North Dakota 529 plan

North Dakota 529 Plan:

Program match on contributions: Beginning in July 2007, the program offers a one-time match up to $300 in contributions by North Dakota participants with incomes below $20,000 (single) or $40,000 (joint).

State tax deduction or credit for contributions: Beginning with the 2007 tax year, contributions to the North Dakota 529 plan of up to $5,000 per year for an individual taxpayer, and $10,000 for a married couple filing jointly, are deductible in computing North Dakota taxable income. Contribution deadline is December 31.

State tax recapture provisions: Apparently none.

Age-based investment options: There are three age-based options (Conservative, Moderate, and Aggressive), each containing up to five investment portfolios. Contributions are placed into the portfolio corresponding to the selected option and age of the beneficiary, and later reassigned to more conservative portfolios as the withdrawal date draws nearer.

Static investment options: Six asset allocation portfolios are offered. The Aggressive Growth, Growth, Moderate Growth, and Conservative Growth portfolios invest in Vanguard stock and bond index funds. The Income Portfolio invests in a Vanguard bond index fund, inflation-protected securities fund, and a money market fund. The Money Market Portfolio invests 100% in the Vanguard Prime Money Market Fund.

Single Portfolios- Expense Ratio 0.85%
 * Aggressive Growth Portfolio
 * Vanguard Total Stock Market Index Fund (85%)
 * Vanguard Total International Index Fund (15%)


 * Growth Portfolio
 * Vanguard Total Stock Market Index Fund (55%)
 * Vanguard Total International Index Fund (10%)
 * Vanguard Total Bond Market Index Fund (35%)


 * Moderate Growth Portfolio
 * Vanguard Total Stock Market Index Fund (45%)
 * Vanguard Total International Index Fund (05%)
 * Vanguard Total Bond Market Index Fund (50%)


 * Conservative Growth Portfolio
 * Vanguard Total Stock Market Index Fund (35%)
 * Vanguard Total Bond Market Index Fund (65%)


 * Income Portfolio
 * Vanguard Total Bond Market Index Fund (50%)
 * Vanguard Inflation Indexed Bond Fund (25%)
 * Vanguard Prime Money Market Fund (25%)


 * Vanguard Prime Money Market Fund (100%)

Expenses: 0.85%; maintenance fee:$20 annually (waived for North Dakota residents)


 * Direct link to 529 site
 * Plan document

Links

 * Morningstar Overview
 * State Creditor Protections for 529 Plans