New Baby? Here’s 5 Things To Know About Ohio 529

Congratulations on the newest member of your family! You must be overjoyed! And maybe a little overwhelmed?

As you hold that bundle of joy in your arms, we know that you are already thinking about their future, including their education after high school. Ohio 529 CollegeAdvantage can help you step onto that path of success for them. Here’s what you need to know.

1. Why Ohio 529? 529s are specifically created for education savings which includes college and career training. Unlike a traditional banking account, a 529 account benefits from tax-free earnings and tax-free withdrawals. For Ohio residents who save with Ohio 529, there is also a state income tax deduction for those contributions. Since 1989, Ohio 529 has been helping families across the nation save for their children’s education after high school with low fees, diverse investment options, and tools to help you design the best account for your family’s needs. And families all across the nation trust Ohio 529 with their savings for their children and grandchildren’s future education. Many different financial and media organizations consider Ohio 529 as one of the best in the nation.
   
   
2. It’s simple to start. We know that there is a lot on your plate as a new parent. With that in mind, we’ve made it as easy as possible to open an Ohio 529 account. Here is a list of all the information you will need to get started. With this, you can open your 529 account online for your baby in minutes. Also, you can start with as little as $25 to make it easy on your family budget. And once you stop having to pay for things like diapers and formula, you can use those savings and other disappearing expenses to add to your baby’s 529account. See how other Ohio 529 owners have chosen to invest their savings. ranging from ready-made portfolios, individual options, and banking products. Once you open the account, the ReadySave 529 app makes it easy for you to access your account, track account growth, and make both one-time and recurring contributions.
   
   
3. The importance of starting early. The sooner you start saving, the longer your account benefits from the Ohio 529 tax advantages as well as compound interest. Compound interest is a great friend for any kind of savings with its big growth potential. How? Compound interest is earned on all contributions, all investment earnings, and all interest already earned in your 529, which includes previously earned compound interest. So, the longer your Ohio 529 account is open, the more compound interest can help it grow. All these tax-free earnings will be yours to use to cover college and career training expenses. Another way to help you save early without any extra effort: Set it and forget it with automatic deposits from either your bank account or paycheck. This way, you can take making regular 529 contributions off your to-do list. Do you want your contributions to keep up with inflation? Then use the Annual Increase Option to increase the size of your contribution yearly.
   
   
4. Save for college, career training, and more. Ohio 529 is the flexible, tax-free way to save for education after high school. Ohio 529 can be used to pay for many qualified expenses at over 30,000 schools of all kinds, nationwide, including colleges; community colleges; trade, technical, and vocational schools; certificate programs; and apprenticeships. You can use your Ohio 529 account to pay for K-12 tuition at a public, private, or religious school. Also, you can roll over your 529 to a Roth IRA if it’s not needed for education expenses. So, your Ohio 529 plan can even jump start your child’s retirement savings.
   
   
5. Others can help. Loved ones want to give gifts that have a lasting impact. Your family and friends can easily contribute to your children’s future education with Ugift. With a Ugift code, loved ones can make online gift contributions directly to your Ohio 529 without having to share the actual account number. It’s easy to share your Ugift code. You can find it in your child’s account under “Share Ugift code…” or in the app using the Ugift icon on the bottom. The READYSAVE 529 app can also text your Ugift number to people’s phones. Ohio residents who give to your Ohio 529 account will also receive a state income tax deduction for those contributions. Gift givers can also order free cards to send as an announcement of their 529 gift. Also, you can sign up to have reminder emails sent to you and loved ones for the big milestones in your child’s life.
   

Ready to start? This link will take you to a step-by-step guide on opening an Ohio 529 account.

Since 1989, Ohio’s 529 Plan has been helping families across the nation save for their children’s higher education with many tax benefits. Learn, plan, and start for as little as $25 today at CollegeAdvantage.