The CollegeChoice 529 Savings Plans, governed by the Indiana Education Savings Authority (IESA) and administered by Ascensus College Savings and College Savings Bank, allow Hoosiers to plan for their children's or loved one's future by making contributions into an investment account for higher education expenses. In addition to lowering costs and expanding investment options, Indiana offers a special tax credit that potentially makes the CollegeChoice Plans an even more attractive option.
Qualified withdrawals from a CollegeChoice 529 Plan account are already state and federally tax-exempt. Additionally, Indiana taxpayers who contribute to a CollegeChoice 529 account become eligible for a 20% state income tax credit of up to $1,000 each year on their contributions.
49 states and the District of Columbia offer some form of 529 college savings plan, but Indiana taxpayers must be invested in one of the state’s CollegeChoice Plans to be eligible for the 20% tax credit. CollegeChoice accounts can be used to pay for qualified education expenses at any college, university, or vocational training program that is eligible to receive federal financial aid.
Indiana residents can enroll in the CollegeChoice 529 Direct Savings Plan free of any sales commissions. For more information about the CollegeChoice 529 Direct Savings Plan, visit collegechoiceplan.com or call toll free 1-866-485-9415.