10.27.2012

Preparing for College Now with the AZ529

This topic is something I know too much about and want to prepare for my sons.  My husband and I put ourselves through college partially on scholarships/grants and the remainder on student loans.  A combined 14.5 years of college, so you can imagine how much debt we accrued.  The average 4-year college graduate leaves with an average of $25,000 in debt.  College savings is something we have definitely discussed when planning for our sons' future.  We would like to avoid them being apart of that statistic.  

#az529
Our future scholar decorating his own piggy bank to start saving for college!



The Arizona College Savings Program #AZ529  is a simple solution.  The 529 plan was created in 1996 by the IRS.  It was slated to be operated by states and/or educational institutions to help families set aside funds for future education costs.  


Benefits:
-Tax exempt from federal and AZ income tax on qualified distributions.
-Special Arizona tax incentives including tax deductions ($750 individual and $1500 joint).
-Variety of college savings offered through multiple providers including CD's, mutual funds, and age-based portfolios.
-Assets not considered when determining financial need for aid.
-Savings can be used at most major accredited US universities and eligible foreign institutions.
-Option to change plan beneficiaries.
-Anyone can contribute.
-Payroll deductions and automatic transfers available for no-fuss savings.
-Start saving with as little as $15 a month.


#AZ529 is on Facebook


Disclosure:  I participate in #AZ529 College Savings Month Blog Tour.  I was compensated and provided with a kit to share information about the savings plan.

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