Tax Incentives for Education 

The tax advantages for saving for college, combined with the tax credits and deductions, have never been better, both at the federal and state level.  It’s important to be aware of these tax advantages so they can be maximized.  Parents with children should look closely at the tax savings listed below and start planning now:

1. Section 529 Savings Plans (in New York the plan is called "New York's 529 College Savings Program."

2. Up to $2,500 of student loan interest is deductible

3. Tuition and fees deduction of $4,000.

4. Hope Learning Credit of up to $1,650 time the number of students

5. Lifetime Learning Credit of up to $2,000