529 Plans
Texas 529 Plan Rules
Texas's plan is Texas College Savings Plan. Texas has no individual income tax, so there is no state deduction. With no state income tax, Texas does not tax K-12 withdrawals. The plan adopted the expanded federal K-12 expense list.
- Plan
- Texas College Savings Plan
- State tax break
- Texas has no individual income tax, so there is no state deduction.
- K-12 withdrawals
- No state income tax
- Detail
- With no state income tax, Texas does not tax K-12 withdrawals. The plan adopted the expanded federal K-12 expense list.
- Maximum balance
- $500,000 per beneficiary across all Texas 529 plans
- Federal K-12 limit
- $20,000 a year per student
For the federal conditions on tutoring and the full list of K-12 expenses, see Can you use a 529 plan for tutoring?
Frequently asked questions
Does Texas give a tax deduction for 529 contributions?
Texas has no individual income tax, so there is no state deduction.
Can I use a Texas 529 plan for tutoring?
Federal law allows it, and this state has no income tax to apply. With no state income tax, Texas does not tax K-12 withdrawals. The plan adopted the expanded federal K-12 expense list. Under the federal rule, the tutor cannot be related to the student and must be a licensed teacher, have taught at an eligible educational institution, or be a subject matter expert.
Can I use a Texas 529 plan for private school or other K-12 costs?
Federal law allows up to $20,000 a year per student for K-12 tuition and the other listed expenses. With no state income tax, Texas does not tax K-12 withdrawals. The plan adopted the expanded federal K-12 expense list.
What is the maximum balance in a Texas 529 plan?
$500,000 per beneficiary across all Texas 529 plans.
State rules: Texas College Savings Plan official documents. Federal rules: IRS Tax Topic 313 and Public Law 119-21. Read October 6, 2026. This page is general information, not tax advice.
