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BISMARCK–December 20, 2007–With the holiday season in full swing and a new year fast approaching,
North Dakota residents are thinking about their finances as well as gift
giving. Bank of North Dakota President, Eric Hardmeyer, today reminded
families that for the first time they can take advantage of tax breaks
by opening a new — or contributing to an existing — College SAVE 529 Plan
account by December 31. Individual taxpayers can deduct annual contributions
up to $5,000 per beneficiary from North Dakota taxable state income. Married
couples filing jointly can deduct up to $10,000 per beneficiary. *
“This time of year, parents and grandparents can give the gift of education by opening a College SAVE 529 account,” said BND President Hardmeyer. “It’s a great way to invest in your child’s or grandchild’s future.”
In June 2007, Gov. John Hoeven signed into law an enhancement that allows an in-state tax deduction as well as funding for a matching grant program on behalf of families saving for college through North Dakota’s 529 Plan, College SAVE. **
Currently, nearly 11,000 families have saved $330 million through North Dakota’s 529 State Plan. “I hope all families in North Dakota will consider opening a College SAVE account for their children’s education and take advantage of this way to reduce their tax bill,” said Eric Hardmeyer. “It is truly a hassle-free holiday gift idea that will be remembered long after the toys are outgrown.”
To take advantage of the tax benefits go to www.collegesave4u.com or call 1-866-SAVE529.
Further Information:
Contact: Bank of North Dakota Director of Communications, James Barnhardt, 701-328-5882.
About Upromise Investments, Inc.:
Upromise Investments, Inc., which serves as the Plan Manager for College SAVE, is a registered broker-dealer, member of FINRA and SIPC, and is registered with the MSRB. The company is focused solely on providing 529 education, plan management, and marketing services to state partners and families saving for college. Upromise currently provides program management and administration services to over 1.3 million accounts with over $18 billion in assets across direct, advisor, and prepaid savings plans sponsored by nine separate states.
Upromise Investments affiliate, Upromise, Inc., provides a free rewards service, allowing more than 8 million members nationwide to accumulate college savings when making eligible everyday purchases.
About Vanguard:
Vanguard, an investment manager for the College SAVE Plan, is one of the nation’s most respected investment management firms and a leader in the 529 College Savings marketplace. Vanguard manages more than $1.2 trillion in U.S. mutual fund assets, including offering investment options in 16 state 529 plans totaling over $13 billion in assets.
*Rollovers from another state’s 529 Plan are not considered eligible for the state income tax deduction.
**The matching grant program may be subject to certain limitations by Bank of North Dakota.
For more information about North Dakota’s College SAVE Plan, call 1-866-SAVE-529 (866-728-3529) or visit www.collegesave4u.com to obtain a Plan Disclosure Statement. Investment objectives, risks, charges, expenses, and other important information are included in the Plan Disclosure Statement; read and consider it carefully before investing. Upromise Investments, Inc. serves as Distributor and Underwriter.
If you are not a North Dakota taxpayer, consider before investing whether your or the designated beneficiary’s home state offers any state tax or other benefits that are only available for investments in such state's qualified tuition program.
The College SAVE Plan is a 529 Plan established by the State of North Dakota. Bank of North Dakota acts as trustee of the College SAVE Trust and is responsible for administering the Plan. Upromise Investments, Inc. and Upromise Investment Advisors, LLC serve as the Plan Manager and Recordkeeping and Servicing Agent, respectively, with overall responsibility for the day-to-day operations, including effecting transactions and marketing and distribution of the Plan. The Vanguard Group, Inc. provides underlying investments for the Plan. The Plan’s Portfolios, although they invest in mutual funds, are not mutual funds. Units of the Portfolios are municipal fund securities and the value of units will vary with market conditions.
Investment returns are not guaranteed, and you could lose money by investing in the College SAVE Plan.
Not FDIC Insured. No Bank, State or Federal Guarantee. May Lose Value.
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