CollegeCounts, Alabama’s 529 Fund, is celebrating 5/29 day (May 29) with the seventh annual statewide giveaway focused on babies born in Alabama between May 29, 2020, and May 29, 2021. CollegeCounts will randomly select 29 winners to receive $529 in contributions to an existing or newly opened CollegeCounts account.
Beginning May 29, 2021, parents, grandparents and legal guardians can go online to register by entering their contact information and the child’s name and date of birth.
“Planning ahead is easier said than done—especially when you’re thinking about planning for the education expenses of your newborn or toddler,” said Alabama State Treasurer John McMillan. “However, eighteen years will pass by more quickly than most of us expect and the 5/29 Day promotion is a fun way for us to jumpstart a child’s education savings and get families started on their savings journey.”
CollegeCounts has no minimum contribution requirement, making it simple for families and friends to invest a little at a time. The plan utilizes quality investments from Vanguard, T. Rowe Price, Fidelity, PIMCO, Dodge and Cox, PGIM and DFA.
Funds may be withdrawn and used at colleges, universities, trade schools and graduate schools at one, two and four-year schools in Alabama and across the U.S. – including vocational, technical, community, public and private colleges and universities – for qualified expenses like tuition, fees, room and board (if enrolled at least half-time), books, supplies, and equipment required for enrollment, including computers.
“Over 104,000 families have saved $2.28 billion for future education expenses in Alabama’s 529 plan, and we think that is only the beginning,” said McMillan.
Under Section 529 of the IRS tax code, special tax benefits are provided to families saving for future college expenses. In addition, Alabama taxpayers may receive a state income tax deduction of up to $10,000 for married couples filing jointly ($5,000 for single filers) on contributions to CollegeCounts each year.
To enter an Alabama child born between May 29, 2020, and May 29, 2021, in the 5/29 Day Giveaway, you can visit this website. No purchase is necessary to enter or win a prize. All entries must be submitted by July 16, 2021. Selected winners must provide a birth certificate or commemorative birth announcement to receive the prize contribution of $529 into the new or existing CollegeCounts account for the newborn they register.
For information on how to open an account, investment objectives, risks and costs, or to read the Program Disclosure Statement please visit CollegeCounts529.com.