California 529 ScholarShare College Savings Plan


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California 529 ScholarShare College Savings Plan

California provides a 529 plan known as The ScholarShare College Savings Plan. Managed by Fidelity Investments, the ScholarShare plan provides several investment options. There is an age-based option which will allocate the funds more conservatively as the beneficiary moves closer to college age. If you are not satisfied with the allocations provided by the age-based option, you may choose a custom strategy which will allow you the choice of an actively managed account or a portfolio based on a variety of index funds. For more information on the options provided, visit http://personal.fidelity.com/planning/college/content/investment_options.shtml.

As with other 529 savings plans, your account earnings are tax deferred and when you make qualified withdrawals, they will be free from both federal and California state income taxes. Visit http://www.scholarshare.com/ for more information on the California 529 ScholarShare College Savings Program. You should also check with a financial advisor and tax advisor to see if a 529 investment is right for you.

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