Oklahoma families continued their strong commitment to saving for college through the Oklahoma College Savings Plan (OCSP) in 2025, when total assets in the OCSP reached nearly $2 billion. The number of unduplicated accounts grew to almost 90,000, an increase of over 4,000 or 4.7% compared to 2024.
The OCSP is Oklahoma’s 529 college savings plan. The “529” is a designation based on the IRS code section, which authorizes state “qualified tuition programs.” As a 529 plan, earnings on investments in the program are exempt from both federal and state income taxes if used for qualified education expenses.
In addition to paying expenses at colleges and universities across Oklahoma – including for concurrent enrollment – and throughout the nation, funds can be used to pay tuition and fees at Oklahoma CareerTech centers, for eligible K-12 tuition expenses, for apprenticeship expenses, and for student loan repayment, subject to limitations.
“College graduates earn more, advance further in their careers, and build stronger financial security,” said Chancellor Sean Burrage. “The Oklahoma College Savings Plan offers families a flexible, tax‑advantaged option to pay education expenses and minimize student debt. Since 2000, the program has distributed more than $1.28 billion to help Oklahoma families pay for college.”
Oklahoma provides an annual state income deduction on OCSP contributions of up to $10,000 per taxpayer or $20,000 for joint filers. An OCSP account can be opened with as little as $25, with subsequent contributions as small as $25 or $15 per pay period.
“Every contribution to the Oklahoma 529 Education Plan brings a child closer to their dreams, and the state’s tax benefits make it easier to save tax-free,” said State Treasurer Todd Russ. “Oklahoma families know that investing in education is an investment in our children’s future. The plan’s growth shows that more families are taking proactive steps to fund their children’s education, reduce student debt, and open doors to lifelong opportunities.”
In 2024, the OCSP board authorized 529 account holders to roll over unused funds into Roth IRAs, giving families more flexibility in utilizing unused 529 assets, and expanded eligibility for the Oklahoma Dream 529 at Work program, a workplace savings plan that enables employees to contribute to their Oklahoma Dream 529 accounts via payroll deductions.
Oklahoma families have until April 15, 2026, to open and contribute to an Oklahoma 529 account and qualify for a state tax deduction on their 2025 taxes. For full information about the Oklahoma 529 college savings plan, visit www.oklahoma529.com.