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529 college savings plan

VIEWS: 67 PAGES: 7

									GIFT GIVING ARTICLE

HEAD:              Give a gift that lasts: private college education

COPY:              When was the last time unwrapping a new sweater made a dramatic difference in the
                   life of a child? If you want to give a gift that truly lasts, consider giving the gift of
                   education.

                   Independent 529 Plan can help. This unique plan lets you buy “tuition certificates” for a
                   child that he or she can redeem later at over 250† of the nation’s leading private colleges
                   and universities. Plus, each member college offers a purchase discount, so you actually
                   lock in future tuition at less than today’s price.*

                   Let’s face it, you just can’t debate the long-term value of a college education. In fact,
                   recent statistics show that someone with a 4-year college degree will earn
                   approximately 70% more in their lifetime than a high-school graduate — over $900,000
                   more! †† Try to find a toy that gives a child this kind of advantage.

                   Of course, opening an Independent 529 Plan account offers a variety of benefits to you
                   as well. Your investment is free from federal income taxes and tax-free in most
                   states.** Your contributions help reduce the taxable value of your estate.**
                   Contributions also qualify for an annual gift tax exclusion of up to $12,000 per
                   beneficiary (up to $24,000 for married couples). Plus, you get the benefit of a special
                   federal 5 year-averaging provision. You can treat up to $60,000 ($120,000 for married
                   couples) as having been made in 5 equal gifts over a 5-year period, thereby spreading
                   out your federal gift tax exclusion over time.

                   For all these reasons and so many more, Independent 529 Plan “tuition certificates” are
                   among the most valuable gifts around. Once you open an account, visit the Independent
                   529 Plan web site to download a gift certificate or gift card to announce your gift. It
                   doesn’t talk or light up, but it definitely shows that special child that you care about his
                   or her future.

                   To get more information (including the Disclosure Booklet) on Independent 529 Plan,
                   review the current list of member colleges, or even enroll online — visit
                   www.independent529plan.org or call toll-free 888-718-7878.

The tax information herein is not intended to be used and cannot be used by any taxpayer for the
purpose of avoiding tax penalties. It was written to support the promotion of Independent 529 Plan.
Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.

*Participation in Independent 529 Plan does not guarantee admission to any college or university, nor does it
affect the admissions process. Each year, each member college offers a discounted rate of at least 0.5% less
than its current tuition rates. Discount rate can vary from year to year.
** This is provided that withdrawals are used to pay for qualified tuition expenses. Purchasers should read the
Disclosure Booklet, including the Enrollment Agreement, carefully before making purchase decisions. TIAA-
CREF Individual & Institutional Services, LLC distributor, member NASD, SIPC. Tuition Plan Consortium, LLC is
the program sponsor and TIAA-CREF Tuition Financing, Inc. is the program manager.

†
     As of January 2007
††
    Source: The College Board’s Education Pays 2004, based on U.S. Census Bureau statistics.
TAX ADVANTAGES

HEAD:            Tax breaks: It pays to prepare for private college.

COPY:            The #1 reason to enroll in Independent 529 Plan is to help make your child’s private
                 college education more affordable by prepaying future tuition at less than today’s
                 price.* Of course, if you could accomplish this goal AND take advantage of tax breaks
                 at the same time, that wouldn’t exactly be a bad thing, would it?

                 When you buy Independent 529 Plan “tuition certificates,” their value grows over time
                 as the cost of tuition rises. However, the increase in value between the original amount
                 purchased and the amount of tuition for which it is redeemed is free of federal income
                 tax.** That means no surprise tax penalties when your child uses his or her certificates
                 at any one of the over 250† participating privates colleges and universities including
                 [insert regional institution names here from member college list].

                 There are significant estate and gift tax benefits, too. Contributions to Independent 529
                 Plan help reduce the taxable value of your estate and also qualify for an annual gift tax
                 exclusion of up to $12,000 per beneficiary (up to $24,000 for married couples).

                 Plus, Independent 529 Plan enjoys the benefit of a special federal 5 year-averaging
                 provision. You can choose to treat up to $60,000 ($120,000 for married couples) as
                 having been made in 5 equal gifts over a 5-year period, thereby spreading out your
                 federal gift tax exclusion over time.

                 You even get the option to roll over*** funds from a 529 college savings plan to an
                 Independent 529 Plan account for the same beneficiary once within a twelve-month
                 period without incurring federal income tax. Your 529 college savings plan may impose
                 restrictions or charges for transferring funds, so be sure to consult that plan or your tax
                 advisor.

                 By combining private college tuition savings with great tax benefits, it’s no wonder
                 Independent 529 Plan has received so many accolades since its launch in 2003. For
                 more information (including the Disclosure Booklet) on everything Independent 529
                 Plan has to offer or to enroll online today, visit www.independent529plan.org.


The tax information herein is not intended to be used and cannot be used by any taxpayer for the
purpose of avoiding tax penalties. It was written to support the promotion of Independent 529 Plan.
Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.

*Participation in Independent 529 Plan does not guarantee admission to any college or university, nor does it
affect the admissions process. Each year, each member college offers a discounted rate of at least 0.5% less
than its current tuition rates. Discount rate can vary from year to year.
** This is provided that withdrawals are used to pay for qualified tuition expenses. Purchasers should read the
Disclosure Booklet, including the Enrollment Agreement, carefully before making purchase decisions. TIAA-
CREF Individual & Institutional Services, LLC distributor, member NASD, SIPC. Tuition Plan Consortium, LLC is
the program sponsor and TIAA-CREF Tuition Financing, Inc. is the program manager.
*** There may be tax consequences associated with these options.

†
    As of January 2007
GENERAL INTEREST 1

HEAD:            An innovative way for parents to save on a private college education.

COPY:            Most parents are delighted by the thought of their children attending college. But many
                 are afraid they won’t be able to afford it when the time comes.

                 Now, there’s a financial solution that can help: Independent 529 Plan, the only national
                 prepaid 529 plan for private colleges, including [insert regional institution names here
                 from member college list]. Independent 529 Plan is designed to make a private college
                 education more affordable for families who want to avoid the ever-rising cost of tuition.
                 Here’s how it works.

                 Independent 529 Plan allows you to prepay tuition that your children can use at more
                 than 250† of the nation’s leading colleges and universities, with more joining all the
                 time. Plus, every member college offers a purchase discount, so you can actually lock in
                 future tuition at less than today’s price*. There are no account owner fees: every dollar
                 of your contributions goes toward tuition. And all the gain in value is free from federal
                 income tax.**

                 Independent 529 Plan includes a wide range of private colleges to fit the individual
                 needs and talents of students when they’re ready to select a college. Member colleges
                 include research universities, liberal arts colleges, women’s colleges, historically Black
                 colleges, religiously-affiliated colleges, science and engineering institutions, and more.
                 “Tuition certificates” can be redeemed at any member college upon enrollment.

                 Learn more about the program (including the Disclosure Booklet) or enroll online today
                 at www.independent529plan.org.

The tax information herein is not intended to be used and cannot be used by any taxpayer for the
purpose of avoiding tax penalties. It was written to support the promotion of Independent 529 Plan.
Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.

*Participation in Independent 529 Plan does not guarantee admission to any college or university, nor does it
affect the admissions process. Each year, each member college offers a discounted rate of at least 0.5% less
than its current tuition rates. Discount rate can vary from year to year.
** This is provided that withdrawals are used to pay for qualified tuition expenses. Purchasers should read the
Disclosure Booklet, including the Enrollment Agreement, carefully before making purchase decisions. TIAA-
CREF Individual & Institutional Services, LLC distributor, member NASD, SIPC. Tuition Plan Consortium, LLC is
the program sponsor and TIAA-CREF Tuition Financing, Inc. is the program manager.

†
    As of January 2007
GENERAL INTEREST 2

HEAD:            Flexible plan puts private college within reach of every student.

COPY:            School counselors across the nation agree that interest in attending a private college
                 continues to grow among students. Unfortunately, the cost of a college education
                 continues to rise as well.

                 That’s where Independent 529 Plan comes in. As the only national prepaid 529 plan for
                 private colleges including [insert regional institution names here from member college
                 list], it’s designed to eliminate tuition inflation and put a private college education
                 within reach of all. Here’s how it works.

                 Independent 529 Plan allows you to prepay tuition that can be used at more than 250†
                 member colleges and counting. Every member college offers a purchase discount, so
                 you can actually lock in future tuition at less than today’s price*. There are no account
                 owner fees: every dollar of your contributions goes toward tuition. And all the gain in
                 value is free from federal income tax.**

                 Independent 529 Plan represents a wide range of private colleges to fit the individual
                 needs and talents of every student, including research universities, liberal arts colleges,
                 women’s colleges, historically Black colleges, religiously-affiliated colleges, science
                 and engineering institutions, and more. Students don’t choose a college up front, they
                 can redeem “tuition certificates” at any member college upon enrollment.

                 Learn more about the program (including the Disclosure Booklet) or enroll online today
                 at www.independent529plan.org.

The tax information herein is not intended to be used and cannot be used by any taxpayer for the
purpose of avoiding tax penalties. It was written to support the promotion of Independent 529 Plan.
Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.

*Participation in Independent 529 Plan does not guarantee admission to any college or university, nor does it
affect the admissions process. Each year, each member college offers a discounted rate of at least 0.5% less
than its current tuition rates. Discount rate can vary from year to year.
** This is provided that withdrawals are used to pay for qualified tuition expenses. Purchasers should read the
Disclosure Booklet, including the Enrollment Agreement, carefully before making purchase decisions. TIAA-
CREF Individual & Institutional Services, LLC distributor, member NASD, SIPC. Tuition Plan Consortium, LLC is
the program sponsor and TIAA-CREF Tuition Financing, Inc. is the program manager.

†
    As of January 2007
TOP 10 LIST

HEAD:            Top 10 Reasons to Choose Independent 529 Plan

COPY:            10. Private college tuition has more than tripled in the past twenty years.
                 9. Over 250† private colleges and universities participate including Johns Hopkins,
                 Princeton, Vanderbilt, Stanford and Notre Dame, with more joining all the time.
                 8. There are absolutely no Account Owner fees.
                 7. You have the option to roll over funds from other 529 plans.*
                 6. You get freedom from market risk and federal income taxes.**
                 5. Contributions make you eligible for estate and gift tax benefits.
                 4. You avoid years of tuition inflation by locking in today’s price.***
                 3. Every member college offers an extra tuition discount at purchase.
                 2. You don’t need to choose a college up front.

                 And the #1 reason to choose Independent 529 Plan…

                 1. Your kids are worth it!

                 For more information (including the Disclosure Booklet) on everything Independent
                 529 Plan has to offer or to enroll online today, visit www.independent529plan.org.


The tax information herein is not intended to be used and cannot be used by any taxpayer for the
purpose of avoiding tax penalties. It was written to support the promotion of Independent 529 Plan.
Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.

* There may be tax consequences associated with these options.
** This is provided that withdrawals are used to pay for qualified tuition expenses.
***Participation in Independent 529 Plan does not guarantee admission to any college or university, nor does it
affect the admissions process. Each year, each member college offers a discounted rate of at least 0.5% less
than its current tuition rates. Discount rate can vary from year to year.

Purchasers should read the Disclosure Booklet, including the Enrollment Agreement, carefully before making
purchase decisions. TIAA-CREF Individual & Institutional Services, LLC distributor, member NASD, SIPC.
Tuition Plan Consortium, LLC is the program sponsor and TIAA-CREF Tuition Financing, Inc. is the program
manager.

†
    As of January 2007
ACCOLADES ARTICLE

HEAD:            Independent 529 Plan gets nationwide praise for tuition savings.

COPY:            Although most families understand the value of a private college education, they need help
                 paying for it. That’s where Independent 529 Plan comes in. It’s the only national prepaid 529
                 plan exclusively for private colleges and it is gaining widespread praise across the country.

                 On June 5, 2006, Marshall Loeb of MarketWatch.com noted "Wouldn't it be great if there were
                 a way to hedge against the ever-increasing cost of college tuition? Well, there is. Independent
                 529 is a vehicle that allows you to purchase future semesters at college with today's dollars and
                 do it tax-free." And his was right. In fact, this plan actually lets you lock in your child’s future
                 tuition at less than today’s price* because each member college offers a tuition discount.

                 And there are plenty of member colleges to go around. Over 250† of the nation’s leading private
                 colleges and universities, including [insert regional institution names here from member college
                 list], already participate and more are joining all the time. Maybe that’s why noted financial
                 columnist Suze Orman named Independent 529 Plan as her “favorite 529” plan in the June 2004
                 issue of O The Oprah Magazine.

                 You can look forward to other benefits as well. For example, there are no Account Owner fees,
                 so 100% of your contributions go toward tuition. Your investment is free from market risk and
                 federal income taxes.** And you don’t need to choose a college for your child now. You can
                 simply redeem your prepaid tuition at any member college once your child is enrolled.

                 With all these remarkable advantages, it’s no surprise that Ron Lieber of The Wall Street
                 Journal is talking about Independent 529 Plan. "Most investments don't come with a guarantee.
                 But a college-savings account called the Independent 529 plan offers an enticing promise: Hand
                 over money now, and you can pay today's private-school tuition rates at 257 institutions for
                 tomorrow's students, even those who won't use the money for as many as 30 years, including
                 unborn children. The offer is guaranteed; the schools are on the hook if the plan's investments
                 tank. Thus, you don't have to tinker with fund allocations as you would with a savings 529."
                 (September 30, 2006)

                 To get more information (including the Disclosure Booklet) on Independent 529 Plan, review
                 the current list of member colleges, or even enroll online — visit www.independent529plan.org
                 or call toll-free 888-718-7878.

The tax information herein is not intended to be used and cannot be used by any taxpayer for the
purpose of avoiding tax penalties. It was written to support the promotion of Independent 529 Plan.
Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.

*Participation in Independent 529 Plan does not guarantee admission to any college or university, nor does it
affect the admissions process. Each year, each member college offers a discounted rate of at least 0.5% less
than its current tuition rates. Discount rate can vary from year to year.
** This is provided that withdrawals are used to pay for qualified tuition expenses. Purchasers should read the
Disclosure Booklet, including the Enrollment Agreement, carefully before making purchase decisions. TIAA-
CREF Individual & Institutional Services, LLC distributor, member NASD, SIPC. Tuition Plan Consortium, LLC is
the program sponsor and TIAA-CREF Tuition Financing, Inc. is the program manager.

†
    As of January 2007
STATUS ARTICLE

HEAD:            Independent 529 Plan makes big strides in a short time.

COPY:            How long does it take to establish oneself as the premier 529 plan for private
                 colleges? Not long if you’re Independent 529 Plan. When this tax-advantaged plan
                 launched in September 2003, Independent 529 Plan had one goal in mind: to help make
                 private college education more affordable by offering prepaid tuition at less than
                 today’s price*. And in a short time, it has come a long way.

                 Independent 529 Plan started with 220 member colleges. Now, over 250† leading
                 private colleges and universities across 38 states and the District of Columbia
                 participate, including [insert regional institution names here from member college list].
                 And more are joining all the time. Future students now have a growing range of options
                 to meet their needs. Including research universities such as Johns Hopkins, Princeton,
                 Stanford, and University of Chicago…liberal arts colleges such as Amherst, Oberlin,
                 and Rhodes…women’s colleges such as Agnes Scott, Smith, and
                 Wellesley…historically Black colleges such as Dillard, Spelman, and Clark
                 Atlanta…religiously affiliated colleges such as Notre Dame, Baylor, and TCU…science
                 and engineering institutions such as Massachusetts Institute of Technology, Rochester
                 Institute of Technology, Rensselaer Polytechnic Institute and Illinois Institute of
                 Technology.

                 Maybe that’s why Independent 529 Plan was named a BusinessWeek “Best Product of
                 2003.” And why in May 2004, The Princeton Review, a research and preparation
                 service, selected Independent 529 Plan as the only college savings plan with which it
                 partners. As impressive as these honors are, it’s the people that really count. And the
                 people have spoken. Over 5,000 Independent 529 Plan accounts have already been
                 opened, with families having invested over $100 million to date in prepaid private
                 college tuition. And remember, this is just the beginning.

                 To get more information on Independent 529 Plan (including the Disclosure Booklet),
                 review the current list of member colleges, or even enroll online — visit
                 www.independent529plan.org or call (toll-free) 888-718-7878.

The tax information herein is not intended to be used and cannot be used by any taxpayer for the
purpose of avoiding tax penalties. It was written to support the promotion of Independent 529 Plan.
Taxpayers should seek advice based on their own particular circumstances from an independent tax
advisor.

*Participation in Independent 529 Plan does not guarantee admission to any college or university, nor does it
affect the admissions process. Each year, each member college offers a discounted rate of at least 0.5% less
than its current tuition rates. Discount rate can vary from year to year.
** Purchasers should read the Disclosure Booklet, including the Enrollment Agreement, carefully before making
purchase decisions. TIAA-CREF Individual & Institutional Services, LLC distributor, member NASD, SIPC.
Tuition Plan Consortium, LLC is the program sponsor and TIAA-CREF Tuition Financing, Inc. is the program
manager.

†
    As of January 2007

C32745

								
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