General InformationDownload PDF Report
CollegeBound Saver (Direct-sold)
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. Accounts can be linked to the Upromise rewards service.
- Program typeSavings
- Inception1998, substantially changed in 2016.
- State agencyGeneral Treasurer of Rhode Island
- Tax deductionTax deduction for single filers $500/yrTax deduction for joint filers $1,000/yr
- Program ManagerAscensus College Savings
- Program distributorAscensus College Savings
- Manager contract termUNLOCK PRO
Ratings & Rankings
Our overall rating for non-residents
This is an excellent program with many benefits for the participant and positive investment attributes. If it has any significant weaknesses then it also has some particularly good things to recommend it.
Each plan's performance score is developed directly from Savingforcollege.com's Quarterly 529 Performance Rankings. A 529 savings plan must have at least one year of performance history before they will be assigned a 5-cap rating. For those plans that are not part of our quarterly performance rankings, such as plans offering a single set of bank-based investment options, we assign a performance score by evaluating the returns currently available on similar types of investments outside of 529 plans.
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
Did you know?
RI residents can claim a tax deduction for contributions to a RI 529 plan.
Contributions are deductible in computing state taxable income
529 plan contributions grow tax-free.
Withdrawals are tax-free when used to pay for qualified higher education expenses.
You can contribute as much as you want, as often as you want.
The key is to get started. Enroll today by completing a quick form online.
Maximum contributions:Accepts contributions until all account balances in Rhode Island's 529 plan for the same beneficiary reach $395,000.
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.View more age-based investment options
Static investment options:Select among three Target-Risk Portfolios (Growth, Moderate Growth and Conservative), seven individual-fund portfolios and a stable value option.View more static investment options
Underlying investments:Invesco, Vanguard and BlackRock.View a full list of this plan's investment options
Underlying fund allocations:UNLOCK PRO
Portfolio Fees & Performance LookupUNLOCK PRO
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:0.07% - 0.11% in the age-based options; 0.12% to 0.14% 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
- Tax deduction for single filers$500/yr
- Tax deduction for joint filers$1,000/yr
Married filing jointly residents contributing $100/month can expect an additional $0 a year in tax savings.
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 definition of qualified expensesThe state conforms with the federal definition of qualified education expenses, which includes expenses for higher education, as well as up to $10,000 per year in tuition in connection with enrollment or attendance at an elementary or secondary public, private, or religious school.
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, the Upromise Rewards program can be linked to any 529 college savings plan. Upromise Rewards is free to join and offers members cash back for college.
Statutory protection of an account from creditors:UNLOCK PRO
Did you know?
Residents are not limited to investing in their own state's 529 plan.
Another state may offer a plan that performs better and has lower fees.
The 529 plan chosen does not affect which state the student enrolls in.
You can live in New York, open a plan from Nevada and send a student to college in Florida.
The best way to maximize your college savings?
Start early and save often. You can get started today with easy online enrollment.
Distributions & Terminations
To whom are distributions made payable:Eligible educational institution, beneficiary, or account owner, as directed by the account owner.
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:UNLOCK PRO
Start saving for your child's future today
Click the blue Enroll Now button to the right
Complete the online application and make your first deposit