28, 2024, 11:43 AM
|
|
|
|
|
|
|
|
Oculus Spirit [85339]
TigerPulse: 100%
Posts: 24920
Joined: 5/21/14
|
Thanks Bengaline***
Mar 28, 2024, 11:48 AM
|
|
|
|
|
|
|
|
All-In [46825]
TigerPulse: 100%
Posts: 30733
Joined: 8/11/15
|
Easy Take the standard deduction, get your refund and meat me at Joe's Crabshack***
1
Mar 28, 2024, 12:27 PM
|
|
|
|
|
|
|
|
All-In [26514]
TigerPulse: 100%
Posts: 20654
Joined: 9/2/02
|
You itemized nowadays? The standard deduction is through the roof?***
1
Mar 28, 2024, 1:59 PM
|
|
|
|
|
|
|
|
Oculus Spirit [85339]
TigerPulse: 100%
Posts: 24920
Joined: 5/21/14
|
Yeah
Mar 28, 2024, 2:12 PM
|
|
I do.
|
|
|
|
|
|
Orange Blooded [4095]
TigerPulse: 100%
Posts: 2476
Joined: 11/30/98
|
Re: Tax Question of the Day, Re:529
Mar 28, 2024, 3:50 PM
|
|
2 things:
1) You can take it off your state taxes IF you contribute to a SC 529.
The "state administered" is just their way of saying it's SC's 529 only.
2) There is a ridiculous load in the fine print on SC's 529, like 1% or 1.5% of the YEARLY BALANCE.
It's an advertising fee that does nothing but cost you money. You can avoid some of it if you purchase directly from SC 529 without using a broker.
So, put money into the SC 529 but then move it into a non-SC 529 via transfer.
There is no penalty for doing this.
|
|
|
|
|
|
Oculus Spirit [85339]
TigerPulse: 100%
Posts: 24920
Joined: 5/21/14
|
Our statement says "FUTURE SCHOLAR 529 PLAN - SC"
Mar 28, 2024, 3:59 PM
|
|
but we don't get a tax document for that plan.
We do get a tax document for my wife's 529 that we contribute to directly.
So I'm just going to assume the answer is "Claim all of your SC 529 contributions".
|
|
|
|
|
|
Oculus Spirit [79260]
TigerPulse: 100%
Posts: 24944
Joined: 8/29/12
|
Meant to answer this earlier. Yes it's a taxable deduction, butt for SC
Mar 28, 2024, 4:32 PM
|
|
state taxes only. Does nothing for Federal.
|
|
|
|
|
|
Lot o points [163012]
TigerPulse: 100%
Posts: 31933
Joined: 1/17/07
|
Can you log into the Futurescholar website?
Mar 28, 2024, 5:02 PM
|
|
if you can log into this site and see your contributions, etc., yes, I would take the reduction on the SC return.
https://futurescholar.com
If not, I would contact ML and ask them - is this the SC Future Scholar plan?
McLovin
|
|
|
|
|
|
Replies: 18
| visibility 151
|
|
|
50
