CollegeChoice 529 Celebrates National College Savings Month with Proclamation, Contest
INDIANAPOLIS (September 2, 2020) – September is National College Savings Month, and Governor Eric Holcomb has highlighted the importance of saving for education with a Proclamation establishing September 2020 as College Savings Month in Indiana. To celebrate, CollegeChoice 529 will award one Hoosier family with a $5,000 CollegeChoice 529 account contribution with the Save to Win Sweepstakes.
To enter the Save to Win Sweepstakes, an individual must make a contribution to their new or existing CollegeChoice 529 Direct or Advisor account during the month of September. One individual will be randomly selected from all Indiana residents who contribute to their CollegeChoice 529 account during that timeframe to win a $5,000 CollegeChoice 529 account deposit. Individuals who contribute during September via employer payroll deduction or previously established Automatic Investment Plan (AIP) will automatically be entered to win. Simply Save to Win!
“College Savings Month is the perfect time to start saving for future education if you are not already doing so. CollegeChoice accounts can be opened with as little as $10, and funds can be used at any eligible institution or for a qualified apprenticeship program,” said Treasurer of State Kelly Mitchell. “Having a strong workforce is crucial for Indiana, and we’re proud to offer Hoosiers CollegeChoice 529 Savings Plans as an option to prepare for the future.”
CollegeChoice 529 enables account owners and gift contributors to save for a beneficiary’s education at any eligible school or qualified apprenticeship program. Accounts grow tax-deferred and distributions are tax-free as long as the money is withdrawn to pay for qualified higher education expenses like tuition, room and board, books, computers, and fees.
Indiana taxpayers may also be eligible for an annual state income tax credit of 20 percent of contributions to their CollegeChoice 529 accounts, worth up to $1,000 each year ($500 for married couples filing separately).
“Our goal is to make College Savings Month and our Save to Win Sweepstakes as inclusive as possible for Hoosiers – you simply have to contribute for a chance to win. The point is to start the conversation about saving for education, and we thought $5,000 could be a powerful conversation starter,” said Marissa Rowe, Executive Director of the program.
ABOUT COLLEGECHOICE 529 AND THE INDIANA EDUCATION SAVINGS AUTHORITY
CollegeChoice 529 is Indiana’s tax-advantaged 529 education savings program and is offered and administered by the Indiana Education Savings Authority, a state government quasi-agency and board chaired by Treasurer of State Kelly Mitchell. CollegeChoice 529 includes the Direct, Advisor, and CD Plans and has more than $5.5 billion in assets under management in over 388,000 accounts as of July 31, 2020. To learn more or enroll in the Direct Plan, call 1.866.485.9415 or visit www.collegechoicedirect.com to obtain a Disclosure Booklet, which includes information on investment objectives, risks, charges and expenses that should be read and considered carefully before investing.
Earnings on non-qualified withdrawals may be subject to federal income tax and a 10% federal penalty tax, as well as state and local income taxes. Tax and other benefits are contingent on meeting other requirements and certain other withdrawals are subject to federal, state, and local taxes.
Indiana taxpayers are eligible for a state income tax credit of 20% of contributions to a CollegeChoice 529 account, up to $1,000 credit per year ($500 for married couples filing separately). This credit may be subject to recapture from the account owner (not the contributor) in certain circumstances, such as rollovers to another state’s 529 plan, federal nonqualified withdrawals, withdrawals used to pay elementary or secondary school tuition for a school outside of Indiana, or qualified education loan repayments as described in the Disclosure Booklet.