Merit base scholarship is not affected by 529 plan, only financial based one does.

If you want to save on tax, depends on the state that you are in, you can get state tax deduction on those 529 plans issued by your state.

Most people will either get a prepaid or a saving 529 plan.

For prepaid, there are basically two choices, prepaid state university or independent university. For the saving one, you can choose from any state any plan.

The benefit for the state ones is that it can save you on state income tax(for most of the states, some of the states do not have this benefit, check with you state).

I just purchased the state saving plan for my son. I hope I answered your question.

A good website to start looking at is www.savingforcollege.com

多谢! 偶去研究研究。