We know, we know: It’s summer, and school is the last thing anyone is thinking about right now. But we also try keep some educational activities in our summer vacation, right? So don’t miss out on your last chance to take advantage of great savings, courtesy of Florida Prepaid.
The open enrollment period for Florida Prepaid tuition plans may have ended earlier this year, but the good news is you can open a 529 Savings Plan anytime. While the Prepaid Plans lock in tuition for your child’s future higher education with set rates, the 529 Savings Plans give you more flexibility. I took the opportunity to chat over a summer beach playdate with a friend who was new to learning about college saving plans. Grab a cup and enjoy our Q&A as she explored her options!
Q: What are a few benefits of the Florida 529 Savings Plan?
A: You can contribute what you can, when you can. There is no set payment amount or schedule, accounts can be opened at any time, without any application fees or minimum monthly contributions, meaning it’s perfect for any family’s budget. And the funds can be used not only for higher education expenses, but also for some K-12 educational expenses.
Q: My parents did not have a college fund for me. Why I should start one for my own children?
A: Planning for your child’s future pays off, too. Students with money saved for college are significantly more likely to graduate, and it’s not difficult to understand why: the costs of getting a bachelor’s degree have become higher and higher over the passing years. It’s worth the effort, of course — someone with a bachelor’s degree earns, on average, over $24,000 more a year than someone with just a high school diploma. But it can be difficult to get there. Families can help make that journey a little bit easier by helping plan ahead for their child’s future. And there’s no better time than right now to start! You can even start early with summer saving tools to get the kids involved — think yard sale, lemonade stand or summer chores (who wants to organize the closets or clean the baseboards?!) A little bit can go to their summer fun “fund” and the rest to your newly created college saving plan.
Q: Why should I set up a Florida 529 Savings Plan?
The Florida 529 Savings Plan has been recognized as a top performer among direct-sold 529 plans in SavingForCollege.com‘s quarterly performance rankings. The Florida Prepaid College Board carefully selects each of the investment management firms and constantly monitors their performance. The 529 Savings Plan has more than 62,000 active accounts with a market value of more than $527 million.
Q: Are there any special offers Florida Prepaid has to help me get started?
A: Florida Prepaid is currently featuring an amazing promotion for families who open a new 529 savings plan. The first 5,000 accounts opened before June 30th, 2018 will receive a $25 contribution from the board; if you set up automatic monthly contributions of as little as $25, they’ll give you another $25 into your account. Both deposits will be made before August 30, 2018.
So while now is the time to relax and have some fun, it’s also an even better time to take advantage of awesome summer savings. Don’t skip out on the opportunity to get your child the chance for a brighter future — click here to get started!