Tom began by explaining the benefits of establishing a 529, which is a college savings program. This can be set-up with a child or a grandchild as the beneficiary. But he strongly urged that these accounts should be set up early in the child’s life as even a small amount compounds over the years. Recent changes in a 529 now permit use of these funds for private elementary and/or high schools as well; up to $10,000/year. The fund is tax deferred growth. The beneficiary can be changed as long as it’s used for a family member (niece/nephew or even yourself.) The funds can be used not only for tuition but also for fees and housing costs. He then shifted to the importance of completing the FAFSA (Free Application For Student Aid) even if you think your family income will deny your child access to scholarship monies. If your circumstances should change during your child’s education years, the school will have on file a history of your family’s income which will help them assess need. A word of warning: don’t be taken by “I can complete your FAFSA for you and guarantee a scholarship” as this is a scam. Filing can begin on October 1 and funds are distributed on a first come first serve basis, so begin the process online now. Remember to complete the FAFSA each year. Tom would be happy to answer any questions that you have, and even to assist in establishing your child’s account.Speaker Tom Price
Tom began by explaining the benefits of establishing a 529, which is a college savings program. This can be set-up with a child or a grandchild as the beneficiary. But he strongly urged that these accounts should be set up early in the child’s life as even a small amount compounds over the years. Recent changes in a 529 now permit use of these funds for private elementary and/or high schools as well; up to $10,000/year. The fund is tax deferred growth. The beneficiary can be changed as long as it’s used for a family member (niece/nephew or even yourself.) The funds can be used not only for tuition but also for fees and housing costs. He then shifted to the importance of completing the FAFSA (Free Application For Student Aid) even if you think your family income will deny your child access to scholarship monies. If your circumstances should change during your child’s education years, the school will have on file a history of your family’s income which will help them assess need. A word of warning: don’t be taken by “I can complete your FAFSA for you and guarantee a scholarship” as this is a scam. Filing can begin on October 1 and funds are distributed on a first come first serve basis, so begin the process online now. Remember to complete the FAFSA each year. Tom would be happy to answer any questions that you have, and even to assist in establishing your child’s account.