Initial Matching Grant
Eligible Maine accounts can receive a $200 Initial Matching Grant when opening a NextGen account with just $25 in the Client Direct Series (effective 7/22/2013) or $50 in the Client Select Series, regardless of family income.
Grant Eligibility Requirements
- The NextGen account was opened since January 1, 2011 for a new beneficiary; and
- Either the account owner or account beneficiary is a Maine resident at the time the grant is awarded; and
- The account beneficiary is not eligible for the Harold Alfond College Challenge Grant.
What Else Should I Know?
- The Initial Matching Grant is limited to one per eligible beneficiary.
- Initial Matching Grant funds may only be used for qualified higher education expenses.*
- A NextGen account owner may not withdraw Initial Matching Grant funds for twenty-four (24) months following the opening of the NextGen account.
- View the Terms and Conditions for other conditions and restrictions that apply.
Although matching grant funds will appear on the NextGen account statement, all matching grant funds, including any earnings on matching grant funds, remain the property of FAME until used for qualified higher education expenses.*
FAME may modify or terminate any matching grant program at any time.
For more information about the Initial Matching Grant, contact a FAME NextGen Representative or call 800.228.3734.
*To be eligible for favorable tax treatment afforded to any earnings portion of withdrawals from Section 529 accounts, such withdrawals must be used for “qualified higher education expenses,” as defined in the Internal Revenue Code. Any earnings withdrawn that are not used for such expenses are subject to federal income tax and may be subject to a 10% additional federal tax, as well as state and local income taxes.