Arizona Family College Savings Program (529 Plan)
The Arizona Family College Savings Program is a 529 college savings program sponsored by the State of Arizona designed to help families meet the rising cost of college.
- Any earnings grow tax-deferred.
- Federal income and Arizona state tax-free qualified distributions.
- Professional money management by three experienced and trusted financial institutions - Fidelity Investments, College Savings Bank and Waddell & Reed.
- Wide range of investment choices including age-based portfolios, static portfolios, individual mutual funds and CDs.
- High contribution limits.
- Low minimum investment.
- No income restrictions.
- Funds can be used at any accredited college nationwide and eligible international institutions for qualified expenses.
- Assets are excluded when determining Arizona financial aid awards.
- Tax incentive for Arizona residents contributing to a 529 plan.
Visit www.az529.gov for more information.
There are many ways to save for college. Consult with your CPA, lawyer or other advisor before deciding which strategy is best for you:
- 529 prepaid or savings plans (www.savingforcollege.com/college_savings_201)
- The American Opportunity tax credit.
- The Lifetime Learning tax credit.
- Student Loan Interest Deductions.
- Qualifying U.S. Savings Bonds.
- Baccalaureate bonds.
- Coverdell IRAs (formerly Education IRAs).
- Visit www.irs.gov and read Publication 970 for more information on tax benefits for education.