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Level 1
posted Mar 23, 2024 3:38:52 PM

I work in NY and live in NJ, can I have both NJ and NY 529 plans, and deduct the contributions?

Since I have W-2 income from NY, I must file taxes in both NY and NJ.  

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1 Replies
Expert Alumni
Mar 26, 2024 6:51:48 AM

Yes, you can have 529 plans in multiple states.

If you work in New York and pay New York State income taxes, you may be entitled to a state tax deduction of up to $5,000 ($10,000 if you're married filing jointly) on contributions to your 529 Direct Plan account.

For more information, check NY 529 College Savings Program

 

For NJ , you can deduct up to $10,000 of contributions made during the year into an NJBEST account.

NJ Division of Taxation