LITTLE ROCK, Ark. (KTHV) – You can now give gift cards that contribute to college savings accounts or paying down student loans.
The Arkansas Treasurer of State has partnered with GiftofCollege.com in hopes of easing the stress of saving for college. The collaboration allows you to purchase gift cards for your loved ones redeemable toward college savings accounts.
"The Treasurer of State's office is proud to be among the first in the nation to launch this program," said Treasurer Dennis Milligan. "We are continuously looking for opportunities to be on the forefront of educating Arkansans about our Arkansas 529 programs."
Arkansas 529 College Investing plans help parents save money that can be used at accredited colleges, universities, technical or vocational institutions across the country and abroad. An account can be opened online for a pledge of as little as $10 a month or a one-time contribution of $25. Once opened, parents can send Gift of College invitation links for everything from holiday presents to graduations.
These accounts also offer tax benefits. Up to $10,000 contributed per married couple ($5,000 per single person) are tax deductible. Businesses who match employee contributions to an Arkansas 529 plan also receive tax deductions.
Gift cards can be purchased online at arkansas529.org and are also available for purchase in-store at Toys"R" Us and Babies"R" Us locations across Arkansas beginning January 1, 2018.
For those who have already offset their education using loans, GiftOfCollege.com offers the same gift card program. You can even trade your gift cards to various places for cash applied to your balance for both student loans and Arkansas 529 plans.