Employees who participate in payroll deduction at work for the CollegeChoice 529 Direct Savings Plan exceeded $1 million dollars in monthly contributions in May. This new record reinforces the power of education savings at work, and CollegeChoice is hoping to add more employers to their roster of payroll participants well ahead of the busy fall benefits season.
More than 1,600 Indiana companies currently provide their employees with access to ACH payroll deduction for contributions to CollegeChoice 529 Plans, Indiana’s tax-advantaged education savings program. Accounts are opened online with as little as $10, and funded with after-tax dollars. Employers who wish to offer payroll deduction can generally use their current ACH direct deposit system, so there is no cost to employers and no added administrative burden.
CollegeChoice 529 is administered by the Indiana Education Savings Authority (Authority). Ascensus Broker Dealer Services, LLC (ABD), the Program Manager, and its affiliates, have overall responsibility for the day-to-day operations, including investment advisory, recordkeeping and administrative services, and marketing. CollegeChoice 529’s Portfolios invest in: (i) mutual funds; (ii) a stable value account held in trust by the Authority at Vanguard; and/or (iii) an FDIC-insured omnibus savings account held in trust by the Authority at NexBank.
Investment returns will vary depending upon the performance of the Portfolios you choose. Except to the extent of FDIC insurance available for the Savings Portfolio, depending on market conditions, you could lose all or a portion of your money by investing in CollegeChoice 529. Account Owners assume all investment risks as well as responsibility for any federal and state tax consequences.
Not FDIC-Insured (except for the Savings Portfolio). No Bank, State or Federal Guarantee. May Lose Value.