This May 29 is 529 Day, a national celebration of college savings plans around the country to showcase the importance of saving for our children’s future. My office uses the month of May to teach our current and future college savers more about the benefits College Savings Iowa offers. Through this program, you save for any kind of future your children or grandchildren want to pursue for their secondary education. Keep an eye out on our social media on Facebook and Twitter for account giveaways during May to celebrate the continued growth and awareness of 529 plans.
Current account holders are our biggest advocates, and I’m always grateful for their kind words and their generous boost to our program. If you’re already enrolled in the plan, take this month to celebrate your savings and think about putting in an extra contribution to your accounts. If you’re not a part of the program yet, odds are you know someone who is saving through the program. Take some time to talk to your family and friends about saving for educational and learn more about College Savings Iowa. If you want to learn more about College Savings Iowa, you can visit our website at CollegeSavingsIowa.com or call our education specialists at 888-672-9116.
Iowa taxpayers can also receive the benefit of a state tax deduction every year when they save with College Savings Iowa. For 2018, Iowa tax payers can deduct up to $3,319 in contributions per beneficiary from their 2018 Iowa adjusted gross income.* A married couple with two children will be able to deduct up to $13,276 in College Savings Iowa contributions on their 2018 state taxes as an example.
For more information about College Savings Iowa, call 888-672-9116 or visit CollegeSavingsIowa.com. Connect with the plan on Facebook and Twitter (@Iowa529Plan) to stay up to date on current giveaways and events.
*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.
**Earnings on non-qualified withdrawals may be subject to federal income tax and a 10% federal penalty tax, as well as state income taxes. The availability of tax or other benefits may be contingent on meeting other requirements.