Sunday, May 1, 2011

State Treasurer Clint Zweifel announces Kindle giveaway

State Treasurer Clint Zweifel announced today MOST–Missouri’s 529 College Savings Plan will award Kindles, which are electronic readers, to two lucky Missourians as part of the plan’s 529 College Savings Day® celebration. Winners will be selected from the pool of applicants who enter for a chance to win at www.most529savings.com by clicking on the 529 Day button. Entries will be accepted from May 1 through May 31, 2011. There will be three winners receiving the following prizes:

1st Place – Winner will receive a Kindle and $50 Amazon.com gift card.

2nd Place – Winner will receive a Kindle.

3rd Place – Winner will receive a $50 Amazon.com gift card.

“I am excited we can give these great summer learning tools away and remind Missourians of the importance of college savings at the same time. Consistent contributions to MOST 529 can have a big impact, just like reading regularly,” said Treasurer Zweifel, who sponsors the college savings program. “To facilitate continued learning beyond grade school and high school, Missourians will also get the largest cost reduction ever on their MOST 529 Plan investments. The change takes effect on June 6 and makes MOST 529 one of the lowest costing plans in the nation, helping you keep more of your money invested in the future of your child.”

The giveaway is open to Missourians age 18 or older.* Winners will be notified by phone June 1, 2011, and announced June 8, 2011.

Falling on May 29, 529 College Savings Day® is meant to remind Missouri’s families that saving for college is one of the most important things they can do for the children in their lives. Saving even a little bit of money as early as possible is integral to lowering the expense hurdle of a college education.

“If you start investing $50 per month in a MOST 529 account when a child is born, you could accumulate $16,633 by the time the child turns 18,**” Treasurer Zweifel said. “Small investments can add up over time to make a real impact on a child's education.”

MOST 529 currently has more than 123,000 account owners and more than $1.5 billion in assets, all-time highs for the plan.

With MOST 529, you can:

  • Start saving with as little as $25. Additional contributions of $25 may be made at anytime.
  • Save on taxes. Contributions and earnings grow deferred from federal and Missouri state income taxes, and can be withdrawn tax-free when used for qualified higher-education expenses.*** Plus, Missourians who are account owners qualify for a state income tax deduction on their contributions of up to $8,000 per tax year ($16,000 if married and filing jointly).****

· Choose from a variety of investments. With a wide variety of investment options, account owners can find an investment that matches their goals and comfort level.

For more information about MOST 529, visit www.most529savings.com or www.treasurer.mo.gov.

About the MOST 529 Plans

State Treasurer Clint Zweifel sponsors MOST 529, the tax-advantaged program that enables families to save for a child’s higher education. MOST 529 is an affordable, low-cost, tax-deferred way to save for higher education expenses. Investments in the plans can be used towards many qualified higher education expenses, including tuition, certain room and board expenses, books and mandatory fees at most four-year colleges and universities, many two-year institutions and vocational schools and some schools abroad. In addition, savings in MOST 529 can be used towards associate's, bachelor's and advanced degrees. Account owners may deduct up to $8,000 in contributions each year in computing their state income tax and married couples filing jointly may deduct up to $16,000 annually. Contributions to MOST 529 in a tax year are deductible from Missouri state income tax, but may be subject to recapture in subsequent years if an account owner makes a nonqualified withdrawal.

* Except employees and their immediate families and members of the same household of the sponsor (MOST—Missouri's 529 College Savings Plan), The Vanguard Group, Inc.; Upromise Investments, Inc.; State Treasurer Clint Zweifel’s office; and their respective agents or affiliates.

** A plan of regular investment cannot assure a profit or protect against a loss in a declining market. Monthly investments of $50 for a period of 18 years; annual rate of return on investment of 5% and no funds withdrawn during the time period specified. This hypothetical example is for illustrative purposes only. It does not reflect an actual investment in any particular 529 plan or any taxes or penalties payable/due upon distribution.

*** Earnings on 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.


**** Contributions to the plan in a tax year are deductible from Missouri state income tax, but may be subject to recapture in subsequent years if you make a nonqualified withdrawal.

Investment returns are not guaranteed, and you could lose money by investing in the Plan. Participants assume all investment risks, including the potential for loss of principal, as well as responsibility for any federal and state tax consequences.

If you are not a Missouri taxpayer, consider before investing whether your or the designated beneficiary's home state offers any state tax or other benefits that are only available for investments in such state's qualified tuition program.

For more information about MOST—Missouri's 529 College Savings Plan, call 1-888-414-MOST or visit www.missourimost.org to obtain a Program Description, Privacy Policy, and Participation Agreement. Investment objectives, risks, charges, expenses, and other important information are included in this document; read and consider it carefully before investing. Vanguard Marketing Corporation, Distributor and Underwriter.

The Missouri Higher Education Savings Program (the "Program Trust") is a trust created by the State of Missouri. When you invest in MOST—Missouri's 529 College Savings Plan (the "Plan"), you are purchasing portfolio units issued by the Program Trust. Portfolio units are municipal securities. The Plan has been implemented and is administered by the Missouri Higher Education Savings Program Board (the "Board"). Upromise Investments, Inc., and Upromise Investment Advisors, LLC, serve as the Program Manager and Recordkeeping and Servicing Agent, respectively, with overall responsibility for the day-to-day operations, including effecting transactions. The Vanguard Group, Inc., and American Century Investments serve as Investment Managers for the Plan. Vanguard Marketing Corporation, an affiliate of The Vanguard Group, Inc., markets and distributes the Plan. The Plan's portfolios, although they invest in mutual funds, are not mutual funds.


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