News & Press Releases
OCSP offers up to $50 for new accounts during Cyber Monday
OKLAHOMA CITY — As the holiday shopping season begins, State Treasurer Ken Miller wants Oklahoma parents and grandparents to remember that the gift of education will outlast a pair of socks or this year’s trendiest toy.
Miller, board chairman of the Oklahoma 529 College Savings Plan (OCSP), is encouraging gift-giving Oklahomans with young children or grandchildren to consider the gift of education this year by opening an OCSP account for their loved ones.
To make such a gift even more attractive, OCSP is offering a special bonus promotion this year in conjunction with Cyber Monday. New accounts opened from Nov. 25-29 at the special promotional page www.ok4saving.org/give will be eligible for a bonus contribution of $25 from the OCSP. In addition, those who open a new account and also opt to begin an automatic contribution plan will be eligible for another $25 bonus contribution from OCSP, for a total of $50.
“A college education will benefit your child or grandchild throughout their lives, long after toys have broken and clothes have been outgrown,” Miller said. “Putting a little bit of your gift-giving budget into an OCSP account can make a difference years from now, and a bonus contribution from the OCSP to help get started certainly is helpful.”
Miller noted that only 24.6 percent of Oklahomans had a four-year degree in 2015, compared to the national average of 30.6 percent, according to statistics from the nonprofit Prosperity Now.
“College graduates have greater job opportunities and earn substantially more over their lifetimes,” Miller said. “Yet many consistently underestimate how much they’ll need to save to pay for college. Making a plan and committing to even small contributions over time can save college graduates from piles of student loan debt. This is a great chance to get a head-start on saving.”
Parents, grandparents, relatives or friends who are U.S. citizens or permanent residents and at least 18 years old may open an OCSP account on behalf of a beneficiary, and the minimum initial contribution is only $100. Once an account is open, anyone can contribute, making the OCSP a great gift idea for all family and friends.
Through Oct. 31, 2017, more than $630,000 has been contributed through the OCSP e-gifting program, representing almost 900 gifts. Last year, 36 percent of all e-gift contributions and 47 percent of gifted dollars were received in November and December.
At the OCSP website, www.ok4saving.org, the state’s 529 college savings plan provides gift-givers with an e-gifting option where contributions can be made to an OCSP account online, and “Gift of Education” certificates can be created to show the contribution to a loved one’s account.
For those hoping family and friends will contribute to an existing plan instead of giving a more traditional gift, OCSP has created an option to allow account owners to send a tactful, prewritten email inviting others to contribute to their existing OCSP account.
“An OCSP account contribution is an especially great gift for toddlers and newborns since there is more time to potentially grow that contribution before the child heads to college,” Miller said.
More information about opening an OCSP account can be found at www.ok4saving.org.
About the OCSP
Oklahoma taxpayers may deduct from their Oklahoma adjusted gross income up to $10,000 in contributions to the Oklahoma 529 College Savings Plan for individual taxpayers and up to $20,000 for taxpayers filing a joint return with a five-year carryforward. Read the Disclosure Booklet carefully.
Any earnings in an OCSP account are federal and Oklahoma income tax-deferred, and distributions are also federal and Oklahoma income tax-free when qualified withdrawals are made to fund an array of student expenses at most institutions of higher learning. Funds may be used at virtually any private or public university, college or career technology center nationwide.
Introduced in April 2000, the Oklahoma 529 College Savings Plan had more than $825 million in total assets and more than 64,000 accounts, as October 27, 2017.
Consider the investment objectives, risks, charges and expenses before investing in the Oklahoma College Savings Plan. Please visit www.ok4saving.org or call toll-free 1-877-654-7284 for a Plan Disclosure Booklet containing this and more information. Read it carefully.
Check with your home state to learn if it offers tax or other benefits such as financial aid, scholarships and protection from creditors for investing in its own 529 plan. Investments in the Plan are neither insured nor guaranteed and there is the risk of investment loss.
Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor. If the funds aren't used for qualified higher education expenses, a 10% penalty tax on earnings (as well as federal and state income taxes) may apply.
Investments in the Plan are neither insured nor guaranteed and there is the risk of investment loss. TIAA-CREF Tuition Financing, Inc., Program Manager. TIAA-CREF Individual & Institutional Services, LLC, member FINRA, distributor and underwriter for the Oklahoma College Savings Plan.