Not true -- there are no income limits on contributing to 529 plans. We are well off and cannot make deductible IRA contributions, but we contribute to 529 plans for our children.
Well, every year at tax time this question arises for us and we learn that at our income level, we would not get any tax break for a 529 plan, which is the whole point of the plan. I understand it differs depending on which state you’re from.