With rising tuition costs across the nation, it’s no surprise that families want to get a head start on saving for when their children go off to college.
And though the price of a degree is exorbitant, there are a number of things you can do to help offset those costs.
For those living in Michigan, one of the best options to save for future college is by enrolling in the state’s 529 savings plan. Mike Windle, CEO of custom wealth solutions, says if you haven’t already started a 529 savings plan, you should -- it’s never too late.
A unique feature of the program is that others can contribute to your savings: The program allows you to send links to your family and friends, who can add money to the account, perhaps in lieu of a birthday or holiday gift.
Another savings option is to purchase tuition credits now that can be used in the future through the Michigan Education Trust (MET). According to Windle, credit hours can be purchased at today’s price and applied at a school in the future, despite an inevitable rise in tuition between now and then -- locking in today’s tuition rates.
MET is a program run by the state, and can be applied at any accredited college or university, and is guaranteed to match the tuition in state.
It’s important not to forget about the free money: Grants and scholarships are available each year, and Windle says many actually go unused every year. Families should be on the look out for opportunities to apply for free money that can go toward higher education costs.
Watch the full report in the video above.