A new survey from Edward Jones and Morning Consult finds that despite the tax benefits and flexibility of 529 education savings plans, more than half of Americans (52%) don’t know what they are. Only 14% of respondents currently use or plan to use a 529 plan, suggesting that lack of awareness is a major barrier to adoption. 

These plans allow tax-deferred investment growth and can be used not only for college but also for K-12 expenses, apprenticeships, and even student loan repayment, though most respondents were unaware of these options. Financial advisor at Edward Jones stressed the need for more education, noting that advisors can play a critical role in helping families align 529 strategies with broader financial goals. 

The findings come as higher education continues to demonstrate strong long-term value, with college graduates earning about 80% more than those with only a high school diploma, according to the TIAA Institute and Bureau of Labor data. 

Finsum: With more than half of U.S. jobs projected to require a degree by 2031, raising awareness of 529 plans could be vital in helping families prepare for future education costs.