How do I open a 529 plan in Illinois?
You can open an account with the Bright Directions Advisor-Guided 529 College Savings Plan through a qualified financial advisor. Your advisor can guide you through the enrollment process and help you choose an investment option based on your individual risk tolerance and goals.
Does Bright Start have an app?
Bright Start Plus is your family's trusted guide for all things health care. From mom and dad, to kids and grandparents, help keep your entire family healthier. All on one shared app, use Bright Start Plus to keep track of your and your family's health through reminders, tips, trackers, and more.
Who manages Bright Start Illinois?
Union Bank & Trust Company
Is Bright Start Illinois a good plan?
Bright Start Highly Rated!
Morningstar annually rates 529 college savings programs. Bright Start has been rated as one of the top 529 plans in the nation. Since 2017, Bright Start has earned a Gold medal from Morningstar – the highest consumer rating given to college savings programs.
How does Bright Start 529 work?
When it comes time to use your 529 plan for qualified expenses, withdrawing funds is simple. Money from your Bright Start account can be paid directly to you as the account owner, directly to the beneficiary, to the account owner's bank account, or to an eligible educational institution.
How much can a parent contribute to a 529 per year?
In either case, parents receive the same treatment as any other person making a contribution: each parent can give up to $15,000 annually to their child's 529 plan without having to file a gift tax return, for a total of $30,000 per year.
What happens to money in 529 if not used?
If you truly have no other use for your leftover 529 plan savings, you can always take a non-qualified distribution. Your contributions will never be taxed or penalized, since they were made with after-tax dollars. Any earnings on your investments, however, will be subject to income tax as well as a 10% penalty.
Can I deduct my 529 contributions in Illinois?
You are allowed to subtract up to $10,000 in contributions if you are single and $20,000 if you are married filing a joint return for contributions you made to the “Bright Start” program, the "College Illinois" Illinois Prepaid Tuition Trust Fund, or the "Bright Directions" program during the tax year.