The 529 Education Revolution Is Here
Tax-free accounts have become more powerful, but some states are resisting.
A quiet revolution is under way in education policy. On the heels of the rapid spread of education savings accounts at the state level, Congress has made federal policy far more favorable for all types of education: foundational, postsecondary, workforce development and lifelong learning.
By expanding 529 accounts significantly, the One Big Beautiful Bill Act created a new template for education supporting students and parental choice. This new law also tees up battles in states where the status quo isn’t working for the bottom half of the economic ladder.
Like Roth IRAs, 529s let account holders invest after-tax money in stock and bond funds, with income and qualified withdrawals free of federal taxes. For the first two decades after Congress created 529s, the accounts could be used only for higher education. That changed in 2017, when Congress expanded 529s to include K-12 tuition in the Tax Cuts and Jobs Act. Since then, 529s have surged in popularity, with more than $500 billion now invested in more than 17 million accounts.
Pursuit of Happiness
The Rise of Latino America
In The Rise of Latino America, Hernandez & Kotkin argue that Latinos, who are projected to become America’s largest ethnic group, are a dynamic force shaping the nation’s demographic, economic, and cultural future. Far from being a marginalized group defined by oppression, Latinos are integral to America’s story. They drive economic growth, cultural evolution, and workforce vitality. Challenges, however, including poverty, educational disparities, and restrictive policies, threaten their upward mobility. Policymakers who wish to harness Latino potential to ensure national prosperity and resilience should adopt policies that prioritize affordability, safety, and economic opportunity over ideological constraints.
Exodus: Affordability Crisis Sends Americans Packing From Big Cities
The first in a two-part series about the Great Dispersion of Americans across the country.
Stanford’s Graduate Student Union Tries to Stifle Dissent
The university may fire me because I won’t pay dues to a labor organization whose views I find repugnant.
Junk the CAFE Standards
The regulation of air pollution, like that of any other dangerous externality, only works if the appropriate regulatory scheme is put in place at the outset, and that is where the current CAFE framework is fatally defective.
The Significance of “Getting Cheaper” Efficiency
Potter seeks to answer the following question that microeconomists and academics alike reject: How do processes get more efficient?
