Save For Education Expenses
The State of West Virginia offers three savings programs to assist with education expenses. SMART529, Jumpstart, or WVABLE could help you plan and save for college.
SMART529 Savings
Named after the section in the IRS tax code that authorized these programs (Section 529), SMART529 is a tax-advantaged college investment program that can offer many benefits over taxable college savings accounts.
If you’re comfortable making your own investment decisions, you can invest directly in SMART529. If you prefer the recommendations of a financial advisor, you can invest through a variety of investment professionals. Check with a local bank, financial planner or investment firm in your area.
At A Glance
- Contributions grow tax-deferred, withdrawals for qualified expenses are federal income tax-free (special tax advantages for WV residents)
- WV residents – initial investment as little as $1, no minimum for subsequent contributions
- Parents, grandparents, other adults and businesses are eligible to open an account
- Beneficiary can be any age, you can even open an account for yourself
- Account owner maintains control of the account even after the beneficiary turns 18
- Save for tuition & fees, room, board, books & supplies
- Compatible with grants and scholarships like PROMISE
SMART529 is a program of the West Virginia College Prepaid Tuition and Savings Program Board of Trustees, the State Treasurer is chairman. Program management is provided by Hartford Funds. For more information, call toll-free 866-574-3542 or visit www.SMART529.com.
Jumpstart Savings Program
Account owners may be able to save for tools, supplies, equipment, licensing and certification, and other business costs while enjoying special state tax advantages.
Whether you’re looking to grow your business or just getting ready to go out on your own, the Jumpstart Savings Program serves West Virginia trade professionals throughout every stage of their careers.
Who Can Benefit From Jumpstart?
- Community & technical college students and graduates
- Registered apprenticeship program participants and journeymen
- Advanced Career Education (ACE) students and graduates
- High School Career Technical Education (CTE) students and graduates
- Individuals who’ve obtained a license, certification, or degree through a “License 35” vocational training program (such as a CDL training program or independent cosmetology school)
Any West Virginia taxpayer, including the Account Owner himself of herself, may claim a West Virginia personal income tax deduction of up to $25,000 per tax year for the money he or she puts into a Jumpstart Savings Account. Account contributions over the $25,000 per tax year limit may be carried forward and deducted over the next five tax years.
WVABLE Savings Accounts
WVABLE is helping West Virginians achieve greater independence and financial security through the power of STABLE accounts.
For too long, people with disabilities could not save for the future out of fear of losing needed government benefits. The disability community fought long and hard to change this, and together we’ve come up with a solution.
WVABLE Provides:
- Access to STABLE accounts for West Virginians with disabilities
- Tax-free savings for disability-related expenses
- The ability to save and invest without losing needs-based benefits
Any resident of West Virginia who developed a qualifying disability before the age of 26 is eligible for a STABLE account through WVABLE. If someone cannot open an account themselves, an Authorized Legal Representative (also known as an ALR) can do it for them.