First Digital now offers a new savings account to help first-time home buyers save for a new home. This Oregon state tax deduction can be spent on a down payment or other related costs associated with the purchase of your first home.

Who is eligible? Any Oregon resident who hasn’t purchased or owned a single-family home, either individually or jointly, in the three years prior to the date of their planned purchase of a new home in Oregon.

What’s the benefit? As an individual, you may deduct up to $5,000 from your Oregon taxable income for deposits and earnings in a First-Time Home Buyer Savings Account each year, for a maximum of 10 years. For those filing jointly, the deduction can be up to $10,000 per year. You may not subtract more than $50,000 in all tax years.* Please refer to Section 6 of OR HB 4007 for more information on income limitations.

Good to Know:

• This is an Oregon state tax break and does not apply to federal taxes.
• If you do not use your savings to buy a single-family home in Oregon within 10 years of opening your account, or you use the money for something else, there may be a five percent penalty fee and you may owe taxes for any previous deductions.

Click here to access Oregon Department of Revenue’s FAQs. If you are not currently a First Digital member and want to see if you are eligible to open an account click here, or call us at 503-256-5858, or email us at [email protected] for help.

Open Account

* For specific tax advice, please consult with a tax professional.

A First Digital money market account is an easy way to start saving while earning higher dividends. Dividends are compounded daily and paid monthly. Features include:

• $2000 minimum balance to open
• No monthly fees
• No terms or penalties for early withdrawal
• Unlimited in-person withdrawals or transfers
• Unlimited deposits
• Up to 6 electronic, online, telephone, or check withdrawals per month
• Refer to savings rate disclosures for balance requirements and limitations