Dont' have an account?
Open one today!

Give a Gift

The gift of education is always welcome whether for special occasions, holidays, or just to recognize the achievements of a special young person.

Are you a Maine resident? If either the account owner or the account beneficiary is a Maine resident, contributions, including gifts, may be matched with Maine’s annual NextStep Matching Grant¹. Contributions will be matched by 50% every year, up to a $300 match.

How to Make a Gift Contribution

Consider enlisting grandparents, other family members and friends to give the gift of education and help you meet your family’s college savings goals.

Gift givers can contribute to your account by mailing a check:

Instruct the gift giver to write a check to: NextGen FBO (your child’s name)
Download and print a contribution coupon.
Fill out contribution coupon — make sure to include the NextGen account number. If you don’t have your account number handy, find it on your most recent NextGen account statement or call Merrill Lynch at 1-877-463-9843.
Mail the completed contribution coupon and check to:
1. For Direct Series accounts:
  Merrill Edge
  P.O. Box 962
  Newark, NJ 07101-0962
2. For Select Series accounts:
  College Plan Services
  P.O. Box 1518
  Pennington, NJ 08534

Once you’ve made a contribution, download & print one of the cards pictured below.

Simply add your name and the child’s name, roll it up and tie it with a bow.

Estate Planning

A contribution to a 529 plan account is treated as a completed gift from the donor to the designated beneficiary of the account and qualifies for the annual federal gift tax exclusion ($15,000). This affords a unique opportunity in which you can remove assets from your taxable estate while contributing to an account that you control. You may also be able to take advantage of a federal gift tax election that applies only to 529 plan contributions. This election allows you to make a lump-sum contribution up to five times the annual exclusion amount ($75,000) per beneficiary in one year and elect to treat the contribution as if it was made ratably over five years avoiding federal gift tax liability, as long as you make no other gifts to the same beneficiary for the next five years. A married couple filing jointly generally can gift up to $150,000. This gifting strategy may be an attractive option for grandparents wishing to help fund college for one or more grandchildren.³

ARP9YYMC

¹ Grants are linked to eligible NextGen accounts. See Terms and Conditions of Maine Grant Programs for other conditions and restrictions that apply.

² Third Party Contributions: Persons other than the account owner who make contributions will have no subsequent control over the funds contributed to a NextGen account. Only the NextGen account owner will receive confirmation of account transactions and may direct transfers, rollovers, investment changes, withdrawals and change the account beneficiary (as permitted under federal law). Third party contributors may subject NextGen account owners to tax consequences. NextGen account owners and third party contributors should consult their tax advisors to discuss income or gift tax consequences.

³If you make the five-year election to prorate a lump-sum contribution that exceeds the annual federal gift tax exclusion amount and you die before the end of the five-year period, the amounts allocated to the years after your death will be included in your gross estate for tax purposes. Please consult your tax and/or legal advisor for specific guidance before making investment decisions that could affect your taxes or estate or Medicaid planning needs.