529 Day is nearly here {May 29th}! But what is 529 day?
529 Day was created to celebrate the 529 college savings plan. This “holiday” is supposed to serve as a reminder to you that it is never too early to begin thinking about and preparing for your child’s college education!
Our state’s specific plan, The Minnesota 529 College Plan, works by making contributions after tax dollars into the account. The funds are then invested and have the opportunity to grow tax deferred. When it is time for your child to go to college, you can take the funds out completely tax-free as long as the funds are going to an accredited school and used for a qualified expense. Qualified expenses include tuition, certain room and board costs as well as mandatory books, fees, and computer accessories.
Saving for college is like running a marathon. You need to start preparing as early as possible and keep a steady pace to make it to the finish line. Since the price of college isn’t going down, it is important for families to do their research and see what program will work best for them.
Minnesota College Savings Plan offers many convenient tools on their website including everything from the opportunity to create a new account to tools that help you and your family plan for your future. You can make contributions that work for your specific family – even as little as $25!
