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Illinois 529 plan: tax break and facts

Illinois taxpayers can get a state tax deduction for contributing up to $10,000 (single) or $20,000 (joint) a year, generally only for the in-state plan. Here are the facts on Illinois's direct-sold 529 plan (the one you open yourself, without an advisor).

Plan
Bright Start College Savings
Official site
https://www.brightstartsavings.com/ (the site didn't load for our check)
Program manager
TIAA-CREF Tuition Financing, Inc. (per Illinois State Treasurer, illinoistreasurer.gov)
Expense ratio range
not found
Minimum contribution
not found
State tax break (2026)
$10,000 single / $20,000 joint (deduction)
Tax parity (any state's plan)
No
Max account balance
$550,000

What Illinois law says

Illinois provides a maximum $10,000 annual deduction for individual filers or $20,000 for joint filers.35 ILCS 5/203(a)(2)(Y). Effective for tax years beginning on or after January 1, 2018, Illinois adopted an ABLE account program and provides a maximum $10,000 annual deduction for individual filers of $20,000 for joint filers. 35 ILCS 5/203(a)(2)(HH).

Summary of state law from the ICI 2025 state tax survey; it may predate 2026 changes.

2026 limits and parity: Savingforcollege. Manager, fees and minimum: only when stated on the plan's homepage text we read (2026-10-12); otherwise 'not found'. Check the plan's disclosure document for exact fees.

FAQ

Does Illinois have a 529 tax deduction?

Yes: a deduction for up to $10,000 (single) / $20,000 (joint) of contributions in 2026

Do I have to use my own state's plan?

No. You can use any state's plan; you may lose your state's tax break if your state doesn't offer tax parity.

Estimates, not financial advice. Taxes, insurance, PMI and fees vary by lender, county and city; confirm with your lender, dealer and state agency before acting.