Contribute to the Future this Holiday Season

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State Treasurer Michael Fitzgerald

DES MOINES, IA (12/16/2019) (readMedia)-- Throughout the years, celebrating the holiday season has changed in many ways for me. It warms my heart to see my children grown up and celebrating the holidays with their own families. I love watching my grandchildren learn about the true meaning of the holiday season- spending time with those we love.

With so much to be thankful for during the holidays, I am encouraging everyone to reflect on their financial and year-end giving goals. The year will quickly be coming to a close and the deadlines to meet those goals can seem intimidating. Luckily, I have an easy way for all of us to fulfill them with the help of College Savings Iowa and IAble accounts.

Once my grandchildren were born, I opened a College Savings Iowa account for each of them. I wanted to establish a savings account that would help them with their future post-secondary education expenses, while still allowing me to maintain control of the account as they grow. With a College Savings Iowa account, they will be able to pay for qualified education expenses at any eligible education institution in the United States, which allows them to choose where they want to go.* As an account owner, I am able to pick the investment plan that fits my needs as I watch their accounts grow alongside them. Plus, I can take advantage of the tax benefits by deducting up to $3,387 from my 2019 state taxes.** To learn more about College Savings Iowa, please visit our website at CollegeSavingsIowa.com.

Uniquely created for individuals with disabilities, IAble accounts are also a great way for someone to save to reach their goals. Account owners can have a savings account while simultaneously maintaining their Supplemental Security Income (SSI) and Medicaid benefits, which was once nearly impossible to do. Individuals can use these savings to pay for qualified disability related expenses.* Friends and family can help loved ones save towards these goals as well. Plus they can receive a generous Iowa tax deduction of up to $3,387 from their adjusted gross income for 2019.** When contributing to an IAble account, you are paving a path for an individual with disabilities to live a more independent life. To learn more about the IAble program, please visit our website at Iable.gov.

If you are already an account owner of either of these plans, encourage your friends and family to contribute to your account using your unique Ugift code. You can learn more about how to use Ugift for IAble or College Savings Iowa by visiting their respective websites at UgiftAble.com or Ugift529.com.

I hope you can look forward to the New Year with confidence in knowing you have reached your financial goals and made a difference in someone's life. Encourage your family and friends to do the same by contributing to your College Savings Iowa or IAble account today. I hope you have a happy holiday season!

About the author: Iowa State Treasurer Michael Fitzgerald is the administrator of Iowa's 529 College Savings Programs, including College Savings Iowa, and Iowa's ABLE Savings Plan Trust and IAble.

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*The earnings portion of nonqualified withdrawals may be subject to federal income tax and a 10% federal penalty tax, as well as state and local income taxes. The availability of tax or other benefits may be contingent on meeting other requirements. If withdrawals are not qualified, the deductions must be added back to Iowa taxable income. Adjusted annually for inflation.

**If withdrawals are not qualified, the deductions must be added back to Iowa taxable income. Adjusted annually for inflation.