Facts of the Month

Indiana’s CollegeChoice 529 plan is a winner for many Indiana families!

All 50 states have 529 college savings programs where earnings on the investments are not subject to federal taxes if they come out to pay for approved college expenses. A 529 plan also is one of the few things that can have a student’s name on it, but not be subject to a 20% contribution as ao part of the student’s Expected Family Contribution, unlike other cash, checking, savings and investments in the student’s name. On top of that, in Indiana you don’t pay any state income taxes on the earnings  and you get a 20% tax credit on contributions up to $5,000. For more information on Indiana’s plan, go to: http://www.in.gov/tos/iesa/

Publication Date: October 2015