State Treasurer of Iowa

State Treasurer Fitzgerald Announces College Savings Iowa’s Sixth Price Reduction in the Last Decade

October 1, 2014

DES MOINES, Iowa - State Treasurer Michael L. Fitzgerald announced today that College Savings Iowa is once again reducing its fees. “In the last decade, we have had six price reductions, resulting in a 60% decrease in fees,” Fitzgerald said. “By consistently lowering fees over time, we are ensuring that more money stays in parents’ and grandparents’ accounts, growing along-side the children. The plan continues to be a great value for Iowans saving for future higher-education expenses.” The price reduction, effective October 15, 2014, will bring the current annual asset-based fees of College Savings Iowa’s portfolios down from 0.28% to 0.26%.

“In the last ten years our assets have nearly quadrupled as we approach the $4 billion mark,” Fitzgerald said. “College Savings Iowa continues to share the benefits of its growth by lowering expenses, which is a testament to the plan’s commitment to deliver well-managed college savings investments at low costs.” The program has 220,000 accounts established with an average plan account size of over $17,000.
College Savings Iowa, created in 1998, 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 can invest in College Savings Iowa on behalf of a child. Participants who are Iowa taxpayers can deduct contributions up to $3,098 per beneficiary from their 2014 adjusted gross income, and there are no income or residency restrictions.* For more information about College Savings Iowa, visit or call 1-888-672-9116.
*Adjusted annually for inflation. If withdrawals are not qualified, the deductions must be added back to Iowa taxable income. The availability of tax or other benefits may be contingent on meeting other requirements.


Investment returns are not guaranteed and you could lose money by investing in the plan. Participants assume all investment risks as well as 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 888-672-9116 or visit 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.

College Savings Iowa is an Iowa trust sponsored by the Iowa State Treasurer’s Office. The Treasurer of the State of Iowa sponsors and is responsible for overseeing the administration of the College Savings Iowa 529 Plan. The Vanguard Group, Inc., serves as Investment Manager and Vanguard Marketing Corporation, an affiliate of The Vanguard Group, Inc., assists the Treasurer with marketing and distributing the Plan. Ascensus Investment Advisors, LLC, provides records administration services. The Plan’s portfolios, although they invest in Vanguard mutual funds, are not mutual funds.

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