College Savings Plan for Study Abroad
One method of financing study abroad is through a 529 College Savings Plan. This college saving plan allow for tax-free accumulation of assets and federal tax-free withdrawals for qualified higher education expenses, including approved study abroad programs (note, your child needs to verify what study abroad programs are approved)
Additionally if your child opts for a direct enroll study abroad programs they can withdraw money tax free from a 529 College Savings Plan at over 480 universities worldwide. Check with FAFSA for a list of eligible foreign schools.
Be sure to check with your financial advisor to determine if using a 529 College Savings Plan for study abroad works for you and your child.