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529 College Savings Plan About the Plan The Tax Advantages: The Affordability: The Contributing to the plan is simple and easy. You can deposit by check, through automatic account withdrawal, or through automatic payroll deduction (if your employer provides this service). Flexibility: Account flexibility is a key component of the The account owner may close the account or withdraw all or a portion of the funds at any time, even for non college-related expenses; however, any funds withdrawn for nonqualified expenses will be subject to the account owner’s income tax rate plus a 10% IRS penalty on the earnings portion of the withdrawal. If the beneficiary receives a scholarship, the account owner may withdraw funds up to the amount of the scholarship without paying the 10% IRS penalty on the earnings portion of the withdrawal. The IRS penalty is also waived if the beneficiary passes away or becomes disabled. Choices: The diversified investment menu, and use of well-known mutual funds, is a unique advantage to the Nebraska law requires the Trust to be audited by a certified public accountant or the Nebraska State Auditor. You can download a copy by clicking here. These forms are PDF files and require Adobe Acrobat to download. The forms needed to make changes to an existing account or to request a withdrawal can be accessed online or requested by phone or via e-mail. To download a form, please select it from the list below; then complete it and mail it to: TD AMERITRADE 529 College Savings Plan Overnight Address These forms are PDF files and require Adobe Acrobat to download.
If you wish to receive a form via the U.S. Postal Service or have any questions, please contact us at 1-877-408-4644 or e-mail us. 1A donor may elect to treat a contribution to a beneficiary's account as made ratably over a five-year period. As a result a donor may make a contribution to a beneficiary's account of up to $65,000 (or up to twice that much if the donor and his or her spouse elect to “split” gifts) without any negative gift tax consequences, so long as the donor does not make any additional contributions to the account (or any other gifts to the account beneficiary) during that tax year or any of the succeeding four calendar years. A Federal Gift Tax Return (Form 709) is required to be filed. Please consult with your tax or legal professional. If the donor dies before the end of the five-year period, the portion of the contribution allocable to years after the donor's death will be includible in the donor's estate for Federal estate tax purposes. 2You may not make additional contributions to a TD AMERITRADE 529 College Savings Plan account once the aggregate amount of contributions to the Nebraska Educational Savings Plan Trust for a beneficiary equals $360,000 or the value of all accounts in the Trust for the same beneficiary reaches $360,000. Before investing in the Plan, carefully consider the investment objectives, risks, charges and expenses involved. This and other information regarding the plan is included in the Enrollment Handbook (Issuer’s Official Statement), Participation Agreement and each prospectus on the underlying mutual funds, which may be obtained by Emailing us or calling 877-408-4644. Please read each prospectus, the Enrollment Handbook and Participation Agreement carefully prior to investing. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. You should be aware that other states may sponsor their own qualified tuition plans and may offer a state tax deduction or other benefits that are limited to residents who invest in that plan. You should consult with your financial, tax or other advisor about state and local tax benefits or limitations based on your specific situation. Favorable tax treatment by your state of residence should be one of many appropriately weighted factors you should consider in making an investment decision. Investment Products: Not FDIC Insured. No Bank Guarantee. May Lose Value The TD AMERITRADE 529 College Savings Plan (the “Plan”) is a separate class of Accounts in the College Savings Plan of Nebraska. The Plan is sponsored by the State of Nebraska and is intended to operate as a qualified tuition program, pursuant to Section 529 of the U.S. Internal Revenue Code. The Plan offers a series of investment Portfolios within the Nebraska Educational Savings Plan Trust (the “Trust”), which offers other investment Portfolios not affiliated with the Plan. The Nebraska State Treasurer serves as Trustee and Union Bank & Trust Company serves as Program Manager. TD AMERITRADE, Inc. markets the Plan. Every individual's tax situation is different, and it is important to consult a qualified tax advisor regarding the application of the Plan's benefits to your own individual situation. There is no guarantee that any investment portfolio will achieve its investment goals. The value of an account will go up or down based on the performance of the Portfolio in which the account is invested. When funds are withdrawn, they may have more or less value than the total contributions made to the account. Past investment performance is no guarantee of future results. Participation in the Plan does not guarantee that contributions and the investment return on contributions, if any, will be adequate to cover the future tuition and other higher education expenses or that a beneficiary will be admitted to or permitted to continue to attend an eligible educational institution. The investments in the TD AMERITRADE 529 College Savings Plan are not guaranteed or insured by the State of Nebraska, the Nebraska Investment Council, the Nebraska State Treasurer, the State Investment Officer, Union Bank & Trust Company, TD AMERITRADE, the Federal Deposit Insurance Corporation, the Securities Investor Protection Corporation, or any other entity. |
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