529 Contribution Limits 2025: Maximums by State, Gift Tax Exclusion, and More

If you’re wondering how much you can contribute to a 529 plan each year, the good news is that the IRS doesn’t set an annual contribution limit. However, there are three types of contribution limits to be aware of when planning your 529 savings strategy:

• Annual gift tax limits. Contributions to a 529 plan are considered gifts by the IRS. If you make a contribution that exceeds the annual gift tax exclusion – $19,000 for single filers, $38,000 for married couples filing jointly in 2025 – you will need to file a gift tax return.
• Yearly state tax benefit limits. Nearly 40 states offer a state tax deduction or credit for contributions to a 529 plan, but most states set an annual limit on the amount you can deduct or claim on your state tax return. You can contribute more than your state’s limit, but you won’t receive any additional state tax benefit on the excess unless your state offers a carryforward.
• Aggregate lifetime contribution limits. Each state sets a maximum on how much you can contribute to a 529 plan for each child over time. These limits are generally very high and rarely get in the way of a family’s ability to save for education.

In the table below, the State Tax Benefit shows the maximum annual contribution that will qualify for your state’s tax benefit, depending on whether you’re a single filer or married filing jointly. The Aggregate Limit represents the most that you can contribute to the plan for a single beneficiary over the lifetime of the account.

Most states require you to contribute to your in-state plan to qualify for a tax benefit. State names marked with an asterisk allow you to contribute to any state’s 529 plan and still receive the deduction or credit.

Want to understand how much that state tax benefit will be worth to you? Use this calculator to estimate your state tax deduction or credit based on your filing status and expected contributions:

How much can I contribute to a 529 plan each year?

There is no annual contribution limit set by the IRS for 529 plans. You can contribute as much as you want in any given year, subject to your state’s aggregate lifetime limit and federal gift tax rules.

However, contributions exceeding $19,000 per person in 2025 ($38,000 for married couples filing jointly) require filing IRS Form 709 to report the gift. These excess contributions count against your lifetime estate and gift tax exemption of $13.99 million in 2025, though most families will never reach this threshold.

What are state tax benefit limits for 529 contributions?

Nearly 40 states offer a state income tax deduction or state income tax credit for 529 plan contributions, but most states cap the annual amount eligible for tax benefits. These limits range from $500 per year in Rhode Island to unlimited in New Mexico, South Carolina, and West Virginia.

You can contribute more than your state’s annual limit, but excess contributions won’t provide additional tax benefits unless your state allows you to carry forward the deduction. Some states permit carry-forward for a set number of years, while Ohio, Rhode Island, Virginia, and Wisconsin allow unlimited carry-forward.

Example: Ohio parents who contribute $10,000 in a single year can deduct $4,000 on their current tax return. The remaining $6,000 can be carried forward and deducted in future years, up to $4,000 per year, until fully used.

What is the lifetime contribution limit for a 529 plan?

Each state sets an aggregate lifetime limit on total contributions per beneficiary, typically ranging from $235,000 (Georgia) to $621,411 (New Hampshire). These limits are designed to cover the cost of attending an expensive four-year college plus graduate school.

Once your 529 plan balance reaches your state’s aggregate limit, you cannot make additional contributions to any plan administered by that state. However, investment earnings that push the balance above the limit won’t trigger penalties. The restriction only applies to new contributions.

Families can exceed a single state’s limit by opening accounts in multiple states. IRS regulations don’t prohibit holding 529 accounts in different states with a combined balance exceeding any individual state’s cap, as long as the total aligns with the beneficiary’s anticipated education costs.

What are the gift tax limits for 529 contributions?

Contributions to a 529 plan are treated as completed gifts for federal tax purposes. As of 2025, contributions up to $19,000 per person per beneficiary ($38,000 for married couples filing jointly) qualify for the annual gift tax exclusion and don’t require filing a gift tax return.

Contributions exceeding these amounts must be reported on IRS Form 709 and count against your lifetime estate and gift tax exemption ($13.99 million in 2025). Does this mean you’ll pay gift taxes on larger contributions? Not necessarily—most families will never reach the lifetime exemption threshold.

You can use 5-year gift-tax averaging or “superfunding” to contribute larger amounts upfront. This strategy allows you to contribute up to five years’ worth of gifts at once ($95,000 per person or $190,000 per married couple in 2025) while spreading the gift tax impact over five years.

Key takeaways

• There is no IRS annual contribution limit for 529 plans—you can contribute as much as you want each year.
• The 2025 gift tax exclusion is $19,000 per person ($38,000 for married couples). Amounts above this require filing Form 709 but rarely trigger actual gift taxes.
• State tax benefit limits range from $500 to unlimited, depending on your state. Check your state’s limit to maximize deductions or credits.
• Aggregate lifetime limits vary by state, ranging from $235,000 to over $621,000 per beneficiary.
• You can exceed a single state’s lifetime limit by opening 529 accounts in multiple states.
• Use superfunding to contribute up to $95,000 per person ($190,000 per couple) in a single year by electing 5-year gift-tax averaging.

Frequently asked questions

Is there a maximum contribution to a 529 plan per year?

No, the IRS does not set an annual maximum for 529 contributions. However, contributions above $19,000 per person ($38,000 for married couples) in 2025 require filing a gift tax return and count against your lifetime gift tax exemption.

Can grandparents contribute to a 529 plan?

Absolutely. Grandparents, aunts, uncles, family friends, and anyone else can contribute to a 529 plan. Each person can contribute up to the annual gift tax exclusion ($19,000 in 2025) without filing a gift tax return. Grandparents can also open their own 529 accounts for grandchildren.

What happens if I contribute more than my state’s aggregate limit?

Once you reach your state’s aggregate limit, you cannot make additional contributions to any 529 plan administered by that state. However, you can open a 529 plan in another state and continue contributing there, as long as the total balance aligns with anticipated education expenses.

Do I lose my state tax deduction if I contribute too much?

No, but you won’t receive additional tax benefits for amounts exceeding your state’s annual limit. Some states allow you to carry forward excess contributions to future tax years. Check your state’s 529 plan rules to see if carry-forward is available.

Can I contribute to multiple 529 plans for the same child?

Yes, you can open 529 accounts in multiple states for the same beneficiary. This strategy allows you to exceed a single state’s aggregate limit or take advantage of different plan features. The IRS does not limit the combined balance across multiple state plans.

What is superfunding a 529 plan?

Superfunding allows you to make a large lump-sum contribution (up to $95,000 per person or $190,000 per married couple in 2025) and spread the gift tax impact over five years. This strategy is useful for grandparents or families who want to jumpstart education savings with a significant upfront contribution.