Plan For Child Education

“At a time when going to college has never been more important, it’s never been more expensive.”

-Arne Duncan

College is an investment for a lifetime.

The gift of a college education can open the door to a world of opportunity for your child or grandchild. Saving, even a little at a time, can make a big difference down the road. With the cost of a college education continuing to increase, the key is to start saving early and regularly.

According to the College Board, the average cost for tuition and fees at four-year public institutions has increased nearly 51% over the last 10 years (after adjusting for inflation), and these costs will almost certainly continue to rise. Saving for college can help with the increasing cost of a college education and help you be financially prepared when your children are ready for college.

No matter how much you save, even a little can make a difference.

The multitude of different savings plans for a child’s education provides a situation that is important to take advantage of. Time is always an asset when trying to save, and tax-sheltered accounts help make sure that any earnings won’t be slowly eaten away by the government.If you have plenty of time before your child graduates from high school, the Education Savings Account may be a good choice. If you don’t want to give full control to your children, the UGMA/UTMA accounts may not be the best route.

If time is no longer on your side, a 529* account is generally better as it will provide for the maximum tax savings in the shortest duration of time, without affecting your children’s application for financial aid. However, if you don’t want to be limited in your investment decisions and portfolio mix, the 529 plan may not be the best choice.

Whether it’s a 529* college savings plan, Coverdell or Custodial UGMA/UTMA, we’ll help you find a plan that may be right for you.

*Investments in 529 plans involve risks to principal and may involve additional fees such as enrollment charges and annual maintenance fees. 529 plans offer no guarantees. Depending on your state of residence and the state of residence of the beneficiary, the plan may or may not be eligible for state tax benefits. There are exceptions to the gift tax and estate tax exemptions; please contact a qualified tax, legal or financial advisor for more information prior to investing.

Let's Start Talking

Instead of just telling you what to do, we work together with you, providing you with easy-to-understand recommendations and we help you implement them and then monitor your progress, every step of the way.