ScholarShare 529 Gifting: Safe, Secure, and More Popular Than Ever
published January 8, 2025
SACRAMENTO, Calif. – As college costs continue to rise, more families are turning to ScholarShare 529’s e-gifting platform to build their college savings faster. In 2024, ScholarShare 529 experienced a record-breaking year, with $102,825,808 contributed through e-gifting—an impressive 40% increase over 2023.
"ScholarShare 529's gifting feature can be a game changer for families," said Cassandra DiBenedetto, Executive Director of ScholarShare 529. "It offers a simple and secure way for loved ones to contribute to a child’s future, making saving for college a shared goal."
Since its launch, e-gifting contributions have grown steadily year after year. Families contributed just over $8 million in 2015, but by 2024, that number had skyrocketed to over $102 million—a testament to its growing popularity and ease of use.
Why gifting works
ScholarShare 529’s e-gifting platform makes it easy for family and friends to contribute directly to a college savings account. Whether it’s a birthday, holiday, or special milestone, loved ones can give the gift of education with just a few clicks.
How it works:
- Secure Invitations: Account owners can send secure gifting invitations through ScholarShare 529’s UGift® platform
- Personalized Contributions: Gift givers can contribute any amount
- No Fees: there are no fees for using ScholarShare 529’s e-gifting tool
A growing trend
ScholarShare 529’s e-gifting feature aligns perfectly with today’s preference for meaningful, lasting gifts. The record-breaking $102.8 million in contributions last year reflects a cultural shift toward prioritizing education and financial security for the next generation.
"We're thrilled to see gifting become such a popular feature," DiBenedetto added. "It’s heartening to witness communities rally around families to make higher education more attainable."
About ScholarShare 529
ScholarShare 529 is California’s official college savings plan, offering families a powerful tool to save for education. Contributions grow tax-deferred, and withdrawals are tax-free when used for qualified higher education expenses. With low fees and flexible investment options, ScholarShare 529 continues to be one of the nation’s leading 529 plans.
Start a gifting tradition today by visiting ScholarShare529.com/resources/gifting.
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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