Learning Quest: Kansas' 529 Plan

Last updated: March 29, 2016

What Is Learning Quest?

Learning Quest is a 529 college savings plan administered by the State of Kansas. It is designed to help people invest for the expenses of a higher education.

How Does It Work?

The Kansas State Treasurer's Office has contracted with American Century Investments®. It serves as program manager and provides you with a variety of investment choices. This allows you to choose investment options that best suit your risk tolerance and time horizon.

Who Administers Learning Quest?

Kansas State Treasurer Ron Estes administers Learning Quest. The Treasurer:

  • Develops rules and regulations to implement the program

  • Selects the financial organizations to handle education savings accounts, and

  • Ensures that all aspects of the program comply with federal, state, and Internal Revenue Service (IRS) guidelines.

Who Manages Learning Quest?

American Century Investment Management Inc. is the program manager. What this premier investment manager, brokerage, and investment services company does is:

  • Manages investor accounts

  • Provides customer service

  • Educates investors, and

  • Communicates the benefits of the program

American Century Investments manages more than 80 mutual funds. It serves nearly two million individual and institutional investors.

Who Can Contribute to a Learning Quest Account?

Learning Quest is available to all U.S. citizens and residents who want to invest for a higher education. There are no age, state residency, or income requirements. Trusts and other organizations (including corporations, government entities, and not-for-profit organizations) may invest in the program as well.

Anyone can make contributions to an existing Learning Quest account. Contributions are not exclusive to the account owner. It's easy for grandparents or other family members and friends to help.

Advantages for Kansans

Since this is the Kansas plan, Kansas taxpayers receive certain benefits from using it, including an annual adjusted gross income deduction of up to $3,000 for contributions per beneficiary per year. To find out more visit learningquest.com.

What Are the Disadvantages of Learning Quest?

There are not many disadvantages to having a 529 account. 

  • But keep in mind that any money withdrawn from a 529 account that is not spent on college expenses is subject to income tax and a 10% federal tax penalty.
  • Also if a student’s tuition is paid from a 529 account, it may reduce their eligibility for financial aid.

Click here to open a 529 plan today!