General InformationDownload PDF Report
Virginia's Prepaid529 offers a variety of tuition packages to Virginia families.
- Program typePrepaid contract
- Enrollment periodVirginia529 is planning to open Prepaid529 for enrollment March 1 through April 30, 2019.
- State agencyVirginia529
- Tax deduction
Ratings & Rankings
Our overall rating for non-residents
This program is not open to you either because it has residency requirements or because it has stopped accepting new enrollments.
State residency requirements:The account owner, beneficiary, or parent of a non-resident beneficiary at the time of program enrollment must be a Virginia resident or member of the U.S. military who is either stationed in Virginia or who claims Virginia as home of record .
Who can be a participant/owner in the program?U.S. citizens and legal residents at least 18 years old, UGMA/UTMA custodians, and legal entities.
Significant time or age restrictions imposed by the program:The beneficiary must be in the 9th grade or below at the time the contract is purchased. Contract benefits must be used within ten years after the projected date of high school graduation, unless an extension is granted.
Minimum contributions:UNLOCK PRO
Contract prices:Contracts are available in semester increments. In the 2018-19 enrollment, prices range from $8,970 for a 5th to 9th grader to $9,720 for newborn - age 4/5.
Available tuition packages:Prices cover a semester at a Virginia public four-year university/college or 2 2/3 semester at a Virginia two-year/community college. A maximum of ten semesters may be purchased for a beneficiary.
Benefits for beneficiary attending private or out-of-state institution:Private Institutions: The contract will pay the lesser of 1) payments made on the contract plus the actual rate of return earned on the invested funds, compounded annually or 2) the highest in-state undergraduate tuition at a Virginia public institutions in the same semester the benefits are used.
Out-of-State Instituions: The contract will pay the lesser of 1) payments made on the contract plus interest at a reasonable rate of return based on institutional money market rates, or 2) the average in-state undergraduate tuition at Virginia public institutions for the same academic semester the benefits are used.
Contract payment options:Lump sum, initial down payment and installment payments for the balance, or installment payments only. Lump-sum and first monthly payments are typically due by May 1st.
Are program benefits backed by the full faith and credit of the state?No
Are program benefits collateralized or guaranteed in any other way?Yes, state legislation currently provides a financial guarantee in each year's state budget to cover Prepaid529's contractual obligations in the event of a funding shortfall. This provision can only be changed by the Virginia General Assembly, subject to the Governor's veto, and the General Assembly's ability to override a veto.
Fees & Expenses
Enrollment or application fee:Effective May 1, 2014, VA529 no longer charges an application fee for this program if application is submitted online.
Taxes and other Benefits
- Tax deduction for single filers$4,000/yr
- Tax deduction for joint filers$4,000/yr
Married filing jointly residents contributing $100/month can expect an additional $0 a year in tax savings.