As this school year winds down, some of us parents are only focused on the fact that summer is upon us and keeping those kids entertained while school’s out. Other parents have seen their child grow up (way too quickly) and recognize that the summer will go by way too fast and their babies will be off to college before they know it. I am hoping that despite the craziness of the transition into summer, there are still parents who are doing both…preparing for summer while still preparing for their child’s future education.
If you missed Florida Prepaid’s Open Enrollment this year, I have good news to share with you! There is a Florida 529 Savings Plan that you can enroll in today that will allow you to prepare for their college education at a pace (and an amount) that works for you. If you aren’t familiar with a Florida 529 Savings Plan, it’s an investment-based plan that offers families a flexible way to save as much or as little as they’d like for college on their own schedule.
Here are 7 things you should know about a 529 Savings Plan
- Florida 529 Savings Plans and Prepaid Plans work well together! While your Prepaid Plan cover tuition and most fees, your 529 Savings Plan can cover things like housing, books and more!
- The Florida 529 Savings Plan is an investment plan, so you can choose how much and how often you contribute. There is no minimum amount to get started and you can change your contribution amount as often as you like.
- Florida 529 Savings Plan allows your investment earnings to grow tax-free. Your contributions will earn interest and will not be taxed when the money is taken out to pay for college.
- The Portfolio Options provide a predesigned, diversified allocation structure that is professionally managed for you. However, should you choose to, you can set different allocations based on your goals and comfortable risk level by combining the Portfolio and Fund Options, or choosing only a Fund Option.
- As with their Prepaid Plans, your contributions and earnings are eligible for use at any eligible public or private college.
- If the child/adult graduates early or doesn’t use all the funds, the remaining funds in the Florida 529 Savings Plan can be used for graduate courses, transferred to an eligible family member of the child, or refunded to the Account Owner.
- The Florida Savings Plan makes it easy for other people can contribute. Gift certificates and a gifting portal are available.
You can start your account in about 10 minutes by visiting their website. Simply select from a variety of investment options to fit your savings goals and then contribute what you can, as often as you’d like.
Unfortunately, this plan was invented too late for my child. Good information. Thanks for posting!
Good information for family members with young children.