As college tuition mounts — with some Massachusetts colleges costing $90,000 or more annually — a Massachusetts college savings account, also known as U. Fund, has surged in popularity.
In 2024, 36,485 signed up for new accounts, raising the total to more than 285,000. Compared to five years ago, the number of accounts has grown by 73%, according to Julie Shields-Rutyna, Massachusetts Educational Financing Authority’s senior director of college planning, education and training.
The U. Fund is what’s known as a federal “529 plan” — an investment account that is tax-free when used for college and college-related expenses.
