Program & Portfolio
Take advantage of the many benefits Franklin Templeton 529 College Savings Plan has to offer and help your clients start saving today.
Special benefits for New Jersey residents
The State of New Jersey, in part through The New Jersey College Affordability Act, provides benefits to help New Jersey residents save money when investing for education with the Franklin Templeton 529 College Savings Plan. Check out these features to see if you can help your clients take advantage of investing in their education.
- Contributions into a Franklin Templeton 529 College Savings Plan of up to $20,000 per year, for taxpayers with gross income of $200,000 or less, are eligible for a New Jersey state tax deduction.1
- Matching Grant Program of up to $750 for new beneficiaries.2
- The NJBEST Scholarship provides a tax-free scholarship worth up to $6,000 to beneficiaries of a Franklin Templeton 529 College Savings Plan. 3
And investing in Franklin Templeton 529 College Savings Plan still won't interfere with New Jersey Financial Aid.
- Plan assets of up to $25,000 won’t be included in determining a beneficiary’s eligibility to receive financial aid awarded by the state of New Jersey.4
529 plan features
Franklin Templeton 529 College Savings Plan features
Franklin Templeton 529 College Savings Plan has features to help your clients achieve their college savings goals. Download the brochure or check out our FAQs and talk to your clients today.
Target Enrollment Portfolios
Select the portfolio that aligns with the year the funds will be needed and the asset allocation will automatically adjust over time, becoming more conservative as the enrollment year approaches.
Multiple share classes
With A, C, and Advisor share classes, choose pricing to match client needs.
NAV rollovers
Transfer funds from another 529 plan to Franklin Templeton 529 without a sales charge. (Note: Confirm NAV Rollover availability with your firm.)
Online distributions
Make it easy for clients to quickly schedule payments from their Franklin Templeton 529 account.
Ugift®
Anyone can help fund a 529. Ugift® is a tool to help your clients quickly and easily encourage additional 529 contributions from family and friends. Ugift® provides a confirmation of the contribution to the 529 account which could be helpful come tax time.5
10 things you should know about Franklin Templeton 529 College Savings Plan
- It can pay for more than just tuition
529 plan savings can be used for a wide range of qualified education expenses beyond just tuition. This includes mandatory fees, books, supplies, and equipment required for enrollment or attendance at eligible educational institutions, as well as room and board for students enrolled at least half-time. Additionally, funds can cover certain certified apprenticeship expenses and up to $20,000 can be applied towards the principal or interest of a student loan for the beneficiary or a sibling. - You can change beneficiaries
The beneficiary can be changed to a member of the immediate or extended family (including siblings, grandchildren, nieces, nephews, cousins and more). - The owner controls 529 plan assets
The account owner—not the beneficiary—maintains control of the assets, including how and when they will be used. - Flexible contribution amounts
Franklin Templeton 529 College Savings Plan allows account owners to open an account with as little as $25 and contribute as much as $305,000 per beneficiary over the lifetime of the account.4 - Wide range of schools
529 savings can be used at most accredited two- and four-year colleges and universities and vocational schools, including many outside the U.S., as well as certified apprenticeships. Additionally, up to $20,000 per year per beneficiary can be used for tuition for eligible public, private and religious primary and secondary educational institutions (K-12).6 - No income restrictions
Anyone can open a plan regardless of his or her income. - Multiple investment options
Franklin Templeton 529 College Savings Plan offers a wide range of investment choices allowing you to invest your assets in the portfolio(s) that best suit your education savings goals. - Convenience
Franklin Templeton 529 College Savings Plan offers features that make it a convenient way to save for college, including monthly automatic investment plans and portfolios that automatically rebalance as the beneficiary gets closer to college. - Earnings grow tax free
Earnings grow federal income tax-free, and earnings are free from federal income tax when:- Withdrawn for qualified higher education expenses
- Used up to $20,000 per year for tuition for eligible primary and secondary schools
- Paid toward principal or interest of a student loan for the beneficiary or sibling – up to $20,000.6
- Estate planning
Five years worth of gifts can be made at once to a 529 plan without owing federal gift tax, as long as no other gifts are made to the same beneficiary over the five years.
- The New Jersey College Affordability Act allows for a state tax deduction for contributions into a Franklin Templeton 529 College Savings Plan of up to $20,000 per year, for those with gross income of $200,000 or less, beginning with contributions made in tax year 2022. The maximum deduction is $20,000. Because each investor’s circumstances are different, please consult your tax professional for more information about considerations that may be relevant to your particular situation.
- The New Jersey College Affordability Act allows taxpayers with household adjusted gross income between $0 and $75,000 to be eligible for a one-time grant of up to $750 matched dollar-for-dollar of the initial deposit into an NJBEST account. Visit HESAA's site for terms and conditions and how to apply. This program is subject to available funding.
- The scholarship may be awarded only once to an eligible beneficiary. Prior recipients of NJBEST Scholarship may not reapply. Investing in a Franklin Templeton 529 College Savings Plan does not guarantee admission to any particular elementary or secondary school or to college, or sufficient funds for elementary or secondary school or for college. The scholarship is only available for college and is awarded any fall or spring semester of college. The NJBEST Scholarship is provided by the New Jersey Higher Education Student Assistance Authority.
- Please refer to the Program Description for more information.
- Ugift® is an optional service, is separate from the Plan, and is not affiliated with HESAA, the Program Manager or any affiliate thereof. For more information on Ugift®, visit www.ugift529.com.
- The Federal Tax Cuts and Jobs Act (TCJA), which was signed into law in December 2017 and became effective January 1, 2018, expanded the definition of a qualified higher education expense to include up to $20,000 (federal tax-free withdrawals) per year in tuition expenses at private, public and religious elementary and secondary schools (K -12). The state tax consequences of using 529 plans for elementary or secondary education tuition expenses will vary depending on state law and may include recapture of tax deductions received from the original state and may also include taxes and penalties. Some states do not offer state tax deductions or tax credits for K -12 tuition, and other restrictions may apply.
- Effective November 18, 2024, there were a number of changes to investment options (for example, the transition of age-based portfolios to target date and the streamlining of objective-based and individual portfolios). Please see the Program Description for detailed information.
- Assets of the Ariel 529 Portfolio currently are invested in the Ariel Fund, a series of Ariel Investment Trust, distributed by Ariel Distributors, LLC. The Ariel Fund’s fundamental objective is long-term capital appreciation. Ariel Investments, LLC is not affiliated with Franklin Templeton. For a description of the Fund’s main types of investment risks, please see the Program Description.
- Source: Saving For College, awarded in September 2025. The factors Saving For College uses to examine and score each 529 plan are grouped into four categories: Performance, Ease of Use, Savings Success, and Program Delivery. A plan's four individual category scores are computed on a scale of 1 to 5 and carried out to two decimal places as displayed on the Plan Details page. The overall 529 Rating is a weighted average of these four category scores. In all of these categories, objective criteria have been established with which to compare plans, often using numerical data as the basis to evaluate a factor's score. For additional details, please refer to the official award website: https://www.savingforcollege.com/529-plan-ratings/criteria. Franklin Templeton did not pay an entry fee for the award.
All investments involve risks, including possible loss of principal. Equity securities are subject to price fluctuation and possible loss of principal. Small- and mid-cap stocks involve greater risks and volatility than large-cap stocks. International investments are subject to special risks, including currency fluctuations and social, economic and political uncertainties, which could increase volatility. These risks are magnified in emerging markets. Fixed income securities involve interest rate, credit, inflation and reinvestment risks, and possible loss of principal. As interest rates rise, the value of fixed income securities falls. Low-rated, high-yield bonds are subject to greater price volatility, illiquidity and possibility of default. Asset-backed, mortgage-backed or mortgage-related securities are subject to prepayment and extension risks. Theinvestment style may become out of favor, which may have a negative impact on performance. To the extent the portfolio invests in a concentration of certain securities, regions or industries, it is subject to increased volatility. The manager may consider environmental, social and governance (ESG) criteria in the research or investment process; however, ESG considerations may not be a determinative factor in security selection. In addition, the manager may not assess every investment for ESG criteria, and not every ESG factor may be identified or evaluated. These and other risks are discussed in the fund’s prospectus.
Government/Treasury Money Market Funds: You could lose money by investing in the fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not a bank account and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund’s sponsor is not required to reimburse the fund for losses, and you should not expect that the sponsor will provide financial support to the fund at any time, including during periods of market stress. Although the fund invests in U.S. government obligations, an investment in the fund is neither insured nor guaranteed by the U.S. government.
Investors should carefully consider the 529 plan’s investment goals, risks, charges and expenses before investing. To obtain the Program Description, which contains this and other information, talk to your financial professional or call Franklin Distributors, LLC, the manager and underwriter for the 529 plan at (800) DIAL BEN/342-5236 or visit franklintempleton.com. You should read the Program Description carefully before investing and consider whether your, or the beneficiary’s, home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in its qualified tuition program.
Franklin Templeton’s 529 College Savings Plan is offered and administered by the New Jersey Higher Education Student Assistance Authority (HESAA); managed and distributed by Franklin Distributors, LLC, an affiliate of Franklin Resources, Inc., which operates as Franklin Templeton.
Investments in Franklin Templeton’s 529 College Savings Plan are not insured by the FDIC or any other government agency and are not deposits or other obligations of any depository institution. Investments are not guaranteed by the State of New Jersey, Franklin Templeton, or its affiliates and are subject to risks, including loss of principal amount invested. Investing in the plan does not guarantee admission to any particular primary, secondary school or college, or sufficient funds for primary, secondary school or college.
This material is being provided for general informational and educational purposes and should not be considered or relied upon as legal, tax or investment advice or an investment recommendation, or as a substitute for legal or tax counsel and provided for educational and informational purposes only. Franklin Templeton does not provide legal or tax advice. Federal and state laws and regulations are complex and subject to change, which can materially impact your results. Franklin Templeton cannot guarantee that such information is accurate, complete or timely; and disclaims any liability arising out of your use of, or any tax position taken in reliance on, such information.
