A deadline is looming for those that want to save money, tax-free, for a college education. Iowa State Treasurer Mike Fitzgerald says parents, grandparents and others can still set up a College Savings Iowa plan this year. But Fitzgerald says the contribution to the fund must be postmarked by December 31st to take advantage of the plan on this year’s income taxes.
Participants in the program can contribute up to $2,595. "You don’t have to put in $2,500, you start it as little as $25," Fitzgerald says, "and then of course the program will grow tax free from the federal government and the state government until the child goes to college."
Fitzgerald says it’s easy to sign up for the program on-line at www.CollegeSavingsIowa.com. He says you only need to supply your name, address, social security number, who you’re saving for, and select from one of 13 investment options.