Smart employers recognize their employees are overwhelmed at the thought of paying for college, and that financial stress such as this can adversely affect job performance. Now, more and more companies are helping to relieve this burden by offering educational programs about the cost of college, and introducing 529 college savings plans as a voluntary benefit. With ever-increasing tuition and the looming reality of student debt, a 529 plan is a valuable benefit for employees, especially here in Colorado because of the generous tax benefits our state offers.
Tax Benefits? Tell me more.
All 529 contributions are made with post-tax income. Here in Colorado, you’ll receive a dollar-for-dollar state tax deduction for your contributions, and you are not taxed on your earnings as long as funds are used toward higher education expenses. These tax benefits are unique to CollegeInvest 529 plans.
I’m interested. How do I go about offering this as a benefit?
It’s incredibly simple and requires little-to-no administration from you. Schedule a time for us to host a presentation at your workplace (typically over lunch, which we have catered at no cost to you). This gives us a chance to talk to your staff face-to-face about the true costs of college and help them understand the benefit of saving, versus borrowing money. We’ll walk them through the fundamentals of a 529 plan, including the tax-benefits, and the four different plans that CollegeInvest offers. Our goal is to leave your staff with a good understanding of their options, and the comfort-level they need to actually start saving for higher education costs.
There is no enrollment period for opening a 529; employees can open an account on-line on our website at any time. And, you can offer employees the opportunity to contribute directly to their 529 via direct paycheck deposit, making it even easier for them to save.
It’s simple. It’s free. And it’s greatly appreciated by your staff.