Ohio CollegeAdvantage 529: $25 Matching Contribution

The Ohio CollegeAdvantage 529 college savings plan is offering a $25 matching contribution if you open a new account and invest at least $25 of your own money. No promotion code required. Expires April 30, 2011. (Update: This offer is now expired.) A little kick to get started. Set up an automatic contribution of as little as $25 every month and you’ll barely notice it.

If your in-state plan doesn’t have good tax benefits, I would recommend looking plans with low-cost investment options such as the Utah and Ohio plans (really anyone that offers Vanguard investments). I like Ohio specifically because they offer good investments that suit my preference for very conservative investments for college, including high-yield CDs and inflation-indexed bonds.

Comments

  1. I completely agree with your Utah and Ohio recommendations.

    My son’s 529 account is in a 10-year, FDIC-insured CD in Ohio with an APR of 4.5%. This is equivalent of approx. 6.5% annual return on a pre-tax basis – risk free! You can’t beat that.

    My daughter’s has been in a target date fund in Vanguard since she was born. Very happy with that as well. In fact, it has done much better than my active management efforts during that period, and actually led me last year to abandon those efforts and invest in DFA funds with a low-cost advisor.

  2. Does opening an account cause a hard hit in your credit history?
    thanks

  3. This is a one time match right?

  4. @Manoj – Great to hear, I also have the 10-year CD at 5% and the rest in the inflation-indexed TIPS fund.

    @neven – I don’t believe so, not when I applied.

    @Kevin – Yes, a one-time match. I want to say per new account beneficiary but don’t quote me on that since I can’t verify right now. (Update: See Russ’s comment below. You can open multiple accounts for additional beneficiaries/kids)

  5. I opened two accounts(one for each kid) and recieved a $25 match in each account.

  6. I started my daughter’s 529 account in Ohio a few years ago and have been very happy with it. I also chose it for the Vanguard options and low fees. It was rated very highly on the “Saving For College” website. Since I live in a state that doesn’t offer tax benefits, I think it was a good choice for us.

  7. Thanks, I opened a 529 with myself as a beneficiary. Don’t have any kids yet but I plan to eventually.

    Chose the TIPS option.

Speak Your Mind

*