Plan Benefits
Tax advantages You won’t pay any taxes on your money as it grows. Plus, withdrawals for qualified higher education expenses like tuition, fees, and books are federal and Delaware income tax-free.
Federal adjusted gross income will be reduced for any contribution up to $1,000 (or $2,000 for joint returns) with a few conditions.
The deduction will NOT apply to:
Tuition in connection with enrollment or attendance at an elementary or secondary public, private, or religious school
Individuals with a federal AGI greater than $100,000 (or $200,000 for joint returns).
Deductions for couples with an AGI below $200,000 are capped at $2,000.
Flexible options for your savings You are not limited to in-state schools. You can use the funds at almost all accredited colleges and universities nationwide, many vocational or technical schools, and eligible foreign institutions — for a wide range of qualified higher education expenses.
A range of investment choices You can leave the investment decisions to Fidelity by selecting an Age-Based Strategy that invests your savings in a Portfolio based on the beneficiary’s age. Or, if you prefer, you can select a Custom Strategy by choosing your own Portfolio(s).
It’s easy to get started With $50 or as little as $15 a month, you can put your Delaware College Investment Plan account into action. Contributions can be made automatically from your bank account, from your Fidelity Account®, or with direct deposit from your paycheck (if offered through your employer). Delaware taxpayers can direct their tax refunds to their 529 college investment savings plan when completing their state income tax return.