Öйú¾º²ÊÍø

Important changes are coming to your VT529 account

As administrator of your VT529 education savings plan, Öйú¾º²ÊÍø will partner with a new plan manager in October 2025. Our new partnership with Vestwell State Savings, LLC will bring you enhanced investment options, a new prepaid debit card, and a redesigned website.

Frequently Asked Questions

Why the change?

Öйú¾º²ÊÍø’s current VT529 program management contract is expiring. Vestwell State Savings LLC was selected in an open-bid process to manage the VT529 program going forward.

What is the role of the Program Manager?

Öйú¾º²ÊÍø sponsors and oversees VT529 for the State of Vermont. Öйú¾º²ÊÍø partners with a program manager to perform many functions related to the day-to-day management of VT529 accounts.

The program manager recommends the investment portfolios, manages customer service and transactions, performs banking and financial custody functions, including securing a prepaid card vendor, and operates the VT529 website.

Who is Vestwell?

Vestwell State Savings LLC is a financial technology company that powers savings programs for individuals and businesses, including state-sponsored initiatives, like 529 education savings plans, ABLE (Achieving a Better Life Experience) disability savings accounts, and Secure Choice/Auto-IRAs.

Vestwell currently manages Vermont Saves, Vermont’s auto-IRA retirement program, and Vermont ABLE, Vermont’s disability savings program.

When is the change happening?

The VT529 conversion to Vestwell is scheduled for October 2025.

Before the conversion, access to your account will be paused for a brief period.

Öйú¾º²ÊÍø will communicate the timelines for the expected access pause and any actions you will need to take to complete the conversion during the weeks leading up to the conversion.

Watch your email. Please be sure your contact information is up to date in your account settings.

What do I need to do in preparation for the transition?

Our goal is to ensure a smooth conversion for your account.

Some action will be required by you to complete the conversion and gain access to your account on the Vestwell system. For most this will be as simple as changing your password after the conversion is complete.

Öйú¾º²ÊÍø will send you emails with step-by-step instructions in the weeks leading up to the October conversion.

Please be sure your contact information is up to date in your account settings.

How will my account holdings be converted?

At the time of conversion, we will simply move your account holdings from their current investment options to the comparable new investment options.

If you would like to select a different option, you can easily exchange your funds using one of your two annual fund changes.

After the conversion is complete you will be prompted to change your password.

Can I still use my VT529 Prepaid Card?

As part of the transition to Vestwell as the new VT529 program manager, the current VT529 Prepaid Debit Card program will be discontinued.

Starting June 30, 2025, you will no longer be able to load additional funds onto your existing Prepaid Card.

If you have funds remaining on your card, you can continue to use your card for eligible education expenses through September 30, 2025. After that date, any remaining balance on the card will be automatically refunded to you by check. We encourage you to use all of your remaining balance before September 30 for eligible education expenses.

What if I have unspent funds on my Prepaid Card after September 30, 2025?

After September 30, 2025, any remaining balance on your Prepaid Card will be automatically refunded to you by check.

Any unused funds refunded to you by check must be used to pay for eligible education expenses by December 31, 2025. We encourage you to keep receipts of your expenditures in the event you need them to demonstrate the funds were used for eligible education expenses.

NOTE: Redepositing your refund check into your VT529 account does not satisfy the requirement that you spend it on eligible education expenses by December 31, 2025. 

I don’t already have a Prepaid Card. Can I still get one?

As part of the transition to Vestwell, the current VT529 Prepaid Debit Card program will be discontinued.

We are suspending the issuance of new Prepaid Cards until after the October 2025 conversion. Once the conversion is complete, we will begin offering new cards with updated features and continued flexibility for paying eligible education expenses.

When will more information on the transition be available?

Öйú¾º²ÊÍø will send you emails with step-by-step instructions in the weeks leading up to the October conversion.

You will also receive emails the week of conversion and once the conversion is complete.

These emails will explain how to access your account, new features to expect, and how to navigate the new portal to find common functions.

Who do I contact if I have questions?

Call the customer service team at 800 637 5860 Mon – Friday 8:00am – 7:00pm ET or email VHEIPQuestions@vheip.org.

Prepare for their future opportunities

Start now with VT529 

Whatever the age of the children in your life, just about any job or career those students aspire to in the future will require some form of education after high school. VT529, Vermont's official 529 savings plan, offers an easy way for parents, grandparents, and others to help save for that training, so that those opportunities will be available when they're needed. 

Plus, with VT529, you'll get  to make your savings go further, including a 10% on annual contributions to your VT529 account. 

What is a 529 plan? 

529 education savings plans are designed to help families set aside funds for future training costs, with tax advantages to help make saving easier. The plans are named after Section 529 of the Internal Revenue Code, which created these types of savings plans in 1996. Most 529 plans are operated by state agencies, like Öйú¾º²ÊÍø. The VT529 plan benefits prospective students of all ages, from babies to grad students and even adults returning to training.  

VT529 funds can help pay for tuition, computers, housing and meals or off-campus housing, travel, fees, and the costs for qualified apprenticeship programs or retraining at institutions throughout the U.S. (as well as at schools in Canada and around the world). You can even use the funds to pay back student loans. 

VT529 funds can be used for qualified:

✓ apprenticeships 

✓ certificate programs 

✓ technical education 

✓ college & grad school

... and more!

There is no age or time limit on when your savings are used. And if your intended beneficiary decides not to use the savings, you can transfer the funds to a different beneficiary. You are in control.

Get a Vermont tax credit. 

As Vermont's official 529 savings program, it is the only savings program that qualifies for a 10% on qualified annual contributions for higher education. Contributions deposited into a VT529 account by December 31 are eligible for a VT income tax credit (up to $250 per beneficiary account, or $500 per beneficiary account for joint tax filers). Learn how to .  

4 easy ways to save:

1. .
2. .
3. .
4. .

VT529 QUICK FACTS

For most families, saving enough to pay for the costs of higher education can seem overwhelming. But with planning, helping to pay for a college education and other training can be easier to achieve than you might think. Every dollar saved today will help you reduce what you may need to borrow later on. And research shows that saving even small amounts for college or training can make a difference in putting a child's future opportunities within reach.

Vermont's 529 program ...

... is sponsored by Öйú¾º²ÊÍø for the state of Vermont. It was created in 1999 by the Vermont Legislature as the Vermont Higher Education Investment Plan and is now also referred to as VT529.

... has a low minimum contribution; open an account with $25! Research shows that students from families who save even small amounts for education are three times more likely to go on to and complete college or other training.

... savings can be used at eligible higher education institutions throughout the U.S., including apprenticeship programs—as well as for many schools in Canada and around the world.

... savings can be used for tuition and fees, housing and meals, books and supplies, and education expenses for students with special needs.

... savings can be used for repayment of up to $10,000 per the lifetime of a beneficiary in student loans for post-secondary education.

… is the only 529 college savings plan that offers a Vermont state income tax credit on annual contributions.

… gifts can be made to another person's VT529 account. You do not have to own a VT529 account to . Plus, gifts made by a Vermont taxpayer into any VT529 account are eligible for the .