SACRAMENTO, CA--(Marketwired - Dec 22, 2014) - 'Tis the season for gift-giving, and with the holidays upon us, the most wonderful time of the year can also be a quandry for many families, as they try to identify the perfect gift for loved ones. ScholarShare, California's 529 college savings program, can relieve some of the stress from holiday shopping by recommending the perfect present for a young person in your life -- by either opening or contributing to a college savings account.
With the lifelong gift of higher education by saving for your child's future through ScholarShare, families and friends can give something truly unique that can continue to grow long after the holiday season is over. ScholarShare wants every family to be able to pay for higher education. So the first step you can take to help your child is to open a ScholarShare account.
Through the "Give a Gift" option on ScholarShare's website, any gift giver can open an account for as little as $25. And if your favorite loved one is already on the path to college, you can contribute to an existing account with the "Gift of Education Certificate," which is available in a holiday theme. The certificate also allows for a personal message to the beneficiary.
ScholarShare offers a wide variety of low-cost investment options. It also provides valuable tax advantages. Any US citizen, or resident alien with a valid Social Security Number or Taxpayer Identification Number, can open a new account. Funds can be used at any eligible educational institution in the nation, and some abroad, for a variety of qualified higher education expenses, including tuition, mandatory fees, books, supplies, or even certain room and board costs.
About the ScholarShare 529 College Savings Plan:
Not only can a ScholarShare account be opened with as little as $25, ScholarShare has no annual account maintenance fee, no income limit and offers a high maximum account balance. Established in 1999, ScholarShare currently holds more than $6.1 billion in assets in more than 258,000 accounts as of 12/5/14. To sign up for an account or for more information about the plan, visit www.scholarshare.com. For information about the ScholarShare Investment Board (SIB), visit www.treasurer.ca.gov/scholarshare. Like ScholarShare on Facebook at www.facebook.com/scholarshare529 and follow us on Twitter at @ScholarShare529.
Named for the section of the IRS code under which they were created, 529 plans offer valuable tax advantages. Contributions are made with money that has already been taxed. Once funds are placed in the account, investment earnings, if any, are not federally or state taxed, if withdrawn to pay for qualified higher education costs.
Consider the investment objectives, risks, charges and expenses before investing in the ScholarShare 529 College Savings Plan. Please visit www.scholarshare.com for a Program Disclosure Booklet containing this and other information. Read it carefully.
Before investing in a 529 plan, you should consider whether the state you or your Beneficiary reside in or have taxable income in has a 529 plan that offers favorable state income tax or other benefits that are only available if you invest in that state's 529 plan.
The tax information contained herein is not intended to be used, and cannot be used, by any taxpayer for the purpose of avoiding tax penalties. Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor. Non‐qualified withdrawals may be subject to federal and state taxes and the additional federal 10% tax. Non-qualified withdrawals may also be subject to an additional 2.5% California tax on earnings.
Investments in the Program are neither insured nor guaranteed and there is the risk of investment loss.
The ScholarShare 529 College Savings Plan Twitter and Facebook pages are managed by the state of California.
TIAA‐CREF Tuition Financing, Inc., Plan Manager.