529 Day Fast Facts

In recognition of 529 Day – May 29th – we’re sharing some quick facts about higher education costs, and about Edvest, Wisconsin’s official 529 College Savings Plan. (Get it? 5/29?) On to the facts!

The average monthly student loan payment for grads age 20 – 30 is $351.

That’s money that could be going to a car payment, rent, or savings for a down payment on a home. Saving now may really help their quality of life later.

Source: clevelandfed.org

Every $1 in savings is equal to $2 in student debt.

Repaying loans means repaying the amount borrowed plus interest. By contrast, your savings is just your savings and any earnings that may accumulate in your Edvest account is just more money that can go to higher education expenses. Learn more about saving versus borrowing here.

Another day you don’t save is a missed opportunity!

It’s as simple as visting Edvest.com and selecting Open an Account. Have your future student’s birthdate and social security number handy, and you’re ready to start saving. Questions? Just call us! College savings specialists are available Monday thru Friday, 7 am – 7 pm toll-free at 1.888.33.3789.

College savings for anyone.

You just need to be 18 years old with a valid social security number. That means you can open an account for your kid sister, child, grandchild, cousin, niece, best friend’s son…anyone. (Even yourself!)

Edvest is for tuition and more.

Yes, you can use Edvest funds for tuition. You can also use the funds for qualified education expense such as room and board, books, computers/tablets and Internet access, and more.

Go to the school of your choice.

Edvest doesn’t limit where your funds can be used. You can use your Edvest funds at public or private colleges, universities, technical colleges, graduate schools, or certificate programs in Wisconsin, out of state, and many schools abroad.

Edvest has tax benefits

Wisconsin residents who contribute to an Edvest account may be eligible to reduce their state taxable income. Any earnings on the account may grow tax-free. Plus, funds may be withdrawn free from state and federal taxes when used for qualified expenses.

Ready to celebrate 529 Day? Open an account or contribute to one now at Edvest.com.

Money Smart Week Wisconsin

Saturday, April 22, 2017 (All day) to Saturday, April 29, 2017 (All day)

Money Smart Week is a  week-long public awareness campaign by governmental and community organizations to promote the importance of financial literacy and help consumers better manage their personal finances through hundreds of financial education events and courses. More information on the Money Smart Week website. Learn more about a free Student Loan Assistance Event,  April 22nd  from 9 AM to 2 PM.

Tax Time and Super Funding

It’s Not Too Late! Take Advantage of Edvest’s Tax Time Benefits Today.

Although the April 18th tax deadline is quickly approaching, you still have time to contribute to an existing Edvest College Savings Plan account or open a new account to be eligible for a state tax deduction of up to $3,100 per child. Limitations may apply. See Plan Disclosure Booklet.

Enjoy Significant Tax Benefits while Saving for College!

Wisconsin residents, regardless of their relationship to a child, can reduce their state taxable income up to $3,100 per beneficiary per year. Meaning that if you have accounts for two of your children or grandchildren you may be eligible for a state tax deduction of up to $6,200. Three accounts… $9,300 and so on.

Plus, Edvest investment earnings grow tax-deferred and are tax-free at both the state and federal level when used to pay for qualified college expenses.

Carry Forward for Future Tax Benefits

Are you rolling over balances from another 529 plan or plan to make a large contribution from savings, inheritance or bonus? If your contributions are greater than the maximum state tax benefit, you may carry forward the balance until exhausted.

Want to Really Build your College Savings? Super Fund.

You might find you want to make a larger donation to a child’s account but you’re hesitant to commit. What will it mean for you during tax time? What are the implications to your estate? Don’t worry, you can give with confidence and it won’t adversely impact your tax situation. In fact, there’s no federal gift tax on contributions up to $14,000 per year for single filers and $28,000 for married filers.

If you wish to make a larger contribution, there’s an option to gift amounts up to $70,000 for single filers and up to $140,000 for married filers if pro-rated over 5 years. This means you could make a one-time gift equivalent to the 5-year amount and it could all qualify for the federal gift tax exclusion. Consult your tax advisor.

Why Save with Edvest?

As the cost of higher education continues to rise, it is important to start saving early. Today, $351 is the average monthly student loan payment for an American adult borrower, ages 20-30. $351.* The good news, however, is that, one dollar in college savings is worth about $2 of student debt, proving what many of us already know: it’s cheaper to save earlier than to pay debt later.

Saving makes a difference and Edvest makes it easy to do just that. Funds saved through Edvest can be used at colleges, technical schools and grad schools nationwide. Plus, funds may be used for books, supplies, or other qualified expenses – not just tuition. To learn more, visit Edvest.com or call 1-888-338-3789.

And remember, any Edvest account opened and funded before April 18, 2017 may still be eligible for 2016 tax benefits!

*Source: “Is there a student loan crisis? Not in payments.”, Forefront, May 16, 2016.


To learn more about the Wisconsin’s College Savings Plan, its investment objectives, tax benefits, risks, and costs please see the Disclosure Booklet at edvest.com. Read it carefully. Investments in the Plan are neither insured nor guaranteed and there is the risk of investment loss. If the money isn’t used for qualified higher-education expenses, a 10% penalty tax on earnings (as well as federal and state income taxes) may apply.  Check with your home state to learn if it offers tax or other benefits for investing in its own 529 plan.

Taxpayers should seek advice from an independent tax advisor based on their own particular circumstances.

College Savings Resources for Educators

Edvest is pleased to be attending the 2017 Wisconsin State Education Convention for the fourth straight year. Conference attendees are welcome to stop by Booth 904 to learn more about Wisconsin’s official college savings plan. And if you’re not attending, here’s a quick reminder of your college savings resources:

Order free Edvest informational kits and brochures

Request a college savings speaker or an Edvest booth

Calculate college costs

Get the facts on Federal Student Aid


College Savings Plan Network

Help us share the importance of saving for college among Wisconsin families! The Federal Reserve reports that as of March 2016, U.S. student loan debt is more than $1.3 trillion. However, saving for higher education expenses can help. It’s estimated for every $1 saved, you save $2 in student loan debt.

Edvest is Wisconsin’s 529 College Savings Plan designed to help families save for higher education expenses. It takes just $25 and 15 minutes to start an Edvest college savings account. Account owners can choose from 17 investment portfolios while enjoying one of the lowest cost 529 plans in the country along with in-state tax advantages for Wisconsin residents. Learn more at Edvest.com.

Edvest Receives 5-Cap Rating for Third-Straight Year

Edvest College Savings Plan is happy to announce that it received SavingforCollege.com’s 5-Cap Rating for Wisconsin residents for the third consecutive year! Edvest offers attractive plan features such as a Wisconsin state tax deduction, a wide range of investment choices as well as little to no fees, including no sales commissions, no annual maintenance fee, and no application fee. Edvest also received a 4.5-Cap Rating for non-Wisconsin residents.

“We are excited and quite honored to receive a 5-Cap Rating from SavingforCollege.com again this year,” said Jim DiUlio, director of Edvest. “This award recognizes the continued strength and stability of Edvest as one of the country’s leading 529 plans.”

Each year, SavingforCollege.com conducts a nation-wide review of 529 savings plans and assesses multiple factors like performance, cost and reliability. Receiving a 5-Cap rating is an incredible distinction as it demonstrates that a 529 plan like Edvest provide outstanding flexibility, attractive investments as well as additional economic benefits, such as state tax benefits.

*Source: Savingforcollege.com, December 1, 2016.The Edvest College Savings Plan received a 5-Cap Rating for Wisconsin residents and 4.5-Cap Rating for non-residents. A 5-Cap Ratings represents the attractiveness of a 529 plan, relative to all other 529 plans, by assigning an overall rating to each 529 program ranging from 1 Cap (least attractive) to 5 Caps (most attractive). 5-Cap Ratings represent an assessment based on many considerations such as flexibility, liquidity and availability, ownership rights, state benefits, investment approach and safety, program resources and financial aid impact. It is not strictly a measure of historical returns, and it is not a predictor of future investment performance, level of investment risk or financial solvency of the program funds. These ratings are not the result of a fixed formula and a significant portion of the analysis is subjective. Before establishing a 529 account and making contributions, it is imperative that investors read and understand all enrollment materials and disclosures from the programs.

Give the Gift of a Lifetime: A College Education

Every year shoppers line up outside of stores for hours with hopes of nabbing the latest and greatest holiday gifts for their favorite boys and girls. This year, skip the hassle and give the gift of education. Edvest College Savings Plan makes it easy to gift with these simple options:

  1. Give a new Edvest Gift Card, available for purchase at Edvest.com
  2. Invite family & friends to eGift directly into an Edvest account online, securely
  3. Write a check or open and fund an Edvest account

Just in time for the holidays, Edvest now offers gift cards available for online purchase. With denominations ranging from $25 to $500, gifts can be sent to your budding scholar via email, text message or as a physical card. Gift cards have no expiration date for redeeming the funds.

Another gifting option is Edvest eGift – a secure, online platform for friends and family to gift to a child’s 529 account at no charge. eGift now offers gifting codes that can shared via email and social media accounts and never expire! Friends and family can reuse the code as often as they like, making repeat contributions even easier. Users will also notice eGift’s new look with cleaner, more user-friendly interface and personalized gifting options for any occasion.

Those who wish to make a onetime gift to the 529 account via check can complete the simple gift deposit form and mail it with the contribution. If your child doesn’t already have a plan with Edvest, start a 529 account during the holiday season. It takes only $25 and 15 minutes to make a lifelong impact.

Tax advantages of gifting
Along with helping your child succeed, you’ll enjoy some tax advantages when you contribute to an Edvest account. If you are a Wisconsin resident, you may qualify for state tax advantages when you make a gift. (That goes for in-state family and friends, too.)

  • Edvest contributions by Wisconsin residents can reduce their state taxable income by up to $3,100 per beneficiary each year.
  • Any account earnings can grow federal and Wisconsin income tax-deferred.
  • Funds may be withdrawn tax-free when they are used for qualified higher education expenses.

Limitations may apply. See Plan Disclosure Booklet.

Morningstar: “Edvest College Savings Plan is a solid offering … for residents and nonresidents alike”

Edvest, Wisconsin’s 529 College Savings Plan, maintains Bronze rating from Morningstar Inc.

We’re very happy to announce that Edvest College Savings Plan once again received a Bronze rating, awarded by independent investment research and management firm, Morningstar, Inc. ™1 In their analysis, Morningstar noted Edvest’s breadth of investment options and the low costs associated with the plan during its annual review.

Investment Options

Morningstar’s analysis identified Edvest as a 529 plan that “pairs its actively managed risk-based portfolios with a set of primarily index based portfolios,” which meet the needs of both passive and active investors. Morningstar also commended the wide range of individual options offered, including the unique principal plus option with a guaranteed return of 1.25% through December of this year.

Low Costs

Morningstar specifically pointed out that Edvest is one of just a few states to offer such a wide variety of attractive investment options at such competitive prices. Edvest has no application, annual account maintenance, cancellation, change in beneficiary, or change in investment portfolio fees. Plus, the Plan’s annual asset-based fees range from as low as 0.00 to 0.43 percent. And of course, low fees can mean more money saved for higher education costs.

“We are always excited to receive recognition for our hard work here at Edvest,” said Jim DiUlio, Director of Edvest. “So much time and energy goes into maintaining a strong 529 plan like Edvest, which balances a wide variety of investments with low cost, creating value intensive plans for families looking to save for higher education.”

In addition to the Bronze rating, Edvest was recently ranked as the 529 plan with the 4th lowest fees in the nation by Strategic Insight.2 Learn more about the ranking here.


1In an annual review (10/25/2016) of the largest 529 college-savings plans (63 total), Morningstar identified 33 plans that rose above their typical peers, awarding those plans Gold, Silver, and Bronze Morningstar Analyst Ratings for 2016. These forward-looking, qualitative ratings signal Morningstar’s conviction in the plans’ abilities to outperform their relevant benchmark and peer groups on a risk-adjusted basis over the long term. Morningstar evaluates college-savings plans based on five key pillars–Process, Performance, People, Parent, and Price. For more information about Morningstar’s overview of Edvest go to 529.morningstar.com. Past performance does not predict future results. Source: http://news.morningstar.com/

2The Strategic Insight 529 College Savings Quarterly Fee Analysis (Q2 2016) is based on program descriptions and participating agreement documents gathered by a third-party research firm and analyzed by Strategic Insight. As part of the process, Strategic Insight analyzes the 529 program manager and state agency disclosure statements, press releases and organization websites to ensure data quality and categorization. The average minimum, maximum and total annual asset based fees at the plan levels are calculated via an un-weighted index average, or arithmetic mean method.


College: The way you pay matters

September 1st kicks off College Savings Month – a time to assess your savings goal progress. As college costs continue to rise, more students are relying on loans to pay for tuition and supplies. Although using loans is common, the long-term impact of carrying large amounts of debt post-graduation can come as an unwelcome surprise to many young adults. Fortunately, there are steps families can take to help students reduce the need to borrow.

Loan debt and life after college

A recent government study, Report on the Economic Well-Being of U.S. Households in 2015, published in May of this year cites the average monthly loan payment graduates are making as $533. Making that payment, along with covering rent, utilities, and basic needs on an entry-level salary can be daunting. Add trying to save for a wedding, car, or a down payment on a home into the mix, and it’s easy to see why young people are frustrated.

What’s more, for some juggling all of those bills can lead to late or missed payments, which in turn can hurt credit scores and add one more hurdle to overcome.

As the chart below illustrates, an education funded by savings costs less than one funded by loans. If you’re relying largely (or entirely) on savings, the cost to you is simply the amount of money you put into your account. If your account offers a rate of return or interest, you have the potential to earn money on top of your savings. If your account offers tax-free growth of any earnings, you have the potential to keep more of what you earn. By contrast, loans charge you interest so you wind up paying more than the amount of college tuition and other related expenses.


Source: Savingforcollege.com
This chart hypothetically assumes four years of college (current annual cost of $20,000) for a child born today. To meet that expense 18 years from now, you would need to save $448 per month (from birth) in a 529 plan — totaling $207,456; $113,000 in contributions and $94,456 in earnings, assuming a conservative 5 percent college cost inflation rate and a 6 percent annual investment return. If the same funds were borrowed to pay for college rather than saving and investing your child would graduate owing about $276,383 in loans. This translates into a monthly payment of approximately $2,303 over 10 years, assuming a 6 percent loan interest rate. In other words, college would end up costing an additional $163,383, or more than double in out-of-pocket costs, than if you had saved and invested in advance.

Saving strategies for kids of all ages

If you’re a young parent, you may be feeling the squeeze firsthand. And, given recent trends, chances are good that you put off starting your family until your debt was under control.

Save first

So how can you help your own children avoid the same squeeze when it’s time for them to head to college? Start saving now, even if it’s a modest amount every month. Edvest accounts can be opened for $25. There is no application fee, no sales fee, no commissions paid on accounts, no annual maintenance fee, and our asset-based fees rank fourth lowest among direct-sold 529 plans nationwide* – all of which helps make saving for college more affordable for Wisconsin families.

Cost-effective college credit

As your kids get a little older, taking Advanced Placement (AP) classes in high school can be a way to get college credit before college (and reduce the number of classes you’ll need to pay for). Enrolling in a two-year UW College or Wisconsin Technical College to cover freshman and sophomore level classes can also be more affordable than going directly to a larger university or college after high school. Just be sure to research which credits transfer from one institution to the next.

Start saving early, and save often

There is a clear advantage in starting your child’s college savings as early as possible. (Remember, it’s good to save whatever you can whenever you can, so if your “baby” is a tween, don’t use that as an excuse to avoid saving.) Starting early can position you to best harness the power of compounding, the calculation of return/interest on initial principal plus the accumulated interest from prior periods. Investopedia encourages investors to think of compounding as “interest on interest that will make a deposit or loan grow at a faster rate than simple interest, which is interest calculated only on the principal amount.” (Investopedia.com, 8/31/2016) Try our calculator to get an idea of how your savings can add up.

Contributing to your child’s account regularly can help you build savings and get closer to your goal. You can set up automatic deposits from a bank account or automatic payroll deduction. Although saving for college might feel unattainable, like any major financial goal, it’s much easier to potentially achieve over time.


This chart assumes a $5,000 lump sum investment, a $100 monthly investment and 6% annual rate of return. The calculations are for illustrative purposes only and the results are not indicative of the performance of any investments. The calculations do not reflect any plan fees or charges that may apply. If such fees or charges were taken into account, returns would have been lower. With any long-term investment, investment return may vary. Such automatic investment plans do not assure a profit or protect against losses in declining markets.

Encourage family and friends to gift

You can also let family and friends know that Edvest would be a welcome gift for birthdays, holidays, or graduations. They can contribute online or by mail, and if they’re Wisconsin residents they could be eligible for tax benefits.

Making a contribution to an Edvest account is simple, and there are options for everyone:

  • eGift – Invite friends and family to gift into your child’s account securely, online at no charge.
  • Check/electronic transfer – Download a gift deposit form and mail to Edvest with a completed check (account owner will need to share the Edvest account number) or make a one-time electronic transfer from a bank account.
  • Open an Edvest account for the child or grand-child in your life and set up automatic contributions.

Visit Edvest.com/gift for downloadable gift certificates to let you know a contribution has been made to your child’s account.

Adding it all up

With commitment, a plan that’s right for your family, and savings tools such as Edvest, you can make a real difference when it comes to paying for your child’s higher education costs.

But don’t take our word for it. Just watch this short video to learn what one Edvest user was able to accomplish.

Ready to open your own account? Visit Edvest.com to get started.

* The Strategic Insight 529 College Savings Quarterly Fee Analysis (Q2 2016) is based on program descriptions and participating agreement documents gathered by a third-party research firm and analyzed by Strategic Insight. As part of the process, Strategic Insight analyzes the 529 program manager and state agency disclosure statements, press releases and organization websites to ensure data quality and categorization. The average minimum, maximum and total annual asset based fees at the plan levels are calculated via an un-weighted index average, or arithmetic mean method.

Win $529 for College

Help us celebrate 20 years of 529 college savings plans!

In 1996, Congress established a new way to help Americans save for higher education by creating section 529 of the Internal Revenue Code. One year later, Wisconsin established the state’s own 529 college savings plans, today known as the Edvest College Savings Plan (direct-sold) and Tomorrow’s Scholar (advisor-sold).

With more than 11.7 million 529 college savings plan accounts totaling more than $235.4 billion as of March 31, 2016, it’s clear that 529 college savings plans nationwide have had a tremendous impact on how Americans save for college.*

In recognition of this milestone anniversary, TIAA-CREF Tuition Financing, Inc., a national leader in the program management of 529 college savings plans, and Plan Manager of the Edvest College Savings Plan, announced an opportunity for a chance to win $529 toward Edvest or another TFI-managed 529 college savings plan. For official rules, prize details and to enter, visit tiaa.org, click on “What We Offer” and then select “529 college savings” or visit www.529turns20.com. Online entries must be submitted by August 31, 2016 and one winner will be randomly selected from among all entries in September.

No purchase necessary. Void where prohibited. Sponsored by TIAA-CREF Tuition Financing, Inc.

*Strategic Insight, 1Q2016 529 Quarterly Data Update, 4/29/16.