Indiana 529 plan

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The Indiana 529 plan page provides information on direct-sold 529 plans and highlights indexed portfolios. All information is derived from Savingforcollege.com and from 529 plan sites and disclosure documents. If you would like to compare this plan with other direct sold plans, use these Compare by Plan Name and Compare by Feature tools.

  • Open to Residents
  • Open to non-residents
Indiana 529 Plan
Program match on contributions: none
State tax deduction or credit for contributions: Beginning in 2007, a 20% tax credit on up to $5,000 per year in contributions, including rollover contributions, to the Indiana 529 plan can be claimed against Indiana income tax (maximum yearly credit is $1,000).
State tax recapture provisions: An account owner must pay with the Indiana tax return a tax equal to the 20 percent of a nonqualified withdrawal from this plan, to the extent of Indiana tax credits previously claimed. Nonqualified withdrawals for this purpose include rollovers but do not include withdrawals made as the result of the beneficiary's death or disability or withdrawals made on account of the beneficiary's receipt of a scholarship. Recapture will apply to any account terminated within 12 months from account opening date.
Age-based investment options: The Age-Based Program contains six portfolios of underlying mutual funds. Contributions are placed into the portfolio corresponding to the beneficiary’s age, and later reassigned to more conservative portfolios as the beneficiary approaches college age. The expense ratio for these portfolios is 0.51%.
Static investment options: The plan offers four Vanguard portfolios, three actively managed portfolios from other managers, and an FDIC insured savings account.
Expenses: 0.36% - 0.94% . There is a $20 annual account fee for plan balances under $25,000, unless an Indiana resident.
Policy Regarding Ownership Changes: Accepts requests to transfer account ownership.

Investment options

Age-based

The Indiana 529 savings plan offers the following age-based plan, utilizing six multi-fund index portfolios (expense ratios range from 0.50% to 0.53%).

Age-based Funds
Vanguard funds
Aggressive Growth
90/10
Growth
75/25
Moderate Growth
60/40
Conservative Growth
45/55
Income
25/75
Conservative Income
15/85

Indianaagebasedchart.jpg

  • Institutional Index (54%)
  • Extended Market Index Fund (13%)
  • Developed Markets Index Fund (23%)
  • Total Bond Market II (10%)
  • Institutional Index (49%)
  • Extended Market Index Fund (7%)
  • Developed Markets Index Fund (19%)
  • Total Bond Market II (10%)
  • Institutional Index (36%)
  • Extended Market Index Fund (9%)
  • Developed Markets Index Fund (15%)
  • Total Bond Market II (40%)
  • Institutional Index (29%)
  • Extended Market Index Fund (5%)
  • Developed Markets Index Fund (11%)
  • Total Bond Market II (55%)
  • Institutional Index (16%)
  • Extended Market Index Fund (3%)
  • Developed Markets Index Fund (6%)
  • Total Bond Market II (50%)
  • Short Term Bond Index Fund (25%}
  • Institutional Index (10%)
  • Developed Markets Index Fund (5%)
  • Total Bond Market II (35%)
  • Vanguard Short Term Bond Index Fund (25%}
  • Vanguard Prime Money Market Fund (25%)

Standalone

The Indiana 529 savings plan offers the following standalone investment portfolios.

Single Fund Portfolios
Index-based Expense ratio Actively-Managed Expense ratio
Vanguard Total Stock Market Index Fund 0.34% Dodge & Cox International Stock Fund 0.94%
Vanguard Short Term Bond Index Fund 0.41% Frontegra Columbus Core Plus Fund 0.64%
Vanguard Total Bond Market Index Fund 0.36% Western Asset Inflation Indexed Plus Bond Portfolio 0.54%
Vanguard Prime Money Market Fund 0.39% Sallie Mae High-Yield Savings Account n/a

External links