You have big dreams for your children. Maybe they will grow to be an astronaut or a doctor—their potential has no limit. Have you considered how they will get there? Have you started to save for your children’s future education? According to the National Center for Education Statistics (NCES), the average annual cost for undergraduate tuition, fees, room and board were estimated to be $16,188 at public institutions, $41,970 at private non-profit institutions and $23,372 at private for-profit institutions—that’s a significant additional cost.
If you haven’t begun to save for your child’s college education, you are not alone. Just over half of families (57 percent) have started to save¹. Consider saving in a 529 plan. A 529 plan is a tax-advantaged savings plan designed to encourage saving for future college costs².
Benefits of 529 Plans:
- Flexibility over investment options
- Tax-free growth and withdrawals made permanent with passing of the Pension Protection Act (PPA) in 2006
- Some states allow tax deductions and exemptions on gains
- Donor has control over assets and investments
- Can be used in any state, any school
- Can be transferred to another beneficiary at any time
- No income limitations or age restrictions
Begin saving for your child’s future today and you’ll thank yourself for it when the Ivy League acceptance letters start rolling in.
How SDM can help?
The SDM Advisors Retirement Service was created to support senior management with design, implementation and maintenance of a retirement plan. We understand the importance of providing meaningful retirement benefits to your employees while maximizing your tax benefits. At SDM, we are your trusted financial advisors, taking the time to fully assess your potential investments and verifying that you are within the set boundaries at all times. As trusted advisors, the Retirement Service at SDM incorporates investment guidance and consultation services not only for senior management, but employee and/or participant consultative support as well.
Securities and Advisory Disclosure: Securities offered through ValMark Securities, Inc. Member FINRA, SIPC. Fee based planning offered through SDM Advisors, LLC. Third party money management offered through ValMark Advisors, Inc a SEC registered investment advisor. 130 Springside Drive, Suite 300, Akron, Ohio 44333-2431. 1-800- 765-5201. SDM Advisors, LLC is a separate entity from ValMark Securities Inc. and ValMark Advisers, Inc.