The easy answer is that some are and some are not. The U.S. government has programs available to assist families who want to set aside money for future education costs. These include 529 Plans which offer tax breaks for saving money for college tuition and expenses. Each state has its own rules and requirements. Many major financial institutions also offer educational planning and savings through trust fund programs. Each one has its own benefits and advantages. For the best tax-free option consult with a financial advisor in your state.