Features and benefits of payroll deduction.

YES, IT REALLY DOES MAKE SAVING THAT MUCH EASIER

Tax-free

Earnings on withdrawals used for qualified higher education expenses like tuition, room and board, or books, are exempt from both federal and Ohio income tax.

Earnings on withdrawals not used for qualified higher education expenses may be subject to federal income tax and a 10% federal tax penalty.

$2,000 state of Ohio state tax deduction

CollegeAdvantage is the only 529 college savings program that allows Ohio taxpayers to deduct their contributions from Ohio taxable income. Each contributor can deduct up to $2,000 per beneficiary, per year, with unlimited carry forward in future years. The deduction isn’t limited just to parents of the beneficiary, so friends and other relatives can contribute to the account and take the deduction as well.

Use funds at any college in the country

Funds can be used at any accredited college in the country to pay for tuition, fees, room and board, books, and other qualified college expenses.

Nationwide eligibility

Even employees who live outside of Ohio can participate.

Before employees invest, they should consider whether their home state offers a 529 plan that provides its taxpayers with state tax and other benefits not available through this plan.

Professional money management

Your employees can choose from a variety of investment options managed by leading financial firms such as The Vanguard Group, Fifth Third Bank, PIMCO, OppenheimerFunds and GE Asset Management.

Low fees

CollegeAdvantage makes saving for college affordable with some of the lowest fees among 529 plans across the country. Your employees pay no application fee, no annual account maintenance fee, no front loads and no contingent sales charges. The annual asset-based fees for the mutual fund-based options are as low as 0.19%. There are no fees for the Fifth Third 529 options.

Complete control

Your employees can transfer money, change beneficiaries, withdraw funds, or reallocate investments as they choose. Plus, if a child decides not to attend college, the account owner can defer use of the account, change the beneficiary, or withdraw the funds. Certain changes may result in tax consequences.

Easy online access

Employees can easily open an account, sign up for payroll deduction, and manage their account on this site.