Iowa Falls Baby Receives College Savings Iowa BABY 529 Giveaway Award

State Treasurer Fitzgerald presents $1,000 College Savings Iowa account to area newborn; urges families saving for college to stay focused on their long-term goals.

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DES MOINES, IA (01/30/2009)(readMedia)-- State Treasurer Michael Fitzgerald awarded a $1,000 College Savings Iowa account to an Iowa Falls baby in a special ceremony held at Ellsworth Municipal Hospital today, courtesy of the College Savings Iowa BABY 529 Giveaway. Baby Grace is the seventh recipient of the monthly award. Grace's parents, Kimberly and Adam Hartford, received information about the giveaway program before leaving hospital after giving birth.

"Little Grace has quite a bit of growing to do before going off to college, and the money in this account will grow right along-side her," stated Fitzgerald, plan administrator. "Even in this economy some things are still certain: children still grow up fast and a college education isn't getting any cheaper. I encourage families to stay focused on their long-term goals and start saving for college as soon as possible."

The College Savings Iowa BABY 529 Giveaway awards one college savings account each month to a randomly selected baby. All babies born in participating Iowa hospitals are eligible to win if they are registered for the monthly drawing. Sixty-three hospitals currently participate in the program.

"We're pleased to have so many Iowa hospitals join our effort to increase awareness about the benefits of saving for college," stated Fitzgerald. John O'Brien, Hospital Administrator, John Swartz, EMH Board Chair, Marcy Liittschwager, OB Director, Steve Mulford, Assistant Administrator/Director of Nursing represented Ellsworth Municipal Hospital in the ceremony. Dr. Greg Ogaard and nurses Alyssa Olberding and Brooke Roeske were on hand to help with the award. Senator Steve Sodders and Representative Annette Sweeney attended the event.

Hy-Vee Store Director Bridgette Geipel presented the family with flowers, refreshments and other baby items. Hy-Vee is the only Iowa-based company to participate in the Upromise Rewards program which helps families add to their college savings through their everyday spending.

"New parents are busy, but it doesn't take much time or money to start saving with College Savings Iowa. They can open an account in about ten minutes with just $25," said Fitzgerald.

College Savings Iowa is a state-sponsored 529 plan designed to give families a tax-advantaged way to save money for college. Investors can choose from thirteen Vanguard investment options, including four age-based investment tracks. Anyone - parents, grandparents, friends and relatives - can invest in College Savings Iowa on behalf of a child. Iowa taxpayers can deduct a portion of what they contribute to each account from their state taxable income and there are no income or residency restrictions.

Withdrawals used to pay for qualified higher education expenses including tuition; books, supplies, and room and board are free of state and federal taxes. Funds can be used at any accredited college, university, community college or technical training school in the United States or abroad. ** For more information on College Savings Iowa, call 1-888-672-9116 or visit www.collegesavingsiowa.com.

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

** Earnings on non-qualified 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.

About College Savings Iowa

Investment objectives, risks, charges, expenses and other important information are included in the Program Description; read and consider it carefully before investing. Vanguard Marketing Corporation, Distributor and Underwriter. If you are not an Iowa taxpayer, consider before investing whether your or the beneficiary's home state offers a 529 plan that provides its taxpayers with state tax and other benefits not available through this plan.

The Treasurer of the State of Iowa sponsors and is responsible for overseeing the administration of the College Savings Iowa 529 Plan. The Vanguard Group, Inc. serves as Investment Manager, and Vanguard Marketing Corporation, an affiliate of The Vanguard Group, Inc., assists the Treasurer with marketing and distributing the Plan. Upromise Investment Advisors provides records administration services. College Savings Iowa is an Iowa trust sponsored by the Iowa State treasurer's office. The plan's portfolios, although they invest in Vanguard mutual funds, are not mutual funds. Units of the portfolios are municipal securities and the value of units will vary with market conditions. Investment returns are not guaranteed, and you could lose money by investing in the Plan. Participants assume all investment risks as well as responsibility for any federal and state tax consequences.

About The Vanguard Group

Vanguard, headquartered in Valley Forge, Pennsylvania, is one of the world's largest investment management companies and a leading provider of company-sponsored retirement plan services. Vanguard manages nearly $1.3 trillion in U.S. mutual fund assets, including more than $390 billion in employer-sponsored retirement plans. Vanguard offers more than 150 funds to U.S. investors and more than 50 additional funds in non-U.S. markets.