Navigating the waters of college savings plans can be daunting for parents and students alike, but selecting the right 529 plan is a crucial decision in preparing for education costs. As of 2024, the landscape of 529 plans—tax-advantaged savings plans designed to encourage saving for future education costs—has never been more competitive. In this article, we’ll explore some of the top-rated 529 plans available based on performance, fees, and flexibility.

First on our list is the California ScholarShare 529 Plan. Known for its strong investment performance and low fees, this plan offers a variety of investment options that cater to different risk tolerances and saving timelines. It does not require residency and has high contribution limits, making it an attractive choice for savers nationwide.

Next is the New York’s 529 College Savings Program – Direct Plan. It stands out with its low cost, diverse investment portfolio managed by Vanguard, and withdrawal flexibility. Like California’s plan, it is open to residents of any state.

Another standout is the Utah Educational Savings Plan. It consistently receives top marks for its low fees and quality investment options managed by my529, formerly known as Utah Educational Savings Plan (UESP). Its age-based options automatically become more conservative as the beneficiary nears college age.

The Michigan Education Savings Program (MESP) makes the list with its tax benefits for Michigan residents and a broad array of investment choices that have historically generated strong returns.

Virginia’s Invest529 plan has received accolades for its performance and flexibility. Notably, it also offers FDIC-insured options for risk-averse savers who prefer capital preservation over potential returns.

These are by no means the only outstanding 529 plans available in 2024; Illinois’ Bright Start Direct-Sold College Savings Program and Ohio’s CollegeAdvantage 529 Savings Plan also deserve honorable mentions for their excellent features that benefit savers.

Before selecting a plan, it’s important to consider any in-state advantages like state tax deductions or credits, as well as looking at historical performance and fee structures. It’s also worthwhile to review each plan’s investment options to ensure they align with your financial goals and risk tolerance.

Ultimately, the best plan will depend on your individual circumstances—including your finances, your child’s educational goals, and where you live. We recommend consulting with a financial advisor to assist in making an informed decision based on updated information specific to your situation.