State Treasurer Announces Expansion Of College Savings Plan For Military Families

CARSON CITY – State Treasurer Kate Marshall today announced that her office has joined with USAA to expand the ability of Nevada military families to save for college through the USAA 529 College Savings Plan.

“I am honored to partner with USAA in providing greater opportunities for members of our military forces who reside in Nevada to take advantage of the USAA Distinguished Valor Matching Grant Program,” Marshall said. “As the national college savings program administrator for the USAA 529 College Savings Plan program, it gives me great pride to expand our USAA Distinguished Valor Matching Grant program by providing up to $1,500 in college savings matching grant funding to any Nevada active duty military member with a household Adjusted Gross Income (AGI) of less than $75,000 a year.”

Nevada State Treasurer Kate Marshall.

The USAA Distinguished Valor Matching Grant, introduced in January 2011, was originally for families of recent Purple Heart recipients living in Nevada. The program is now also available to all active military, active reservists, and Nevada National Guard members who meet the eligibility requirements.

“USAA continues to be a great partner in our lineup of college savings plans offered through the Nevada State Treasurer’s Office,” Marshall said.  “I am extremely grateful for their continuing efforts to make the dream of a college education more affordable for the families of Nevada’s military members.”

“The rising cost of education can have a significant impact on a family’s ability to save for the future,” said Dan McNamara, president of USAA Investments. “We are pleased to work with the state of Nevada to provide military members with the opportunity to save for one of the most significant costs they will face – the cost of higher education.”

The program is currently only available to Nevada residents who open a USAA 529 College Savings Plan account. Eligible participants can earn up to $300 per year in matching grant funding, with a lifetime maximum benefit of $1,500. There are two levels of eligibility:

  • Category A- Active Duty Military

o   Includes active military, active reservists, and Nevada National Guard members with a household AGI of less than $75,000.

o   Available for the children of active duty members who are under the age of 13.

  • Category B- Purple Heart recipients (Wounded Warriors & Fallen Soldiers)

o   Recipient of a Purple Heart in either Operation Enduring Freedom or Iraqi Freedom (service beginning October 7, 2001 and ending August 31, 2010).

o   The designated beneficiary must be a child or the spouse of the Purple Heart recipient.

Additional USAADistinguished Valor Matching Grant Program benefits include: The Minimum Balance Fee ($15) and the State Maintenance Fee ($15) are waived for Nevada residents. The Upromiseservice program (www.upromise.com/welcome), which allows for a percentage of qualified purchases to be returned to a designated 529 College Savings Plan.

Grant applications for 2012 will be accepted through Dec. 15th. To apply or to obtain additional information, visit www.usaa.com/matchinggrant. USAA Distinguished Valor Matching Grant funding is available on a first come, first served basis, with a current funding limitation of $90,000 per year. USAA membership is open to all who are serving or have honorably served our nation in the U.S. military and their families.

The Nevada College Savings Plan program, administered by the Nevada State Treasurer’s Office, currently has assets totaling more than $9 billion with over 500,000 account owners.

USAA’s 529 College Savings Plan is ranked No. 3 in the 1, 3, and 5-year performance categories as of June 30, 2012, by savingforcollege.com, an independently sponsored website dedicated to assisting parents and students with planning for college. For more information about the Nevada College Savings Plans program, go to www.NevadaTreasurer.gov and click on the College Savings Plan link.