Paying for college can be stressful, but it’s not as hard as you think when you plan. Even if your child is only a couple of years old, it’s never too early to plan for their college education.
One of the best ways to save for college is with the Oregon College Savings Plan. This investment plan has tax benefits and helps you save for your child’s college education.
What is the Oregon College Savings Plan?
The Oregon College Savings Plan is a tax-deferred account that parents can open for their children to cover their college costs. All money contributed to the account grows tax-free, and if you use the funds for eligible educational expenses, the withdrawals are tax-free too.
Why Invest in the Oregon College Savings Plan?
Parents have many options to save for their child’s college education, including taxable accounts, savings accounts, and the 529 plan. The good news is you can invest in any state’s 529 plan, no matter where you live, including the Oregon College Savings Plan.
So why consider the Oregon College Savings Plan? Here are the top reasons.
1. Anyone can open a 529 plan for a child
Typically the parents open the account, but anyone can contribute. This helps save for your child’s college education even faster if you ask family and friends to contribute to your child’s account for gifts.
2. Money can be used for many educational expenses
The money in the 529 can be used for tuition, room and board, college supplies (computers, etc.), and books. You can use the money at any qualified college, including community colleges and trade schools.
3. The fees are low
The annual fee is just 0.25% of the balance, and there is a low 0% – 0.466% investment fee to keep the account going. These fees are lower than most investment accounts.
4. You may get tax benefits
If you live in Oregon, you may be eligible for a tax credit if you contribute to your Oregon College Savings Plan. The amount of the credit depends on your adjusted gross income and if you’re single or married filing jointly.
5. The platform is easy to use
Sumday Administration runs the Oregon College Savings Plan and offers a simple platform and interface. You can contribute, withdraw, and manage your investments easily. They also have a great customer service team who can help you at any time.
Final Thoughts
If you’re looking for ways to save for your child’s college education, check out the Oregon College Savings Plan. If you live in Oregon, you’ll get even more tax benefits from the plan, but even if you don’t, it’s an affordable and attractive plan for anyone.
Start saving for your child’s college education today and let others in your child’s life help too. Every dollar counts, helping you to make the most of every dollar you contribute to make paying for college more affordable.
