September is National College Savings Month, and Gov. Eric Holcomb has highlighted the importance of saving for education with a proclamation establishing September 2024 as College Savings Month in Indiana.
To celebrate, one individual will be selected to win a $10,000 account deposit in the Indiana529 Education Sweepstakes, according to a news release from the state.
To enter, individuals 18 years of age or older must complete the entry form available at MyIndiana529.com/sweepstakes by 11:59 p.m. Sept. 30. The winner will be randomly selected from eligible entries to receive a $10,000 Indiana529 account deposit.
“Whether it’s tech, trade, registered apprenticeships or traditional college, a child’s dreams are worth saving for,” said Daniel Elliott, the state treasurer. “We’re proud to offer one Indiana family $10,000 in an Indiana529 plan to jumpstart those savings.”
Indiana529 provides account owners and gift contributors flexibility when it comes to saving for education after high school. Funds can be used at any eligible school or registered apprenticeship program, both in- and out-of-state. Accounts grow tax-deferred and distributions are tax-free as long as the money is withdrawn to pay for qualified education expenses like tuition, books, computers, equipment, and fees.
Taxpayers may also be eligible for an annual state income tax credit of 20% of contributions to their Indiana529 accounts, worth up to $1,500 each year ($750 for married couples filing separately).
“Indiana529 is an amazing tool for parents, grandparents, and even aunts and uncles to give the young person in their life a financial boost for the future,” said Marissa Rowe, executive director of the program. “Their dreams are worth saving for and $10,000 is an incredibly strong start.”
Indiana529 is the state’s tax-advantaged 529 education savings program and is offered and administered by the Indiana Education Savings Authority, a state government quasi-agency and board chaired by Treasurer of State Daniel Elliott. Indiana529 includes the Direct, Advisor, and CD Plans and has more than $7.6 billion in assets under management in more than 439,000 accounts as of July 31.
Indiana taxpayers are eligible for a state income tax credit of 20% of contributions to an account, up to $1,500 credit per year ($750 for married couples filing separately). This credit may be subject to recapture from the account owner (not the contributor) in certain circumstances, such as rollovers to another state’s 529 plan, federal nonqualified withdrawals, withdrawals used to pay elementary or secondary school tuition for a school outside of Indiana, education loan repayments, or rollovers to a Roth IRA account, as described in the Disclosure Booklet.
For contest rules and to enter, visit MyIndiana529.com/sweepstakes.
Information: MyIndiana529.com.