National College Savings Day

piggy bankToday, May 29th (5/29) is national college savings day!

A 529 College Saving Plan is “a tax-advantaged way for families to save money for college tuition and education-related expenses. The ‘529’ refers to the section of the Internal Revenue Code that created these plans.”

The University of Alaska College Saving Plan (CSP) is an easy, tax-advantaged way to save for future college expenses. Benefits of the UA CSP are:

  • Anyone can open or contribute to a 529 account—relatives and friends.
  • A low minimum investment—you can start with as little as $25/month.
  • Your and/or your child’s PFD can be used to fund an account.
  • Any earnings are tax-deferred and you pay no federal taxes on withdrawals for qualified educational expenses.
  • No income restrictions.
  • ACT Portfolio carries a tuition value guarantee.
  • A variety of low cost, no load and no commission investment options.
  • Gift and Estate Tax benefits.
  • Account holders choose how and when funds are used.
  • Professional investment management by T. Rowe Price.

For more information visit the UA CSP website.

Image: ©iStockphoto.com/kroach

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