College Resources & News from CFNC

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?

Beyond deciding how much you can afford to save each month, you also need to figure out where to save your money.

Plenty of people will tell you about the importance of college. They’ll tell you about how college graduates earn more during their lifetimes. They’ll tell you about how the value of college extends far beyond the academic experience. What they may not tell you is how you’re supposed to pay for it.

Picture this. Your student is getting ready to go off to college for the first time. For years, you have contributed to their education savings plan, helping to make their dream of higher education a reality. As you prepare to send in the first payment from your 529 account, you want to ensure that your student is attending an eligible institution so it counts as a qualified withdrawal.

Preparing to send a child off to college requires a good amount of financial preparation. Sure, you’ve accounted for the basics that everyone knows all too well. You’ve considered tuition, room and board, and textbooks. But what about the extra costs associated with a college education? Are you prepared for those?

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.

Most parents know how important it is to save for college. It’s essential that parents start saving early and save often. Not thinking about the cost of college isn’t going to make it go away. What parents may not realize is that there’s a terrific way to save for school right in their own backyard. Of course, we’re talking about the 529 plan.

Payday should be more than a reminder on your calendar — it should be a national holiday. After all, can’t we celebrate the day that our hard work turns into cold hard cash in our bank accounts? Okay, that may be a little over the top, but you get the idea.

As a parent, it’s all you can do to cut corners wherever possible. You do more with less while you take pride in your child’s enthusiasm for learning. But what if there were a better way? Every year, you have to buy markers, crayons, composition notebooks, and more. It feels as though the list of school supplies grows longer with each grade.

Going back to school can be very stressful – new activities, new classes, and new routines. Save yourself some first-week headaches and make a plan. If you schedule back-to-school doctor’s appointments early, you won’t be worried about missing the deadline for the annual checkup and/or pre-sport physicals.