STRATEGIES FOR SAVING FOR COLLEGE

• 529 college savings plans

  • One of the most popular and effective ways to save for college is through a 529 savings account

  • Tax benefits: Contributions may grow tax-free, and withdrawals are also tax-free when used for qualified education expenses

  • You can use 529 funds at any accredited college or university in the U.S.

  • State plans:

    • IDeal Idaho College Savings Program

    • WA529 Washington Education Savings Plan

• Other college savings plans and strategies

  • Coverdell Education Savings Account (ESA)

  • Custodial Accounts (UGMA/UTMA)

  • Regular Savings or Investment Accounts

  • Roth IRA (can allow withdrawals for qualified education expenses)

• What if my family hasn’t saved for college and/or won’t be able to?

  • Don’t panic - many families cover the cost of college through financial aid, scholarships, grants, and work opportunities. Saving is just one piece of the puzzle.

  • Affordable college options can include:

    • In-state public colleges (and out-of-state colleges participating in partnerships like the Western Undergraduate Exchange)

    • Community colleges

    • Private colleges that meet 100% of financial need

    • Colleges that offer strong merit aid

• Resources

  • Determining your Financial Fits

  • 6 Ways You Can Save for College

  • How to Pay for College: Book and online resources by Ann Garcia