DES MOINES, IA (09/01/2015)(readMedia)-- State Treasurer Michael L. Fitzgerald is pleased to announce a new financial literacy initiative, College Savings Iowa InFocus. This interactive learning experience introduces parents, grandparents and others to the benefits of saving for the higher education of a loved one. "We want savers to learn the ins-and-outs of 529 plans," Fitzgerald said. "By completing the 10 minute tutorial, families are automatically registered to win a $1,000 College Savings Iowa account." Visit Iowa529InFocus.com to complete the tutorial and see official rules.
"As a way to encourage families to take the first step towards saving, College Savings Iowa is also offering an additional $10 contribution to the first 500 people who complete the tutorial and open a College Savings Iowa account," Fitzgerald added. "This is a great way to join us, and other states across the nation, in celebrating College Savings Month by learning about 529 plans and potentially getting a boost to your college savings!" The newly established accounts must have a minimum $25 contribution and be opened within the first seven days of tutorial completion to be eligible for the $10 contribution.
College Savings Iowa offers families a tax advantaged way to save money for their children's higher education. It only takes $25 to open an account, and anyone - parents, grandparents, friends and relatives - can invest in College Savings Iowa on behalf of a child. Iowa taxpayers have the additional benefit of being able to deduct contributions up to $3,163 per beneficiary account from their 2015 Iowa adjusted gross income.*
Investors do not need to be a state resident and can withdraw their investment federally tax-free to pay for qualified higher education expenses, which includes tuition, books, supplies and certain room and board costs at any eligible college, university, community college or technical training school in the United States or abroad.**
. For more information about future giveaways and events find College Savings Iowa on Facebook and Twitter (@Iowa529Plan).
*Adjusted annually for inflation. If withdrawals are not qualified, the deductions must be added back to Iowa taxable income.
**Earnings on nonqualified withdrawals may be subject to federal income tax and a 10% federal penalty tax, as well as state and local income taxes. The availability of tax or other benefits may be contingent on meeting other requirements.
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Investment returns are not guaranteed and you could lose money by investing in the plan. Participants assume all investment risks as well as the responsibility for any federal and state tax consequences. If you are not an Iowa taxpayer, consider before investing whether your or the designated beneficiary's home state offers any state tax or other benefits that are only available for investments in such state's qualified tuition program.
For more information about the College Savings Iowa 529 Plan, call 1-888-672-9116, or visit CollegeSavingsIowa.com to obtain a Program Description. Investment objectives, risks, charges, expenses, and other important information are included in the Program Description; read and consider it carefully before investing. Vanguard Marketing Corporation, Distributor.
