Happy Father's Day!
    As a normal dad does while their son is taking a nap…I was thinking about 529 and tax deductions for different states I am required to file with.

    Background:
    I am active duty military living in CT with my wife (stay-at-home-mother) and son. We are Washington residents. We own homes in VA and CT and just starting renting our VA home at the beginning of this year.

    I have been reviewing 529 for CT/VA and am deciding how to plan out contributions for our children (planning on trying for our second later this year). Neither VA nor CT require us to pay state taxes on my military income, but when renting out our properties we will end up above the state minimum for filing.

    We file joint married and both states offer tax deductions for 529s… VA is 4K/year and CT is 10K/year.

    Question:
    My idea was to contribute to the state 529 we are renting out at the time to lower our tax burden to that state. I think this makes sense, but wanted a layer of backup from anyone with experience in this area.

    Thanks in advance!

    Rental Income and 529s (CT/VA)
    byu/AndrewNP911 inMilitaryFinance



    Posted by AndrewNP911

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