Frequently Asked Questions - Opening an Account, Contributions and Fees

How do I open an account?
You can Enroll Online and submit your initial contribution electronically from your bank account or establish an Automatic Contribution Plan (PDF, 50KB). You can also Download Enrollment Materials, or you can Request an Enrollment Kit to have enrollment materials mailed to your address. Allow five to seven days for delivery.

Who can open an account?
Any individual with a valid Social Security Number or federal taxpayer identification number who is a U.S. citizen or resident alien can open an account and contribute to OCSP on behalf of any beneficiary. The beneficiary must have a valid Social Security Number or federal taxpayer identification number and be a U.S. citizen or resident alien. An organization described in Section 501(c)(3) of the Internal Revenue Code, an estate or a trust may also open an account. Such entities will be subject to additional restrictions or administrative requirements. You can even open an account for yourself. Open An Account.

How do I contribute to OCSP?
The minimum initial contribution is $100 per Investment Option and the minimum subsequent contribution to an Account is $25 per Investment Option. You can open an account with a check, electronic funds transfer, or through the Automatic Contribution Plan. You can also contribute as little as $15 per investment option per pay period using payroll deduction through participating employers. Each account can have only one account owner and one beneficiary. However, each beneficiary may have more than one account and, you may open separate accounts for as many different beneficiaries as you wish. To set up an automatic contribution plan log in to your account or use the Electronic Banking Form (PDF, 151KB). To set up Payroll Deduction, use the Payroll Deduction Form (PDF, 111KB).

What is the maximum that I can contribute to an account?
There is no annual limit on the amount you may contribute. However, there is an overall maximum account balance limit of $300,000 which applies to all accounts opened for a beneficiary. An account owner may contribute to a beneficiary's account if, at the time of the contribution, the total balance of all accounts for that beneficiary does not exceed $300,000. Accounts that have reached the Maximum Account Balance Limit may continue to accrue earnings.

Can I take a distribution from both a OCSP and Coverdell Educations Savings Account to pay for expenses in the same year?
Yes. However, you must apply the distributions to different eligible expenses in order to obtain the favorable tax treatment. See IRS Publication 970 for more detail.

Are there any fees associated with opening a OCSP account?

With OCSP, there are no sales charges, start-up or maintenance fees. TIAA-CREF, Tuition Financing, Inc. (TFI) is paid an annual asset-based management fee to cover the cost of investment management, and administrative services. TFI is an affiliate of TIAA-CREF Individual & Institutional Services, LLC, the distributor for OCSP. For the Managed Allocation Option, Diversified Equity Option, 100% Equity Option, Balanced Option and Fixed Income Option, the Program Manager fee is 0.65 percent (less than one percent) of the average daily net assets so invested, plus the specific investment management fees for the underlying Mutual Funds. For the Guaranteed Option, TFI is paid a separate expense fee. See fee table and sample investment cost. Please note, however, that the State reserves the right to change the current fee and impose new or additional fees, expenses, charges, or penalties in the future.

How do I keep track of my account?
You have online access to your account information 24 hours a day, or you can call and speak to one of our college-savings experts at 1-877-654-7284 Monday through Friday, 7:00 am - 7:00 pm Central Time. You'll receive quarterly and annual statements that show account activity. A separate statement will also be mailed, which lists every transaction made to the account. (Quarterly statements will be provided for periodic payment plans, such as payroll deduction.)
Access Your Account.