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Give Your Clients One More Reason to Rely on Your Financial Guidance

After saving for retirement, planning for a child's college education is the next big financial challenge for many of your clients. Discuss college planning with all your clients and prospects, and let them know that opening a Minnesota College Savings Plan account is a smart way to help prepare for a child's future higher education.

Become an expert on 529 College Savings Plans. Your clients will thank you.

Earnings Grow Federal and Minnesota Income Tax-deferred
When your client contributes to Minnesota College Savings Plan, their account earnings have the opportunity to grow federal and Minnesota income tax-deferred until withdrawn.

Any Earnings Used to Pay for Qualified Higher Education Expenses Are Federal and Minnesota Income Tax-Free
The earnings portion of any distributions used to pay for qualified higher education expenses will be free from federal and Minnesota income tax. This federal income tax-free treatment of qualified withdrawals and other federal tax benefits are now permanently in place for 529 plans through the passage of the Pension Protection Act of 2006.

Federal Estate and Gift Tax Benefits
Contributions to the Minnesota College Savings Plan may reduce the taxable value of your client's estate. Contributions to the Minnesota College Savings Plan, together with all other gifts from the account owner to the beneficiary, may qualify for an annual federal gift tax exclusion of $12,000 per donor, per beneficiary for 2008. If an account owner's contribution to a Minnesota College Savings Plan account for a beneficiary in a single year exceeds $12,000, the account owner may elect to treat up to $60,000 of the contributions, or $120,000 for joint filers, as having been made over a period of up to five years for federal gift tax exclusion.

Transfer Funds from Another 529 College Savings Plan
Does your client already have a 529 college savings plan account with another state and want to move the assets to a Minnesota College Savings Plan account? Help your client complete the Rollover of Account Funds Form (PDF, 56KB) and return it to us along with their enrollment kit materials.

Your client is permitted to transfer funds from another 529 college savings plan to an account in the Minnesota College Savings Plan for the same beneficiary once within a twelve-month period without incurring federal income tax. The 529 college savings plan from which they are transferring funds may impose restrictions or charges. Your client should consult with their tax advisor or the other 529 college savings plan.

WE'RE HERE TO HELP

Call us toll-free at 1-877-338-4646 to:

Meet with an Minnesota College Savings Plan representative
Arrange Minnesota College Savings Plan seminars or webinars at your location
Order Minnesota College Savings Plan Program Brochures, table top signs and other promotional materials

Authorization to access Minnesota College Savings Plan Accounts. Get form here.

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The tax information contained on the Minnesota College Savings Plan Web site is not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding tax penalties that may be imposed on the taxpayer. It was written to support the promotion of the products and services addressed in the Web site. Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor.

Consider the investment objectives, risks, charges and expenses before investing in the Minnesota College Savings Plan. Please call toll-free 1(877) 338-4646 for a Disclosure Booklet containing this information. Read it carefully.

Before investing in a 529 plan, you should consider whether the state you or your designated beneficiary reside in or have taxable income in has a 529 plan that offers favorable state income tax or other benefits that are only available if you invest in that state’s 529 plan.

TIAA-CREF Individual & Institutional Services, LLC, distributes Minnesota College Savings Plan. The State of Minnesota, its agencies, TIAA-CREF Tuition Financing, Inc., Teachers Insurance and Annuity Association of America and its affiliates do not insure any account or guarantee its principal or investment return except for TIAA-CREF Life Insurance Company’s guarantee to Minnesota College Savings Plan under the funding agreement for the Guaranteed Option. Account value will fluctuate based upon a number of factors, including general market conditions.

The Minnesota College Savings Plan Web site contains links to other Web sites. Neither Minnesota College Savings Plan nor TIAA-CREF Tuition Financing, Inc. and its affiliates are responsible for the content of those other Web sites. The accuracy of information on those sites cannot be confirmed.

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© 2007 TIAA-CREF Tuition Financing, Inc. TIAA-CREF Individual & Institutional Services, LLC, distributes Minnesota College Savings Plan. 2008 TIAA-CREF Tuition Financing Inc.