If your client has a CollegeAmerica® or ABLEAmerica® savings plan, you may notice changes in how distribution information is displayed on their statements and online. Previously, distributions were broken down to indicate which portion represented the basis (contributions to the account) and which portion represented earnings. Going forward, this breakdown will not be included, making their statements and online transaction history shorter and easier to read.
If they need the basis/earnings breakdown for a distribution, it will still be provided with any distribution checks. A yearly total can also be located on their 1099-Q (for CollegeAmerica) or 1099-QA (for ABLEAmerica) tax forms. Tax forms for CollegeAmerica accounts are available for you in Client Accounts and are available for your clients on the investor website. Contact us for ABLEAmerica tax forms. Your clients will receive notification of this change on their third- and fourth-quarter statements.