Is Your 529 Plan Working?
According to the College Board, the average cost of tuition and fees for the 2017 - 2018 school year was $34,740 at private colleges, $9,970 for state residents at public colleges and $25,620 for out-of-state residents attending public universities. The average annual increase in college tuition from 1980 to 2014 grew by nearly 260 percent.
While some families are putting money into tax-advantaged 529 plans for future education costs, according to a recent poll, just 29 percent of Americans even know about this education savings tool. And many families who are taking advantage of 529s, legally known as “qualified tuition plans,” don't understand how to gain the most benefit from them.
Joining Cincinnati Edition for a look at the various plans for saving and investing for college are Contributing Editor and Ask Kim columnist for Kiplinger's Personal Finance, Kimberly Lankford; Foster and Motley Shareholder and Certified Financial Planner Lucas Hail; and Chris DeSimio, a financial advisor with Wells Fargo Advisors in Cincinnati.
Listeners are reminded the information provided on the show is general in nature and may not apply to your personal investment situation.
Tune in to Cincinnati Edition August 15 at 1 p.m. to hear this segment.