529 PLANS

CollegeBound Saver (Direct-sold)

Rhode Island

The CollegeBound Saver program is Rhode Island's direct-sold plan open to Rhode Island residents and non-residents. It features a menu of age-based and static portfolio options utilizing Invesco, Vanguard and BlackRock mutual funds along with a stable value option.

5-Cap Rating

Resident:
Non-Resident:

Savingforcollege.com's 5-Cap Ratings provides an evaluation and comparison of 529 plans, utilizing a formula that examines dozens of factors grouped into the following categories. (Scale 0 to 5; 5 is highest)

Performance Costs Features Reliability Resident Upgrade
NA NA NA NA NA

Start saving today

Access enrollment materials and open an account with CollegeBound Saver (Direct-sold) in just a few easy steps.

Enroll Now

General

Program type:

Savings

How to enroll:

Enroll directly with the program. Enroll Now

Initial year of operation:

1998, substantially changed in 2016.

State agency(ies):

General Treasurer of Rhode Island

Program manager:

Ascensus College Savings

Program distributor:

Ascensus College Savings

Manager contract term:

Premium subscription required for this data.

Eligibility

State residency requirements:

None

Who can be a participant/owner in the program?

U.S. citizens and resident aliens, UGMA/UTMA custodians, and legal entities.

Significant time or age restrictions imposed by the program:

None

Contributions

Maximum contributions:

Accepts contributions until all account balances in Rhode Island's 529 plan for the same beneficiary reach $395,000.

Minimum contributions:

None

Investment Options

Age-based investment options:

The Age-Based Portfolios option contains 11 age bands corresponding to expected dated of college enrollment. The asset mix (or allocation) of the Age-Based Portfolios shifts to a more conservative investment allocation over time.

Static investment options:

Select among three Target-Risk Portfolios (Growth, Moderate Growth and Conservative), seven individual-fund portfolios and a stable value option.

Underlying investments:

Invesco, Vanguard and BlackRock.

Underlying fund allocations:

Premium subscription required for this data.

See Investment Options

Fees & Expenses

Enrollment or application fee:

None.

Account maintenance fee:

None.

Program management fees:

0.25%; none for Rhode Island residents

Expenses of the underlying investments:

0.09% - 0.12% in the age-based options; 0.13% to 0.15% in the target-risk portfolios; and from 0.04% to 0.60% in the individual-fund portfolios.

Total asset-based expense ratio:

0.29% - 0.85%; 0.04% - 0.60% for Rhode Island residents

Taxes and other Benefits

Program match on contributions:

Children born to or adopted by Rhode Island families are eligible for a $100 “CollegeBoundbaby” grant to be used for Qualified Expenses if the request is received by the Treasurer within one (1) year of their birth or adoption.

State tax deduction or credit for contributions:

Contributions to the Rhode Island 529 plan of up to $500 per year by an individual, and up to $1,000 per year by married taxpayers filing jointly are deductible in computing Rhode Island taxable income, with an unlimited carry forward of excess contributions. Rollovers from another 529 plan are not deductible. Contribution deadline is December 31.

State tax recapture provisions:

The principal portion of rollovers and nonqualified withdrawals from this plan within two taxable years of the contribution are included in Rhode Island taxable income to the extent of prior Rhode Island tax deductions.

State tax treatment of qualified distributions:

Qualified distributions from Rhode Island and non-Rhode Island 529 plans are exempt.

State tax treatment of rollovers:

Rhode Island follows federal tax-free treatment except that, in the two taxable years following the year of deduction, outbound rollovers are subject to the recapture of prior state tax deductions.

Does the sponsoring state exclude the value of an account for state financial aid purposes?

Yes

Does participation in the program provide beneficiaries with any advantages in qualifying for resident tuition status at state institutions?

No

Does the program have a formal agreement with a rewards program or outside scholarship program?

Yes, with Upromise. The Upromise Rewards service is free to join and offers cash back for college. Plus, members can earn additional cash back with the Upromise MasterCard®.

Statutory protection of an account from creditors:

Premium subscription required for this data.

Distributions & Terminations

To whom are distributions made payable:

Eligible educational institution, beneficiary, or account owner, as directed by the account owner.

Account Changes

Policy regarding participant/owner changes:

Accepts requests to transfer account ownership.

Documents, Access & Reporting

Does participant have online password-protected access to account?

Yes

Can the complete enrollment process including funding be done online?

Yes

Documents and other services accessible or downloadable on the program's public Web site:

Premium subscription required for this data.

Contact

Web site:

visit Enroll Now

Telephone:

1-877-517-4829

State News

Open an account in just a few easy steps. Start saving today!

Enroll Now
 
page loadtime mark

Advertisement


close