Can a 529 plan actually pay for university outside the United States? Some foreign schools qualify for tax-free withdrawals. Most do not, and most families do not find out which is true for them until they are already trying to spend the money.
Kaitlin Krozel, CPA and founder of Krozel Capital, joins the podcast to walk through how 529 plans work for American families abroad, what qualifies as an eligible foreign university, the new K-12 withdrawal rule, and the wealth tax risk a 529 can create once a family moves to certain countries.
──────────────────────────────────────────
CHAPTER TIMESTAMPS
──────────────────────────────────────────
00:00 - Can a 529 actually pay for university abroad?
02:11 - What a 529 plan is, and why state choice affects your deduction
09:50 - How living abroad changes 529 strategy in real time
14:42 - The new $20,000-a-year rule for K-12 international school tuition
18:09 - How to check if a foreign university actually qualifies
24:25 - The wealth tax risk most families do not see coming
──────────────────────────────────────────
ABOUT THE GUEST
──────────────────────────────────────────
Kaitlin Krozel, CPA, is the founder of Krozel Capital, where she works with American families living abroad on cross-border tax and college planning. Kaitlin has spent years helping expat parents figure out how 529 plans hold up once a family leaves the United States, and she is raising her own two children across multiple countries.
──────────────────────────────────────────
ABOUT YOUR HOST
──────────────────────────────────────────
Arielle Tucker, CFP® & IRS Enrolled Agent with Connected Financial Planning, is a cross-border financial planner based in Switzerland helping Americans living abroad navigate U.S. taxes, international investments, and cross-border financial planning.
──────────────────────────────────────────
LOVE THIS EPISODE?
──────────────────────────────────────────
Follow the show and leave a rating on Apple Podcasts or Spotify, it's the single biggest thing you can do to help other cross-border families find this show.
──────────────────────────────────────────
ABOUT PASSPORT TO WEALTH®
──────────────────────────────────────────
Passport To Wealth® is the platform for current and aspiring US expats. We connect globally mobile Americans with vetted, licensed cross-border financial advisors, tax professionals, and relocation experts who understand the financial and legal complexities of life abroad.
LINKS & RESOURCES MENTIONED
Website: https://www.passporttowealth.com
Instagram: https://www.instagram.com/passporttowealthofficial
LinkedIn: https://www.linkedin.com/company/passport-to-wealth
Check Student Aid Eligibility: https://www.studentaid.gov
List of Eligible Foreign Universities: https://www.savingforcollege.com
Find Krozel Capital: https://www.krozelcapital.com
──────────────────────────────────────────
This episode is for educational purposes only and does not constitute tax, legal, or financial advice. Individual circumstances vary. Consult a qualified cross-border financial professional before making any financial or tax decisions.
Mentioned in this episode:
Passport to Wealth is a proud member of the SwissCast Network
Discover more podcasts for English-speaking Switzerland
SwissCast Network
Pre-order "The Expat Money Playbook"
Find your cross-border expert on the Passport To Wealth™ directory
Pre-order "The Expat Money Playbook"
Click here to subscribe to our newsletter
