Treasurer Fitzgerald Awards $1000 College Savings Iowa Account to Baby

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DES MOINES, IA (12/15/2009)(readMedia)-- State Treasurer Michael Fitzgerald took part in a special ceremony that put one lucky baby on the right path toward saving for college. Baby Nolan, born at Marshalltown Medical and Surgical Center was awarded a $1,000 College Savings Iowa account, courtesy of the College Savings Iowa BABY 529 Giveaway. The baby's parents, Breanne and Michael Brummel, received information about the giveaway program before leaving hospital after their son's birth.

"Little Nolan may not be able to study yet, but he's already got a jump start on his college savings, and it will continue to grow right along-side him," stated Fitzgerald, plan administrator. "Even in these difficult times, I encourage families to stay focused on their long term saving goals. Anything that is saved now will offset what is to be borrowed in the future."

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-six 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. "It is beneficial for families to start saving early to achieve their goals and Marshalltown Medical and Surgical Center is doing their part in helping to get this important message out to them from day one." La Rae Schelling, Interim CEO, COO, CNO; Mary Schreurs, Vice President of Nursing; Chris Schill, Vice President of Nursing; Theresa Sheer, Director and Women's Care Center staff were on hand to congratulate the family. Hy-Vee representatives Stacy Loftus, Erin Dehl and John Goerdt presented the family with flowers, refreshments and other baby items. Hy-Vee participates in the Upromise Rewards program, a free service that helps families add to their college savings through their everyday spending.

"New parents have a lot on their minds, but saving with College Savings Iowa doesn't take much time and is easy to do. They can open an account in about ten minutes with just $25," said Fitzgerald. "Anyone-parents, grandparents, friends and relatives-can invest in College Savings Iowa on behalf of a child."

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. Iowa taxpayers can deduct up to $2,800 of what they contribute to each account from their 2009 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

The Vanguard Group, headquartered in Valley Forge, Pennsylvania, is one of the nation's largest mutual fund firms and a leading provider of 529 college savings plans. Vanguard manages nearly $1.3 trillion in U.S. mutual fund assets, including $25 billion in 529 plan assets invested in 25 plans in 23 states. Vanguard offers more than 150 funds to U.S. investors and more than 50 additional funds in foreign markets.