COLUMBUS, Ohio--(BUSINESS WIRE)--Monday, May 29, 2017 is Memorial Day, a national day of remembrance when Americans take pause and gratefully honor the many men and women who served our great nation. Among the freedoms their service provided is the freedom to choose a career path. Associated with this choice is post high school training and education. College savings plans throughout the country draw attention to these savings and investment resources aptly on May 29 or “529 Day”. This year Ohio’s 529 savings plan asks that you consider 529 savings the day after Memorial Day.
The “529 Day Giveaway” began on May 22, 2017 and ends on Sunday, June 11, 2017. Along with the $529 college savings awards, CollegeAdvantage will also launch its annual Graduation Campaign to help promote saving for college. Families can enter to win by going to www.collegeadvantage.com and click on the “Win $529 For College!” on the front page. No purchase is necessary to enter and residents from any state can enter to win. One entry per household will be accepted. Existing CollegeAdvantage account owners are eligible to enter. Each $529 college savings award will be awarded as a contribution to a CollegeAdvantage Direct 529 Savings Plan Account.
529 college savings plans are named after Section 529 of the Internal Revenue Code. They are taxed-advantaged college savings plans, designed to help families plan and save for higher education. Funds saved in a 529 plan are tax-free when used to pay higher education expenses such as: tuition, general fees, books, computers and room and board. The 529 plan was created to help families save for higher education expenses and help reduce the need for student loans. With graduation season upon us what a great gift for that young soon-to-be-graduate in your life.
In Ohio, any Ohio taxpayer including parents, grandparents, family members and friends who contribute to a CollegeAdvantage account can claim a deduction of up to $2,000 in contributions, per beneficiary on their state of Ohio taxable income. The maximum allowable deduction per year is $2,000, but contributions can invest even more. Ohio allows contributions in excess of $2,000 per year, per beneficiary to be carried forward to future tax years until fully deducted. Funds saved in CollegeAdvantage can be used to pay higher education expenses at any accredited college in the country.
CollegeAdvantage is Ohio’s 529 college savings program, offered and administered by the Ohio Tuition Trust Authority, a state agency under the Office of the Chancellor of the Ohio Department of Higher Education. Ohio is the fifth largest state sponsor of 529 plans in the country. CollegeAdvantage is offered as the CollegeAdvantage Direct 529 Savings Plan and the CollegeAdvantage Advisor 529 Saving Plan, which is offered and marketed through BlackRock and sold through professional financial advisors. The CollegeAdvantage program, which offers families a tax-advantaged way to save for college, has more than $10.35 billion in assets under management and over 637,153 total accounts as of Mar. 31, 2017. To learn more, visit www.CollegeAdvantage.com.