ScholarShare 529 Reaches $16.5 Billion in Assets, Helping More Families Achieve Higher Education Goals
published January 7, 2025
SACRAMENTO, Calif. – ScholarShare 529, California’s official college savings plan, has reached a major milestone, surpassing $16.5 billion in assets under management as of December 31, 2024. Scholarshare Investment Board Executive Director Cassandra DiBenedetto attributes this growth to the increasing number of California families choosing ScholarShare 529 and contributing a record $1.3 billion in 2024.
Ranked among the nation’s top college savings plans, ScholarShare 529 offers low fees, tax advantages, and flexible investment options tailored to California families. Account earnings grow tax-deferred, and withdrawals are tax-free when used for qualified higher education expenses. In 2024, 62% of new accounts were opened for beneficiaries aged 0-5, with another 15% for children aged 6-10, demonstrating the growing emphasis on starting early.
"We’re thrilled to reach this incredible milestone," said Cassandra DiBenedetto. "It’s inspiring to see more families embrace ScholarShare 529 as part of their college savings strategy, especially at earlier stages in their children’s lives."
ScholarShare 529 also makes it easy for friends and family to contribute through UGift®, a free and secure gifting tool. In 2024, the plan received $102 million in gift contributions, reflecting an 40% increase over 2023 and highlighting the tool’s growing popularity.
About ScholarShare 529
ScholarShare 529 is California’s official college savings plan. Administered by the ScholarShare Investment Board, ScholarShare 529 provides families with a valuable tool that offers a diverse set of investment options, tax-deferred growth, and withdrawals free from state and federal taxes when used for qualified higher education expenses, such as tuition and fees, books, certain room and board costs, computer equipment, and other required supplies.
To open a ScholarShare 529 account or get more information about the plan, visit ScholarShare529.com.
To learn more about California's ScholarShare 529, its investment objectives, risks, charges and expenses see the Plan Description at ScholarShare529.com before investing. Read it carefully. Investments in the Plan are neither insured nor guaranteed and there is the risk of investment loss. TIAA-CREF Individual & Institutional Services, LLC, Member FINRA, is the distributor and underwriter for ScholarShare 529. Prior to investing, check with your home state to learn if it offers tax or other benefits such as financial aid, scholarship funds or protection from creditors for investing in its own 529 plan. If the funds aren't used for qualified higher education expenses, a federal 10% penalty tax on earnings (as well as federal and state income taxes) may apply. Non-qualified withdrawals may also be subject to an additional 2.5% California tax on earnings.
Ugift is a registered service mark of Ascensus Broker Dealer Services, LLC.
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