No matter how old your children or your grandchildren are, college is probably something you’ve thought about. Will they want to go to college? Will they attend your alma mater? Will they move far away or stay closer to home to continue their education? And how will you pay for college? After all, the cost of college continues to rise every year.
The good news is that you’re trying to find answers to these questions now,
The cost of college is on the rise, and no generation knows that better than millennials. Many young parents today are still paying off their own student loans; while trying to save for their children’s education. The good news is, starting a college fund while your child is young gives you a good amount of time to create a solid nest egg for their future. The decision now is where to put your money?
Most parents understand how important it is to save for college. While a 529 plan is one of the most efficient and effective ways for families to save for school, many parents don’t know how to choose the right 529 plan. How is a parent supposed to choose the right 529 plan based on its performance?
Know How 529 Investments Work
A 529 isn’t like a regular savings account.
For parents with very small children, thinking about dropping them off at college for their freshman year may seem very far away. Thinking about saving money for college may seem even farther in the distance. Yet, young parents today know first-hand how expensive college has become — because they’re probably still paying off student loans from their own educations!
While you may not think you have the money to start a college savings plan right now,
Opening a 529 education fund is a smart financial move for families, especially with the rising cost of college. Besides college expenses, the money also can be used to pay for K–12 tuition at public and private schools in many states, including North Carolina.
Many parents choose 529 accounts because the earnings grow tax-free if it’s used for qualified education expenses. Opening an account when children are young can accumulate thousands of dollars in interest and money saved on taxes.
The NC 529 Plan’s Diapers to Dorms Dash is a promotion during which eligible parents of crawling/non-walking children aged 6-12 months are selected to participate in a baby race that will be held during college athletic events across North Carolina.
In return for the opportunity to participate in the NC 529 Plan’s Diapers to Dorms Dash described herein (the “Promotion”), the parties require your agreement to comply with and be bound by the terms and conditions set forth below (the “Official Rules”):
• NO PURCHASE NECESSARY TO ENTER OR WIN.