Wisconsin 529 tax deduction in 2026
A limit counted for each child, open to anyone who contributes, and two add-back rules most families never hear about.
Wisconsin tax saved on this contribution
$560
4.7 % of what you put in comes back on your 2026 return. Capped: only 10,560 dollars of the contribution count.
| Subtracted from state income | $10,560 |
| Your state marginal rate | 5.30 % |
| Cap that applies this year | $10,560 |
| Back per $1,000 contributed | $47 |
Wisconsin: Any Wisconsin taxpayer (not only the owner) may subtract contributions to Edvest or Tomorrow's Scholar up to $5,280 per beneficiary for 2026 for a single or joint return ($2,640 each if married filing separately), indexed; excess carries forward; contributions until the April 15 due date can count for the prior year; deduction cannot exceed WI taxable income. Read on 2026-10-19. No federal deduction exists for 529 contributions.
| Taxable income | Marginal rate | Tax saved |
|---|---|---|
| $50,000 | 4.40 % | $465 |
| $100,000 | 5.30 % | $560 |
| $200,000 | 5.30 % | $560 |
| $400,000 | 5.30 % | $560 |
Worked out by Radif Partners · How we calculate · Wisconsin rule read on October 19, 2026, brackets of tax year 2025 · not tax advice
Wisconsin lets any taxpayer, not only the account owner, subtract up to $5,280 a year per beneficiary for contributions to Edvest or Tomorrow's Scholar, on a single or a joint return alike (half that for each spouse filing separately). The figure is indexed and contributions made up to the April 15 filing deadline can count for the prior year. A Madison couple at $105,000 who deposit $12,000 for two children deduct $10,560 and save $560; the other $1,440 carries forward to later returns. Because the limit follows the child, grandparents and other relatives can each claim it for the same grandchildren. Other states' plans earn nothing. Wisconsin adds deductions back to income on non-qualified withdrawals, on rollovers to another state's plan, and on any withdrawal within 365 days of a deducted deposit. K-12 costs up to $20,000, student loans, credentials and Roth IRA rollovers stay qualified for Wisconsin.
| Benefit for contributions | Deduction |
|---|---|
| Cap | $5,280 single, $5,280 joint per child (beneficiary) |
| Another state’s plan counts | No, in-state plan only |
| Carryforward of the excess | unlimited years |
| State plans (official names, no recommendation) | Edvest 529 College Savings Plan (direct-sold), Tomorrow's Scholar 529 Plan (advisor-sold) |
| Account balance limit | $613,240 |
| K-12 withdrawals qualified for state tax | Yes |
| 529 to Roth IRA rollover qualified | Yes |
| Student loan payments qualified | Yes |
| Add-back on a rollover to another state’s plan | Yes |
The giver claims, not the owner
In many states only the person who owns the account can deduct. Edvest's tax benefits page says any Wisconsin taxpayer who contributes may subtract up to $5,280 per beneficiary, so a grandmother writing checks to accounts her son owns still gets the break. Filing single at $60,000 and giving $5,280 to each of three grandchildren, she deducts $15,840 and saves $783. Her son and his wife have their own $5,280 per child on their joint return, independent of hers.
A Wisconsin relative giving to several children
Wisconsin tax saved on this contribution
$783
| Subtracted from state income | $15,840 |
| Your state marginal rate | 5.30 % |
| Cap that applies this year | $15,840 |
| Back per $1,000 contributed | $49 |
The limit is the same $5,280 whether the return is single or joint. Married couples filing separately get half each. The deduction can never exceed Wisconsin taxable income.
Excess that waits for next year
A contribution above the per-child limit is not wasted. Plan materials say the remainder carries forward to future years; they give no time limit, and we did not read the statute itself on that point. The Madison couple's extra $1,440 becomes a subtraction on a later return, at whatever the bracket is then. A single parent at $40,000 who puts in $2,000 stays well inside the limit and saves $88. The 2026 Wisconsin schedule had not been published when we read the Department of Revenue's instructions, so the calculator uses the 2025 thresholds, which are indexed each year.
Two add-backs to plan around
The 365-day rule
Money that goes in and comes out within a year does not keep its deduction. The Edvest Plan Description says a withdrawal within 365 days of a deducted contribution is added back to Wisconsin income, matched first-in, first-out. A family paying a tuition bill straight from a deposit made in the same season should check the dates: paying from older money in the account, or waiting, avoids the add-back.
Leaving for another state's plan
Since June 1, 2014, a rollover from Edvest or Tomorrow's Scholar to another state's 529 is added back to the extent it was deducted, as is any non-qualified withdrawal. The reverse move helps: principal rolled in from another state's plan can be deducted.
Wisconsin add-back if Edvest money leaves
Wisconsin tax if the deductions come back
$1,119
| Amount added back | $21,120 |
| Your state marginal rate | 5.30 % |
Federal 2025 changes, adopted for Wisconsin
Supplement No. 3 to the Edvest Plan Description, dated June 1, 2026, states for federal and Wisconsin purposes alike that K-12 expenses are expanded and capped at $20,000 for 2026 and that postsecondary credential costs qualify. Student loan repayments, apprenticeship costs and rollovers to the beneficiary's Roth IRA are free of Wisconsin tax as well. The same supplement raised the account ceiling to $613,240 per beneficiary from January 1, 2026. The K-12 page covers the federal side of a school-tuition withdrawal.