Setting Up a Plan

Start saving today

When you’re ready to enroll in a plan, make sure you have all your information together to make the process go smoothly. Plans generally require:

  • Information about you (your address, birth date, and Social Security number)
  • Information about the child you’re saving for (their birth date and Social Security number)
  • Information about your bank, if you intend to have contributions taken from a checking or savings account (your account number and your bank’s routing number)
  • Information about how you want your contributions to be invested

Contact the administrator of your chosen plan to begin enrolling and to learn about the options you’ll have for contributing.

Start funding your savings plan

There are no annual contribution limits on 529 plans; however, federal law allows only a certain amount of money to be contributed each year before you’ll face gift tax consequences. Talk to a tax advisor or visit the Internal Revenue Service (IRS) to learn about gift taxes.

Most 529 plans have a lifetime cap that’s equal to what that particular state believes to be the cost of getting an undergraduate and graduate education at an expensive school. This cap varies from state to state, so check with your plan administrator for details.

How to contribute to your plan

There are several ways to add money to a 529 plan. Methods may vary depending on the plan you choose, so check with your plan administrator. Some of the most common methods include:

  • Setting up a direct deposit from your paycheck
  • Making an electronic funds transfer (EFT) from your bank to your plan
  • Sending or depositing a check
  • Contributing from a Upromise account

We make it easy for IU employees

If you’re an IU employee, you can use direct deposit to send part of your paycheck to your 529 savings plan. Use the Employee Center in One.IU to set up or adjust your direct deposit preferences.

Set up direct deposit
Need help?

IU Financial Management Services (FMS) has information about using direct deposit to fund a 529 plan.

Visit IU FMS

Have questions?

Contact us