The Vanguard 529 College Savings Plan

The Vanguard 529 College Savings Plan gives you experienced leadership—we also manage the investments in 23 other state 529 plans—as well as access to 22 low-cost portfolios, including three age-based portfolios that do most of the work for you.

Note: The Internal Revenue Service recently announced that 529 Plan account owners may change their investment allocation through an exchange twice during the 2009 calendar year only.

Who should invest in The Vanguard 529 College Savings Plan »

• Investors looking to save for higher education at a college or university—even graduate school.
• Anyone looking for withdrawals that are free from federal income taxes when used for qualified higher-education expenses.*
• Investors seeking minimal impact on a student's federal financial aid.
• Anyone looking for a college savings option that provides the flexibility to change the beneficiary to another eligible family member at any time.
• Investors seeking estate and gift tax advantages.

Who can contribute and how much »

• Any U.S. resident age 18 and older, including parents, grandparents, and friends of the student beneficiary, can contribute to the 529 college savings plan.
• Investors who hold other types of college savings accounts, such as education savings accounts and UGMA/UTMA accounts.

A range of low-cost investments »

• Choose from three age-based investment options that practically manage themselves. Each one automatically adjusts to gradually become more conservative, reducing your exposure to stocks as your child grows older.**
• You can also select from 19 low-cost individual portfolios to build and manage your own 529 investing strategy.

Easy account management »

• Access and update your 529 investment allocations and personal information through Vanguard.com.
• Keep your college savings program on track by setting up a schedule to electronically move money from your bank account to your 529 plan.
• Withdraw your entire investment or a portion of it to pay for qualified education expenses.

529 account fees and minimums »

• No enrollment, transfer, advisor, or commission fees.
• Low expense ratios that vary by portfolio.
• The minimum initial investment for The Vanguard 529 College Savings Plan is $3,000, and the minimum additional investment is $50. Once established, there is a $20 annual maintenance fee on balances less than $3,000 per 529 account.

Taking a distribution »

• 529 account withdrawals are free from federal income taxes when used for qualified higher-education expenses.*
• Qualified withdrawals online, by phone, or by form.
• Withdrawals by check or by ACH.

How to invest in The Vanguard 529 College Savings Plan »

• Open an account online or by mail.
• Transfer college savings assets from another financial institution.
• Contribute to a 529 account online or by mail.

* Earnings on nonqualified withdrawals may be subject to federal income tax and a 10% federal penalty tax, as well as to state and local income taxes. The availability of tax or other benefits may be contingent on meeting other requirements. 

** Investment returns are not guaranteed and you could lose money by investing in the plan.

For more information about The Vanguard 529 College Savings Plan, download a Program Description or request one by calling 866-734-4530. The Program Description includes investment objectives, risks, charges, expenses, and other information; read and consider it carefully before investing. Vanguard Marketing Corporation, Distributor and Underwriter. Please Note: If you are not a Nevada taxpayer, consider before investing whether your or the designated beneficiary’s home state offers any state tax or other benefits that are only available for investments in such state's qualified tuition program. You also should consult your financial, tax, or other adviser to learn more about how state-based benefits (or any limitations) would apply to your specific circumstances. You also may wish to contact directly your home state's 529 plan[s], or any other 529 plan, to learn more about those plans' features, benefits and limitations. Keep in mind that state-based benefits should be one of many appropriately weighted factors to be considered when making an investment decision.

The Vanguard 529 College Savings Plan is a Nevada Trust administered by the Board of Trustees of the College Savings Plans of Nevada, chaired by State Treasurer Kate Marshall. The Vanguard Group, Inc., serves as the Investment Manager and through its affiliate, Vanguard Marketing Corporation, markets and distributes the Plan. Upromise Investments, Inc., serves as Program Manager and has overall responsibility for the day-to-day operations, including effecting transactions. The Plan’s portfolios, although they invest in Vanguard mutual funds, are not mutual funds.