DES MOINES — State Treasurer Roby Smith announces ISave 529 and the IAdvisor 529 Plan reached a combined $7 billion in assets. “Being a long-time 529 investor, I always knew the power of saving in a 529 plan – both for myself and the confidence of my children,” said Smith. “Opening a dedicated education savings account for a child in your life could be the difference between a dream and a reality, and I hope this milestone is a reminder to get started.”

Both 529 plans are administered by the State Treasurer’s Office and help families save for education expenses on a tax-advantaged basis. ISave 529 is direct-sold, meaning anyone can open an account. IAdvisor 529 Plan is opened through a financial advisor.“Flexibility is what makes 529 plans so great,” continued Smith. “By offering ISave 529 and the IAdvisor 529 Plan, families have more than just flexibility on when and where their funds are used, but also how they choose to have the accounts managed.”

Money in a 529 plan can be used to pay for tuition; room and board; computers; textbooks and other qualified education expenses at any eligible higher education institution in the U.S. or abroad. This includes colleges, universities, trade schools and apprenticeship programs. Account funds can also be used for tuition expenses in connection with enrollment at a K-12 institution, repayment of qualified education loans or rolled over to the beneficiary’s Roth IRA. Iowa taxpayers invested in either of the state’s 529 plans can deduct up to $5,500 in contributions from their 2024 taxes. Since the deduction applies to each beneficiary account, a family of four can maximize the state tax deduction when both parents open accounts for their two children – increasing the deduction to $22,000 (4 x $5,500) in 2024.

Learn more at ISave529.com and IAdvisor529.com. Connect with the Treasurer on Facebook, Instagram and X to stay up-to-date on all areas of the office. For additional details, read the plans’ program descriptions