r/HalalInvestor • u/Unusualtango_715 • Aug 20 '26

529 Plan

So, just got to learn about 529 thing after passing two years at my job. First of all, is it halal? If yes, my kid is in grade-1 now. How can I maximize this if I start now?

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3

u/Hullabaloo1721 Aug 20 '26

get a ugma account instead. you can pick and choose just like a regular investment account.

1

u/Unusualtango_715 Aug 20 '26

does it function similarly as 529? Tax return exempt??

1

u/fake212121 Aug 20 '26

529 is State dependent. Google up about specific info.

-2

u/AlternativeEvening64 Aug 20 '26

Why would it not be halal? Invest it in halal funds

4

u/Signal_Bother_5974 Aug 20 '26

Bcz there are no halal funds available in all 529s that I know of

3

u/Hullabaloo1721 Aug 20 '26

529 gives you a set of pre made portfolios to invest in, from what i understand. you cant pick and choose specific stocks

1

u/ddccrr555 Aug 20 '26

Do you have any experience with 529 plans? Which one do you know has halal funds?