South Carolina's Future Scholar college savings plan comes with state income tax benefits, it's not just for college, and contributions can be made retroactively. South Carolina's top income tax rate of 7 percent applies to all taxable income over $16,040, for single filers. They could potentially make a prior-year contribution the same week they file their 2022 income tax return. Since then, the allowed uses for 529 plan funds have only grown due to U.S. law changes. For college savers, contributions can be left to grow for years, and any investment gains are tax-free if used for eligible expenses.

Source: Wall Street Journal January 22, 2023 21:07 UTC