(RALEIGH) -- Total assets in the North Carolina 529 College Savings Plan grew 34 percent in 2010. The total value reached $716,783,593. This is up from $534,808,377 in 2009.

The number of active accounts also increased from December 2009 to December 2010. There were 74,706 active accounts at the end of 2009 and 85,516 by the end of 2010.

"The growth of North Carolina's savings program this past year is due to a number of factors: improvement in the economy, increased understanding of the value of higher education, growing familiarity with the advantages of saving in a 529 plan, and very positive recognition for the NC 529 program," said Shera Hube, Vice President of Marketing and Savings at The College Foundation, Inc.

Each state administers its own plan.  Last fall, Morningstar, an independent financial research firm, praised the North Carolina plan. Money magazine has also called the North Carolina plan one of the three top college-savings plans in the nation.

Starting an NC 529 account requires as little as a $25 investment and you may make regular or periodic contributions based on your financial situation and your preferences.  Money can be used for qualified higher education expenses at almost any four-year or two-year college, in-state or out-of-state.

Earnings in an NC 529 Account are free from federal and NC taxes if used for qualified higher education expenses.