If you’ve been putting off saving for your child’s college education, the New Year is a great time to resolve to get started. Saving for college with Edvest is a resolution that can really pay in the years ahead. Here are three great reasons to make saving for college with Edvest your New Year’s resolution:
1. The cost to attend college has only been increasing. Tuition for all universities, public and private, increased from 1978 to 2011 at an annual rate of 7.45%, as reported in a recent article in The Wall Street Journal. During the same timeframe, the cost to attend college has significantly outpaced increases in housing, health care costs, and family incomes. Statistics such as these can make saving for college seem daunting without a solid plan in place.
2. A college degree is more valuable than ever. According to the College Board’s annual report on trends in higher education, college graduates can expect to earn 65% more over their lifetime than those with only a high school diploma. In addition to increased lifetime earnings, the report states that the unemployment rate for individuals with at least a Bachelor’s degree is about half the rate for high school graduates. Higher education also leads to more opportunity for health insurance and pension benefits.
3. Edvest offers great value to Wisconsin families. Money invested in an Edvest college savings account grows tax-free, which means the earnings portion of any distributions used to pay for qualified higher education expenses will be free from federal and Wisconsin income tax. Moreover, State residents may reduce their Wisconsin taxable income when contributing to an account. Edvest was named one of the top 5 cheapest 529 plans in the nation by investment research firm, Morningstar based on Edvest’s overall expense ratios. With a variety of 22 investment portfolios, including two age-based options that automatically shift to a more conservative risk level as the beneficiary gets older, it’s also one of the easiest to do on your own.
Resolve to take action today by opening an Edvest account. The earlier you start, the greater your opportunity to build your college savings and take advantage of market performance. Once you get going, you can stay on track with college savings goals by contributing regularly through an automatic deposit plan. Build your account with the help of grandparents, relatives and friends by encouraging them to gift into the account for birthdays, holidays, and other special occasions.
Most importantly, don’t put it off any longer. Make 2014 your year to get started.
To learn more about saving for higher education with Edvest, Wisconsin’s official college savings plan, please visit us at www.Edvest.com.