Illinois First Steps:
$50 to Help You Start Saving for CollegeIllinois First Steps is a college savings starter program established in 2023 that provides a one-time $50 seed deposit into the 529 college savings account of children born or adopted to Illinois residents.
Illinois First Steps is administered by the Office of the Illinois State Treasurer and was established by the Illinois General Assembly to help Illinois families start saving for the rising costs of higher education and training.
Open a Bright Start 529 account to claim your $50 seed deposit and add your own contributions.
If you work with a financial advisor contact them to establish a Bright Directions 529 account to claim your $50 seed deposit.
Who Is Eligible?
To qualify for a $50 seed deposit from Illinois First Steps, you must:
Live in Illinois
The parent or legal guardian must be a resident of Illinois at the time of birth or adoption and time of claim submission.
Have a New Child
The child listed as the beneficiary of the Bright Start 529 (or Bright Directions 529) account must be born or adopted on or after January 1, 2023.
Open a Bright Start 529 Account
To claim the funds, the parent or legal guardian of the child born or adopted on or after January 1, 2023, must have a 529 college savings account with Bright Start 529 or Bright Directions 529. (Visit with your financial advisor to open a Bright Directions 529 account.)
Claim Today
Parents or legal guardians must claim the $50 seed deposit from Illinois First Steps before the child’s 10th birthday.
How does it work?
The State of Illinois will provide a seed deposit of $50 to a Bright Start 529 or Bright Directions 529 College Savings account for every eligible child, born or adopted on or after January 1, 2023, to a parent or legal guardian who was an Illinois resident at the time of birth. There is no minimum deposit required to open a Bright Start 529 or Bright Directions 529 account.
Only one Illinois First Steps $50 seed deposit may be claimed per eligible child.
How do I get started?
It’s easy — the parent or guardian of the eligible child needs to open an Illinois-sponsored 529 college savings account with Bright Start 529 or Bright Directions 529 (see below for more information) and submit a claim for the $50 seed deposit during the enrollment process.
That’s it! Illinois First Steps will then review and verify the information submitted to validate the claim. You can expect to see the one-time $50 seed deposit in your Bright Start 529 or Bright Directions 529 account the following quarter.
Once opened, you can use your Bright Start 529 and Bright Directions 529 account to save what you can, when you can for future education. Friends and family can also contribute to the account.
What is a 529 account?
A 529 college savings plan is a state-sponsored, tax-advantaged investment plan that enables you to save money for a beneficiary’s future education expenses. Funds can be used to cover a wide range of qualified higher education expenses at eligible universities, community colleges, trade schools and apprenticeships nationwide, as well as at some foreign institutions.
The Illinois 529 college savings plans are Bright Start 529 (for individuals who manage their own account) and Bright Directions 529 (for account owners who work with a financial advisor).
What are the differences between Bright Start 529 and Bright Directions 529?
Bright Start 529 and Bright Directions 529 are both Illinois-sponsored 529 college savings plans.
A Bright Start 529 account can be opened by individual investors.
A Bright Directions 529 account can only be opened through a financial advisor.
Both Bright Start 529 and Bright Directions 529 offer low cost, high-quality investment options and both enjoy attractive Illinois and federal income tax benefits.
Ready to learn more or get started?
Open a Bright Start 529 account to claim your $50 seed deposit and add your own contributions.
If you work with a financial advisor contact them to establish a Bright Directions 529 account to claim your $50 seed deposit.
Illinois First Steps Annual Report
Read the most recent Illinois First Steps annual report here
Annual Report annual report
