Disclaimer: This is a sponsored post. All opinions are my own.
My littlest is an animal lover at heart and has proclaimed that he will be a zoologist or a paleontologist when he grows up!He is the youngest of three siblings who are only a couple years apart which means it is highly possible that all three of my chilldren will be in college at the same time! Although college may seem like eons away when talking about a toddler…time really does fly as all parents know. So, we have started saving for the college years through NY529 savings plans that we opened with about $25 and try to contribute at least $25 a month to each of them.
It is never too early to start thinking and actively saving for higher education expenses for the children in your life. A 529 College Savings Plan can be opened by a parent, grandparent, aunt/uncle or any loved one in a child’s life who is a US citizen or resident alien; plus contributions can be made to the plan by other family and friends in lieu of birthday/holiday gifts. There are no income restrictions to open a 529 account and the account owner NOT the beneficiary is always in control of the account even when the beneficiary becomes an adult.
The money from a 529 account can be used to pay for anything that is considered to be a qualified higher-education expense including tuition, books, supplies, certain computer equipment, software, computer related services and certain room & board fees across the country including postsecondary trade and vocational schools, 2 and 4 year colleges (community college, public or private universities), postgraduate programs and even some international schools. You can search here for eligible institutions.
There are no time limits as to when the funds in a 529 account must be used AND the beneficiary of the account can be changed to an eligible family member if the child decides not to pursue education after high school. Some advantages of a 529 savings plan are: tax deductions, tax-deferred growth and tax-free withdrawals.
Legal Disclaimers:
Investments in the plan are subject to risk.
Before you invest, consider whether your or the beneficiary’s home state offers any state tax or other benefits that are only available for investments in that state’s 529 plan.
The Comptroller of the State of New York and the New York State Higher Education Services Corporation are the Program Administrators and are responsible for implementing and administering the Direct Plan. Ascensus Broker Dealer Services, Inc., serves as Program Manager and, in connection with its affiliates, provides recordkeeping and administrative support services and is responsible for day-to-day operations of the Direct Plan. The Vanguard Group, Inc., serves as the Investment Manager. Vanguard Marketing Corporation markets, distributes, and underwrites the Direct Plan.
No guarantee: None of the State of New York, its agencies, the Federal Deposit Insurance Corporation (FDIC), The Vanguard Group, Inc., Ascensus Broker Dealer Services, Inc., nor any of their applicable affiliates insures accounts or guarantees the principal deposited therein or any investment returns on any account or investment portfolio.
New York’s 529 College Savings Program currently includes two separate 529 plans. The Direct Plan is sold directly by the Program. You may also participate in the Advisor Plan, which is sold exclusively through financial advisors and has different investment options and higher fees and expenses as well as financial advisor compensation.
For more information about New York’s 529 College Savings Program Direct Plan, obtain a Disclosure Booklet and Tuition Savings Agreement at www.nysaves.orgor by calling 1-877-NYSAVES. This includes investment objectives, risks, charges, expenses, and other information. You should read and consider them carefully before investing.
Investment returns are not guaranteed, and you could lose money by investing in the Direct Plan.
For more information about New York’s 529 College Savings Program Direct Plan, download a Disclosure Booklet and Tuition Savings Agreementor request one by calling 877-NYSAVES (877-697-2837). This document includes investment objectives, risks, charges, expenses, and other information. You should read and consider them carefully before investing.
Before you invest, consider whether your or the beneficiary’s home state offers any state tax or other benefits that are only available for investments in that state’s 529 plan. Other state benefits may include financial aid, scholarship funds, and protection from creditors.
The Comptroller of the State of New York and the New York State Higher Education Services Corporation are the Program Administrators and are responsible for implementing and administering the Direct Plan.
Ascensus Broker Dealer Services, LLC, serves as Program Manager and, in connection with its affiliates, provides recordkeeping and administrative support services and is responsible for day-to-day operations of the Direct Plan. The Vanguard Group, Inc., serves as the Investment Manager. Vanguard Marketing Corporation provides marketing and distribution services to the Direct Plan.
No guarantee:None of the State of New York, its agencies, the Federal Deposit Insurance Corporation (FDIC), The Vanguard Group, Inc., Ascensus Broker Dealer Services, LLC, nor any of their applicable affiliates insures accounts or guarantees the principal deposited therein or any investment returns on any account or investment portfolio.