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By Devon Copeland, Senior Communications Associate, Virginia529

May 7, 2024

As we enter May, it’s not just any ordinary month – it’s a time dedicated to celebrating mothers and all they do for their families. Mother’s Day is May 12th, offering the perfect opportunity to reflect on mothers’ incredible role in our lives. And what better way to honor the spirit of motherhood than by empowering parents to secure their children’s educational future? This month, let’s harness the power of MOTHER –with six steps to boost your child’s education savings through a 529 account!

Maximize Contributions: Families who have delayed saving typically put it off because they either don’t believe they have the money to start, or they can’t decide on the best way to save. But every little bit counts when it comes to saving for your loved one’s education. Automating your contributions can make saving for future education costs easier, whether setting up withdrawals from your paycheck or simply linking your bank account. Having a steady stream of automatic contributions, even of just $20 or $50, can be powerful.

Optimize Investments: Investing can feel intimidating, but it doesn’t have to be. Take the time to explore your investment options within your 529 account and choose investments that align with your goals and risk tolerance. Consider seeking advice from a financial advisor to help you make informed decisions. Some plans, like Virginia529, offer tools to help you familiarize yourself with available investment options.

Tell Others: Building your child’s education fund can be a community effort. Consider spreading the word about your 529 account and inviting your family and friends to join the savings journey. By sharing your 529 plan with others, you not only open the door for additional contributions but also foster a sense of support and collaboration in securing your child’s future education.

Harness Tax Benefits: One of the biggest perks of a 529 account is its tax advantages. In addition to funds in 529 accounts growing free from state and federal taxes, some states offer additional tax benefits to contributing. For example, Virginia residents may deduct contributions to 529 accounts – up to $4,000 per account per year from their Virginia state individual income taxes.

Explore Options: Different states offer their own 529 plans, each with its own unique features and benefits. Take the time to research and compare plans from different states to find the one that best suits your needs. You may even consider opening multiple 529 accounts to take advantage of different benefits.

Review Regularly: Life is unpredictable, and your savings strategy should be flexible enough to adapt to whatever comes your way. Make it a habit to review your 529 account regularly to ensure it’s still aligned with your goals and circumstances. Adjust your contributions and investment allocations as needed to stay on track and keep your savings growing.

With these MOTHER-inspired tips in your back pocket, you’ll be well-equipped to confidently tackle the challenge of saving for your child’s education. A 529 account offers a powerful tool to help you achieve your savings goals while enjoying valuable tax benefits along the way. Start planning today to give your child the gift of a bright and promising future.

About the Author

Devon Copeland is the senior communications associate at Virginia529. Virginia529 makes education more accessible and affordable for families and individuals. With more than $102.8 billion in assets under management and 3.1 million accounts as of March 31, 2024. Virginia529 is the largest 529 plan in the nation. For more information on Virginia529’s college savings options, visit Virginia529.com or call 1-888-567-0540 to obtain program materials.

Marilyn Whitney, Executive Director, IDeal – Idaho College Savings Program

May 1, 2024

During the week of May 6, the National PTA celebrates Teacher Appreciation Week. This year, the theme is “Teachers are Shining Stars!” This is an opportunity to show your appreciation for the vital role teachers play in the lives of our students. Whether it is at the pre-school, K through 12, or post-secondary level, teachers deserve our recognition and thanks.

I was fortunate to have many amazing teachers all through my educational experience. From my first-grade teacher, Mrs. Herzinger, to my high school mentor, Mrs. Franden, and my college advisor, Dr. Clark, I was encouraged, supported, and motived, especially when I faced challenges and setbacks.

These teachers were also instrumental in helping me on the pathway to college and through both my undergraduate and graduate programs. Many people credit a special teacher with influencing their decision to continue education after high school and pursue a given career. I had two high school teachers who not only took the time to talk to me about what I would study in college, they also helped me secure scholarships and student loans. I only wish my parents could have taken advantage of the tax benefits of saving for my college education a 529 account, which would have also minimized my student loan debt.

My high school teachers also influenced my decision to study education. While I taught for only a few years, I remember how demanding the job can be – from preparing lessons, to parent-teacher conferences, and the never-ending task of grading papers. But I also remember the sense of satisfaction I felt when my students succeeded.

While I did not stay in the classroom, my career has always included a link to the education world, and I have continued to encourage parents and students to plan for their education goals, especially how to save to make sure they have the financial resources to achieve those goals. In my current role, I have the opportunity to educate families about saving with IDeal by sharing my experience of saving for my daughter’s college education through the program. And I am now saving with IDeal for my grandchildren’s education.

I absolutely believe that teaching is a noble career. In fact, my daughter has been a kindergarten teacher for the past five years. Her first year was interrupted by the COVID pandemic, and I will never forget how heartbroken she was not to be able to finish the year with her kids. Thankfully, we all got through that difficult period, and I have a new appreciation of how important teachers are in our lives.

The National PTA has a “Thank a Teacher Toolkit” with some great ideas for showing appreciation to a special teacher:

This year as we celebrate Teacher Appreciation Week, take an opportunity to do something special for a teacher! I know from experience how meaningful it is to get a thank you note or to see or hear from a student years after they have left your classroom and learn what they have accomplished. Thank you to all the teachers out there! You truly are “Shining Stars”!

About the author:

Marilyn Whitney is the Executive Director of IDeal – Idaho College Savings Program. As of March 31, 2024, IDeal has 51,307 accounts with total assets of $821,745,426. Our client services number is 1-866-433-2533 and our local Idaho number is 1-208-332-2935.

Last month, Washington, D.C. welcomed members of the National Association of State Treasurers (NAST) for their annual Legislative Conference. This gathering not only facilitated numerous networking opportunities but also featured engaging discussions with congressional leaders and subject matter experts. Attendees delved into current congressional priorities, honed their messaging and strategies, and explored the impactful role of advocacy led by Treasurers and their teams.

One of the highlights of this year’s conference was the presentation of the Chris Allen Memorial Award for Outstanding Advocacy in Public Finance to Rachel Biar, Assistant State Treasurer of Nebraska. This prestigious award is given to an individual from a state treasury, NAST member agency, or congressional staff who has demonstrated exceptional advocacy or advancement of NAST’s priorities over the past year.

Rachel, who recently served as Chair of the College Savings Plans Network (CSPN), has been instrumental in key advocacy efforts. These include advocating for CSPN during discussions on the 529-Roth IRA rollover provision, securing CSPN influence on child savings account proposals at the federal level, and supporting legislation that expands the use of 529 plans for workforce credentialing. Rachel’s dedication significantly contributed to NAST’s achievements in 2023.

Before the conference attendees dispersed to engage with Congress members individually, the conference concluded on a high note in a Capitol Hill hearing room, where Representatives Ron Estes (R-KS), Seth Magaziner (D-RI), and Rob Wittman (R-VA) shared insights into their legislative agendas. These discussions underscored broad support for ABLE savings plans and the expansion of 529 accounts for educational purposes. Representative Wittman, in particular, highlighted his personal connection to the issue through experiences with his son’s education, driving his advocacy for legislation that allows 529 funds to be used for credentialing programs.

In addition to focusing on college savings plans, the conference explored the evolving landscape of work and what the future may hold. Discussions also covered the implications of recent legislative developments like the Savers Match under Secure 2.0, particularly how these changes affect state-facilitated retirement programs given that Roth IRAs do not qualify for the new federal matching funds intended to support low-income workers in saving for retirement.

Overall, the NAST Legislative Conference was a resounding success, marked by insightful discussions, valuable learning opportunities, and robust advocacy efforts—all wrapped up in an engaging and enjoyable setting.

About the author:

Dillon Gibbons is the Director of Policy at the National Association of State Treasurers (NAST).

When it comes to saving for higher education, the thought can be daunting. But saving for multiple students at once – how can families make this work? If you opt to save for a loved one’s future education with a 529 college savings plan, you might find the flexibility and tax advantages, like a potential state tax deduction or credit, make saving for multiple students a bit more appealing than intimidating.

Here are a few things to consider if you are currently saving for multiple beneficiaries’ higher education or think you might do so in the future.

Start as early as possible: One sentiment I often hear from parents saving with a 529 plan is, “I wish we would have started sooner!” While that might seem easier said than done, keep in mind that time is your biggest asset when it comes to saving for major milestones like sending a child off to college with less of a need for student loans. When saving with a 529 plan for college and career training, the tax-deferred growth and compound earnings you might experience on your 529 investments can really add up over time. This means even modest contributions over the course of a child’s life can have a meaningful impact. When saving for multiple loved ones at the same time, modest, steady contributions to a 529 plan via payroll direct deposit or ACH can be more easily worked into a household spending plan.

Know that you don’t have to save it all: No really, you don’t! Saving with a 529 plan is just one tool in your toolbox you can use toward the cost of higher education. Saving what you can within your means is often the most approachable and lasting strategy for families. The best thing to do is start—you can always modify your contribution amount or frequency over time. For example, you might consider shifting some of what you were spending on daycare costs to your 529 plan as each child enters kindergarten. As your students near high school graduation, you’ll want to complete the Free Application for Federal Student Aid (FAFSA®) to access grants, scholarships, and work-study opportunities—all types of aid that don’t have to be repaid. Data from the College Board released in 2023 shows that full-time undergraduate students received an average of $10,680 in grant awards during the 2022-23 academic year. When coupled with aid, your savings can go even further!

Make saving a family affair: Not only do you not have to save it all, you also don’t have to do it alone. Once a 529 plan is open, anyone can contribute to it. When it comes time to celebrate birthdays, holidays, or other major milestones like graduation, you can encourage family and friends to make a gift contribution to each of your 529 accounts. Many plans make it easy to do using the Ugift® platform or via personalized gifting pages for each beneficiary. I often hear from grandparents and other family members who genuinely enjoy giving this type of gift. In fact, according to the College Savings Foundation, nearly half of the 1,000 parents who responded to their 2023 State of Higher Education Survey indicated that they prefer 529 gift contributions over traditional presents. And don’t forget to encourage your students to invest in their college savings account once they’re old enough to have a summer job!

Understand tax-free moves you can make: One of the many benefits of saving with a 529 plan is that the account owner can change the beneficiary on an account or transfer funds between accounts tax-free. So, if one of the beneficiaries you’re saving for doesn’t need all their savings – maybe they use less than anticipated to complete a technical degree or apprenticeship program – you can move some or all the funds they didn’t need to a qualified family member who could use an extra boost.

When you save for multiple beneficiaries’ college educations—no matter the final amount you accumulate—you are doing so much more than just saving. You are helping your loved ones develop a sense of self-belief, teaching them healthy financial habits, and preparing them for a future full of opportunity. Keep in mind that any dollar you save for a beneficiary today is one less dollar they will have to borrow in the future.

About the Author

Jessica Wetzel leads the Wisconsin 529 College Savings Program at the State of Wisconsin Department of Financial Institutions (DFI). In this role, she develops effective marketing and outreach strategies to increase awareness of the state’s two 529 Plans – Edvest 529 (direct-sold) and Tomorrow’s Scholar (advisor-sold) – by partnering with entities across the state on educating families on the importance of developing a higher education savings strategy. Before joining DFI, Jessica worked for over a decade in Wisconsin’s community and economic development sector. She successfully led and supported programs and organizations dedicated to helping low- to moderate-income individuals and families achieve homeownership, start small businesses, and join the financial mainstream.

By Marissa Rowe, Executive Director, Indiana Education Savings Authority

April 9, 2024

It’s National Financial Literacy Month. If you’re reading this post, then one of the following is likely true:

  1. We’re related,
  2. You work in the 529 industry, or
  3. You’re thinking about starting a 529 and you’re hoping something I say will push you over the edge into saving since it’s National Financial Literacy Month. 

A hearty “hello and good day” to the 1s and 2s. For the 3s, let’s talk about finding your Why.

The internet is full of how to articles and videos, all teeming with facts about 529s. The deeper and more personal question is: Why should you save? Finding your motivation can be the single most important part of the saving process. Here are a few reasons you might consider saving for future education in a 529 plan.

You save to avoid debt. The idea of the children or grandchildren having the same education debt you had is enough to drive you to save. Having $0 saved for education and having to pay back so much student loan debt can be a big motivator to save for a future generation.

You value education. You’ve decided that formal education beyond high school is important and you’re ready to put your money where your values lie. Whether it’s a registered apprenticeship, two-year or four-year education, opening and saving in a 529 account allows you to have money available to spend on something that’s important to you: education.

You desire more opportunities. Career training and education can open doors and expand opportunities. From the skills you learn to the people you meet, education after high school brings access to opportunities and experiences. Saving in a 529 makes funds available to pay for the education and training to take you where you want to go.

All of the above. There’s no wrong answer here. It’s about understanding yourself and what motivates you.

Now that you have your why, open the account, make your first contribution, and then set up automatic contributions that fit your budget. Getting started is easy once you understand your why.

About the Author

Marissa Rowe is executive director of the Indiana Education Savings Authority, which administers Indiana’s CollegeChoice 529 Direct, Advisor, and CD Savings Plan with more than $7 billion in assets under management. A proud first-generation college student, Marissa received her B.A. in Mass Communication from the University of North Carolina at Asheville and her M.A. in Philanthropic Studies from the Indiana University Lilly Family School of Philanthropy. She paid off her student loans in 2020 and has 529 plans for her nieces and granddaughter.

By: South Carolina State Treasurer Curtis Loftis, Administrator of Future Scholar College Savings Plan

April 3, 2024

Spring is most definitely in the air – and on cars, driveways, and all over my backyard furniture. When warmer spring temperatures move into my home state of South Carolina, they will surely bring that thick layer of yellow powder that coats almost every available surface. It’s a yearly occurrence, so folks around here have gotten used to adding “wash off the pine pollen” to their spring cleaning list.

As State Treasurer, however, I like to encourage people to add a slightly different item to their spring cleaning chores. It only takes a little time and is essential to your family’s well-being. You’ll find that cleaning up your finances is both a simple task and a smart move for almost anyone, no matter where you call home.

Analyze your spending to see where you can save.

When you pay attention to where your money goes, creating a family budget is simple to help you stay on track throughout the year. Do you eat out a little too often? Or maybe you’re just realizing you have a designer shoe habit? When creating your budget, you should first list where you need to spend your hard-earned dollars. Then, name the places you want to spend your extra funds.

Find the places you neither want to spend your money nor need to spend your money.

Getting rid of the financial drains on your resources will free up your money for what’s important to you and your family.

Be sure to look toward the future.

This spring, before you patch the holes and paint the fence, sit down in the comfort of your home and take a look at the condition of your finances. Once the cobwebs are dusted off and you’ve decluttered your accounts, you can look forward to those lazy days of summer that lie ahead, knowing you’re in good financial health.  

 About the author: Curtis Loftis is the State Treasurer of South Carolina. He also serves as the administrator of South Carolina’s Future Scholar 529 College Savings Plan. Visit treasurer.sc.gov or futurescholar.com for more information on ways to save through a 529 plan.

Apprenticeships have long been an important entry point for construction, plumbing and manufacturing trades. In addition to these sectors, there are now apprenticeships in fields such as healthcare, education, and information technology, with new fields and employers continuing to jump in. According to 2021 data from the U.S. Department of Labor, registered apprentices have increased 64% since 2012. Why this shift? Recognizing the nation’s heightened demand for skilled workers coupled with a desire to reduce their reliance on student loans, an increasing number of students are choosing career-connected pathways, including registered apprenticeships.1

While one of the main benefits of apprenticeship programs is that apprentices get hands-on training and education while earning a wage, there are still costs associated with enrollment and completion. Thanks to the passage of the 2019 SECURE Act (Setting Every Community Up for Retirement Enhancement), qualified costs associated with apprenticeship programs — such as fees, textbooks, supplies, and equipment like required trade tools — can be paid for with funds saved in a 529 college savings plan free from federal tax, so long as the apprenticeship is certified and registered with the U.S. Department of Labor’s National Apprenticeships Act. 

Some states include apprenticeship as a qualified educational expense for state tax purposes, while others may include recapture of tax deduction from state income tax, as well as penalties. Anyone considering paying for apprenticeship expenses with funds saved in a 529 college savings plan should talk to a qualified professional about how tax provisions affect their circumstances.

To acknowledge National Apprenticeship Week in November 2023, the Wisconsin College Savings Program team talked with apprenticeship leaders in the state to better understand how 529 college savings programs and apprenticeships can work together.

Nicci Pagan, Apprenticeship Coordinator at Gateway Technical College in Racine, Wisconsin, shared that while there are more apprenticeship programs than ever before, many students and families are still not aware of how these programs work, the costs associated with them, and the many types of jobs that can be secured after completion. Speaking from her own personal experience, Pagan shared that she wished she had been more aware of apprenticeship programs as a student and a single mother.

“An apprenticeship program would have been a fabulous solution for me to get my education while also earning a wage.” She made it her mission to educate as many people as possible in the state about the benefits of apprenticeship programs. “They are a great opportunity for individuals who don’t want to give up education to have a skill but need to be able to work as well,” said Pagan.

In Wisconsin, apprentices are generally required to complete coursework at a technical college, through a partnership between the apprenticeship program, employer, and the educational institution. “Apprenticeship programs are specifically designed to meet the needs of employers, so I think in the next five years, we’re going to continue to expand the trades in which we have apprenticeships in,” Pagan stated. “We’ll continue to expand and meet the needs of local businesses and employers as well as the apprentices themselves, as they’re learning and growing.”

The Wisconsin College Savings Program knows that higher education takes many forms, that’s why its Edvest 529 and Tomorrow’s Scholar plans can be used for whatever comes after high school, including four-year universities, community colleges, trade, technical, or vocational schools, certificate programs, and apprenticeships.

If you are interested in pursuing an apprenticeship program, you can browse apprenticeship opportunities nationwide, searching by sector or location at www.apprenticeship.gov. Consult with your 529 college savings plan administrator to see if funds saved in a 529 plan can be used for apprenticeship expenses tax-free in your home state. Lastly, check with your area’s employers and technical/vocational colleges. They may have knowledge of current or upcoming apprenticeship opportunities in your community.

About the Authors:

Cheryl Rapp
serves as a College Investment Program Finance Officer with the Wisconsin Department of Financial Institutions, which oversees Edvest, Wisconsin’s 529 Plan. Edvest has been helping families save for education since 1997. Rapp has over 23 years of experience working for the State as the College Affordability Specialist prior to joining the College Savings Program.  Her experience includes educating students, parents, teachers, and school counselors on the value of and how to complete the Free Application for Financial Student Aid. In her current role as College Investment Finance Officer for the Wisconsin 529 College Savings Program, Rapp manages outreach to Wisconsin residents. She works to increase awareness of the plans among Wisconsin residents while helping them begin saving for their children’s higher education. She is a graduate of the University of Wisconsin-Green Bay, from which she earned a bachelor’s degree in Humanistic Studies.

Chelsea Wunnicke
serves as a Wisconsin College Savings Program Finance Officer with the Wisconsin Department of Financial Institutions. With a background in delivering Financial Capabilities Outreach and Education with the University of Wisconsin Extension, Chelsea has expertise in helping families and communities envision financial inclusion and find strategies to improve their futures. Chelsea lives with her family in rural Richland County, Wisconsin, and has a special interest in helping more Wisconsin communities and youth benefit from early saving for higher education.

John Hupalo, Founder and CEO, Invite Education

Starting March 17, college basketball’s March Madness will happily divert our attention from the current FAFSA Fiasco, student loans and other education issues.

Teams will be selected, brackets formed, games played and at least one Cinderella will likely emerge as a bracket buster. In that spirit, I sat down with my friend Patricia Robert, Chief Operating Officer of Gift of College, and author of Route 529, to talk about 529 Plans. One topic: busting the three 529 myths that bother us the most:   

The following is an edited excerpt of the full interview which can be found here.

JH:         What is #1 on your list of 529 myths?

PR:        529s are just for a four-year traditional college and if your child doesn’t go that route, it can’t be used at all. There couldn’t be anything further from the truth. There are so many options for which these plans can be used. The misunderstanding about the very broad use is something that I find really frustrating and I’m out to bust that myth.

JH:         How about another myth?

PR:         You have to be the parent of the account beneficiary to open the account. Not true. Grandparents, aunts, uncles, godparents, even friends and neighbors want to get started saving for a child they love. You do not have to be the parent to open the account.

JH:         For me, the myth that I hear that I most want to bust: “Someone told me that if I save for college, my child is going to get less financial aid”. Wrong!  Please talk to us about that.

PR:        It is a big misunderstanding that 529 accounts will have a significant adverse impact on federal financial aid eligibility. Not true. Only 5.64% of the account value will be considered in the current federal financial aid formula.

So, with $10,000 saved, aid eligibility will be reduced by $564. It is wrong to assume that saving is somehow not a good strategy. It is much better than holding out hope for financial aid, which largely often is student loans that need to be repaid. For federal financial aid purposes, set this worry aside.

___

In addition to myth busting, we also discussed recent FAFSA® changes that are very beneficial to 529 savers:

Although we touched on the expanded uses of 529 beyond college when we discussed myth 1, we later dove a little deeper into the many of the expanded uses in more detail including:

And, of course, 529 proceeds can now be used for certain expenses related to approved apprenticeships.

In closing, I’ll leave you with Invite Education’s two favorite phrases:

About the author:

John Hupalo is the founder and CEO of Invite Education.

By Brittany Leona Parks, Writer, my529, Utah’s Education Savings Plan

March 5, 2024

Educating children early and often about financial concepts develops saving habits for their first major purchases—a car, higher education, and future housing expenses. One of the best ways for children of all ages to save is to become a mindful consumer.

When children are young, you can invite them to hold the grocery shopping list and categorize which items are wants versus needs. Discuss ads to help them discover what they should prioritize from among the bombardment of suggestions. Finally, have them rank their wish lists to identify comparable value among their items and avoid impulse purchases. 

Once children begin earning money, work with them to make a budget and consider what they hope to buy over the next few months and years. They may see that saving for one item may require postponing another. Note these competing purchases and help them organize their list into short-term and long-term goals. This approach demonstrates that saving for important, expensive items starts with small amounts over time, alongside their other short-term savings goals. 

To support achieving their long-term goals, encourage them to make small regular deposits in a 529 account. “A low- and moderate-income child with school savings of $1 to $499 … is about four times more likely to graduate from college.”* They may be more likely to accomplish their career goals if they have already financially invested in them, whether college, technical college, or Registered Apprenticeships.

As they approach high school graduation, they could also begin to invest in an emergency fund for unanticipated future needs. A car repair or job loss could cost them in credit card interest if they haven’t designated savings for life’s many unknowns.  

Equipping and nurturing the young people in your life with saving habits will allow them to strengthen their financial skills now to focus on achieving their short-term and long-term goals later.

my529 is Utah’s official and only 529 education savings plan and has been helping families save for college for over 25 years. Learn more at my529.org.

*Elliott, William. (2014). Assets and Education Initiative. 2013. Building Expectations, Delivering Results: Asset-Based Financial Aid and the Future of Higher Education. Biannual Report on the Assets and Education Field, July.

About the Author

Brittany Leona Parks is a writer for my529, Utah’s educational savings plan. When not researching financial best practices for children, she is trying these strategies out on her own two kids, hiking with her family, and participating in entirely too many book clubs. She previously spent 8 years marketing to the financial and legal sectors.

By Mary Morris, Virginia529 CEO and College Savings Plans Network, Chair

As we step into 2024, let’s take a moment to reflect on the progress made in education savings over the past year. In 2023, 529 plans across the nation seemed to shake off some of the post-pandemic doldrums of the prior year and saw significant growth, with more families than ever investing in their loved one’s future education.

According to recent data, the amount invested in 529 plans increased by 14% compared to the previous year, to $470 billion in total savings — closing in on half a trillion dollars in education savings! 

Particularly encouraging is that the number of 529 accounts opened nationwide reached an all-time high in 2023, surpassing 16.4 million. Account growth can better indicate the impact of 529 plans as it is based on the people committing to investing in the future, whereas the financial markets impact asset growth. 529 plans across the country are dedicated to encouraging people of all household income levels to open 529 accounts and finding ways to increase awareness of the programs and provide affordable options.

Another indicator of success in 529 plans is average account size growth — in 2023, that increased by 11%. The national average account size now approaches $29,000, covering more than two years of tuition at a typical public, in-state college or university — and going even further for a student opting to start at a community college. These figures highlight the positive impact of consistent saving and careful planning. They also show more work to do as the average student loan debt held by borrowers now tops $37,000.

So, for 2024, what are some simple ways to approach education savings that will really work?  Here are seven practical tips to help you succeed in education saving:

  1. Get started: Begin your savings journey today. Most 529 programs have low opening balance requirements — as little as $5 or $10 (and, in some cases, no contribution) may be required to open a 529 account.
  2. Use “found” money: Take advantage of unexpected windfalls, such as tax refunds, by putting them into your 529 account. This will boost your savings and maximize your long-term growth potential. Many 529 programs make this contribution easy by providing a direct deposit option when filing your taxes.
  3. Make saving easy: Set up automatic contributions from your bank account or paycheck to ensure consistent saving without having to think about it. Just $5 or $10 a month consistently going to your 529 account will make a real difference in the future. 
  4. Share your goals and encourage gifts: Let your student know about their 529 account and encourage contributions from family and friends for special occasions. Gifting platforms and options abound today, making it easy to jumpstart educational savings — with safe and secure ways to use social media and other messaging to encourage gift contributions. 
  5. Increase contributions gradually: Once you take Step 1 and get started, try to increase your contribution rate at least annually, target a percentage increase per year, or take action when you get that raise at work, child care costs decrease, or you pay off that student loan you carried because you didn’t have a 529 account. 
  6. Communicate with your 529 plan: Log into your account frequently, review and update your account details at least annually, and ensure that everything is accurate and aligned with your goals— the start of a new year is a great time to check in if you didn’t do it at year-end.  
  7. Review your investment strategy: Check your portfolio allocation at least annually to ensure it matches your savings goals and risk tolerance. 

By following these tips and staying committed to your education savings goals, you can set yourself up for success in 2024 and beyond. With careful planning and consistent effort, you can provide valuable opportunities for your loved ones’ — or your own — future education.

About the author: Mary Morris is the CEO of Virginia529 and  the chair of the College Savings Plans Network.