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State Treasurer Encourages Iowans to Maximize Tax Breaks by Donating to Education Savings Plan

State Treasurer Robby Smith is urging Iowans to take advantage of the opportunity to contribute to an I-Save 529 plan for education and receive a tax break for the year 2024. With the tax deadline approaching on April 30th, Smith emphasizes the importance of notating the deposit for the specific tax year to ensure eligibility for the state tax break.

Renamed from College Savings Iowa, the I-Save 529 plan now encompasses various forms of education beyond traditional college expenses. Smith highlights the flexibility of the plan, allowing contributions made between January 1st and April 30th, 2025, to be allocated for the 2024 tax year with proper notation.

Encouraging Generosity for Education
Smith emphasizes the significance of contributing to the I-Save 529 plan as a meaningful gift that can benefit individuals for a lifetime. Whether as a Christmas present or a year-end donation, supporting education through the plan can have lasting impacts on recipients.

Expanded Educational Opportunities
The I-Save 529 plan offers tax-free utilization of funds for qualified education expenses at a wide range of eligible institutions, including colleges, apprenticeship programs, trade schools, and even K-12 institutions. Additionally, the funds can be used for tuition expenses, loan repayments, or rolled over to a Beneficiary’s Roth IRA, providing versatile options for educational funding.

Empowering Iowans for Financial Wellness
By promoting contributions to the I-Save 529 plan, State Treasurer Smith aims to empower Iowans to prioritize education and financial planning. This initiative not only supports individuals in pursuing their educational goals but also fosters a culture of financial wellness within the community.

As the tax deadline approaches, Iowans are encouraged to seize the opportunity to maximize their tax breaks by donating to the I-Save 529 plan for education. By investing in the future through education, individuals can secure lasting benefits while contributing to the growth and development of their communities.