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Achieve Montana highlights

Here is a quick-reference table of the advantages of Achieve Montana. (For additional information, click on the links.)

Tax benefits
  • Earnings grow tax deferred
  • Qualified withdrawals are tax free1
  • Contribute $15,000 for each beneficiary annually without incurring a federal gift tax ($30,000 if married and making a proper election).
  • Estate planning: Reduce your personal taxable estate through accelerated gifting: Make five years' worth of gifts for each beneficiary (up to $75,000; $150,000 if married and making a proper election) in one lump sum2
Special tax benefits for Montana taxpayers
  • Contributions you make to an Achieve Montana account may be eligible as a yearly deduction from adjusted gross income of up to $3,000 per taxpayer per year ($6,000 for those married, filing jointly), in computing Montana state income tax.3
Low initial contribution
  • It only takes $25 to open an account ($15 with payroll direct deposit, where available)
High maximum
  • The maximum aggregate balance of all accounts in 529 plans sponsored by the State of Montana for the same beneficiary is $396,000
Low cost
  • Achieve Montana portfolios have asset-based fees ranging from 0.47% - 0.83% (depending on the investments you choose); a $25 annual account maintenance fee is waived for account owners who are Montana residents, use an automatic investment plan (AIP), take advantage of payroll deduction through their employer, or maintain an account balance of at least $25,000
Flexible
  • Use at any eligible 2- or 4-year college, vocational/technical school, or graduate school anywhere in the country - not just in Montana
  • Use for tuition; mandatory fees, books, supplies, and equipment; and certain room and board costs1
Easy to manage
  • Manage your account online, including making contributions, reallocations, and qualified withdrawals, update account information, and more
Programs to help you save even more
  • Ugift®: Invite family and friends to celebrate with gift contributions
  • Upromise®: Earn college savings on everyday purchases4
Range of investment choices
Professional investment management
  • Investment Options invest in mutual funds and other investments from Vanguard Group, Inc., a leader in low-cost mutual funds, mutual funds from Dimensional Fund Advisors LP, an innovator in building investment solutions based on the science of capital markets, and a guaranteed investment account capital preservation option5 from New York Life Insurance Company
We're here to help
  • Call us at 1-877-486-9271 Monday-Friday from 7 a.m. to 6 p.m. MT

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

2 In the event the donor does not survive the five-year period, a pro-rated amount will revert to the donor's taxable estate.

3 Contributions to an Achieve Montana account owned by the taxpayer, the taxpayer's spouse or the taxpayer's child or stepchild (if the child or stepchild is a Montana resident at the time of the contribution) are deductible in computing Montana adjusted gross income for the tax year in which they are made. Contributions may be subject to recapture in certain circumstances, such as a non-qualified withdrawal, a withdrawal to pay elementary or secondary school tuition expense, or a withdrawal or distribution from an account that was opened within three years prior to the date of the withdrawal or distribution (Recaptured Withdrawal). If the account owner is no longer a Montana resident at the time of a Recaptured Withdrawal, the Program Manager or its service provider may withhold the potential recapture tax from a Recaptured Withdrawal.

4 Upromise is an optional service offered by Upromise, Inc., is separate from Achieve Montana, and is not affiliated with the State of Montana. Terms and conditions apply to the Upromise service. Participating companies, contribution levels, and terms and conditions are subject to change at any time without notice. Transfers from Upromise to an Achieve Montana account are subject to a $25 minimum.
Visit upromise.com to learn more.

5 Capital Preservation Portfolio invests substantially all of its assets in the New York Life Insurance Company Guaranteed Investment Account (GIA). The GIA is subject to the "equity wash rule," which prohibits a direct transfer from the Capital Preservation Portfolio to any "competing" Investment Option. The Income Portfolio is considered a competing Investment Option. Please see the Program Description for additional information.

For more information about Achieve Montana, call 877.486.9271 or download an Enrollment Kit. The Enrollment Kit includes a Program Description that discusses investment objectives, risks, charges, expenses, and other important information; read and consider it carefully before investing.

If you are not a Montana taxpayer, before investing in Achieve Montana, you should consider the benefits of your home state's qualified tuition program. It may provide taxpayers with state tax and other benefits such as financial aid, scholarship funds and protection from creditors, that are only available through your home state's qualified tuition program. You should also consult your financial, tax, or other advisor to learn how state-based benefits (or limitations) would apply to your specific circumstances. Tax and other penalties may apply to non-qualified withdrawals. Keep in mind that state-based benefits should be one of many appropriately weighted factors to be considered when making an investment decision. In addition, you should periodically assess, and if appropriate, adjust your Section 529 Plan investment choices with your time horizon, risk tolerance and investment objectives in mind.

Achieve Montana is sponsored by the State of Montana and administered by the Montana Board of Regents of Higher Education, as sole trustee of the Montana Family Education Savings Trust (Trust). Ascensus College Savings Recordkeeping Services, LLC serves as program manager and provides recordkeeping and administrative support services for Achieve Montana. The Vanguard Group, Inc. and Dimensional Fund Advisors LP each serve as the investment managers for the underlying investments comprising Achieve Montana's portfolios. New York Life Insurance Company serves as manager of Achieve Montana's Capital Preservation Portfolio. Although some of the portfolios invest in mutual funds, they are not mutual funds. When you invest in Achieve Montana, you are purchasing portfolio units issued by the Trust. Except to the extent of the New York Life Insurance Company guarantee that is available for the Capital Preservation Portfolio, investment returns are not guaranteed, and you could lose money by investing in Achieve Montana.

Account owners assume all investment risks as well as responsibility for any federal and state tax consequences.

Upromise is an optional service offered by Upromise, Inc., is separate from Achieve Montana, and is not affiliated with the State of Montana. Terms and conditions apply to the Upromise service. Participating companies, contribution levels, and terms and conditions are subject to change at any time without notice. Transfers from Upromise to an Achieve Montana account are subject to a $25 minimum. Go to upromise.com to learn more about Upromise.

Upromise and the Upromise logo are registered service marks of Upromise, Inc. Ugift is a registered service mark of Ascensus Broker Dealer Services, LLC, an affiliate of Ascensus College Savings Recordkeeping Services, LLC. Vanguard is a registered mark of The Vanguard Group, Inc. All other trademarks, service marks or registered trademarks are the property of their respective owners. Used with permission.