Make the Most of Your Savings Plan.
Add more into your savings - effortlessly.
Every family has different needs when it comes to a college savings plan. Funding is different for every financial situation, so it is important to focus on the little things to keep your plan on track.
Set a goal - Look at your goals in terms of how much money you would like to have saved for college and how many years you have to save that money. College Savings Bank has college cost calculators that may be helpful in determining this goal.
Establish a budget - A realistic budget that you can keep up with month to month. First determine how much money you will need to save each month in order to reach your goal. Then decide if that amount of money is feasible or if a lower amount, even slightly, would be more manageable. Keep in mind even the littlest of savings adds up and can go a long way.
Take advantages as they come - Take into consideration income tax advantages and use these advantages to save money. If your state offers a tax deduction for contributions to a 529 plan, you might benefit by opening an account.
Also, let tax returns add a contribution to a savings plan. Instead of dumping your tax return on something materialistic, use it for your college savings account and you will see the rewards for years to come.
Accept gifts (now that’s easy) - Allow your savings plan to grow with help from family members, aunts and uncles, grandparents, and anyone close to you that wants to help fund your child’s education. The person contributing needs only to make the check out in the name of the 529 plan and give it to the parent to ensure it is contributed on behalf of the child. It makes a great suggestion for a birthday gift or any other kind of gift.
Fund your account with the little things - It’s possible to find money for college in unexpected places. For example, a two parent household where both parents go to their local coffee shop each day and buy 2 coffees, each at around $3. That would make a total of $12 per day and $60 per week. Over one year, this household could deposit $3,120 into a college fund if the daily coffees were left behind. So, maybe you can’t imagine giving up your coffee in the morning, but just remember it’s the little things that can make a big difference.
Keep track - Reviewing your financial situation periodically and making adjustments whenever necessary will help you stay on track with smart saving.
It never hurts to ask - Finally, to help you make the most of your college savings plan, don’t hesitate to turn to experts and professionals in the field. If you work with a financial adviser, you may want to make sure they have experience with college savings plans and/or 529 plans. College Savings Bank Advisers are available Monday through Friday to assist existing customers and those interested in opening a savings account. Many savings plans are complex and you don’t want to miss any important details. It is nice to know there is someone available to answer any questions you may have. Remember, our College Savings Bank Advisers work exclusively within the college saving industry.