Disclosure: This is a sponsored post.
Do you have college loans that you’re paying off? I do and it sucks! My parents weren’t educated on the importance of saving up for college for their children. So now that I have kids I’m making a priority to put money aside for my kiddos, so they won’t be burdened with huge loans like I am. As a mom of four, my kids will be attending college back to back, so I definitely had to plan early. Earlier this week Mom Trends hosted an event at Art Farm in NYC where a group of mom bloggers learned in-depth on what a NY529 Direct College Savings Plan is.
What is a 529 college savings plan?
It’s a type of investment account you can use for higher-education savings.
529 plans are usually sponsored by states.
What exactly is a 529 Savings Plan? It’s pretty simple. It’s a type of investment account you can use for higher education savings. How can you use the money in a 529 plan? You can use it to pay for anything that’s considered a qualified higher education expense because we know college isn’t just tuition. It can cover books, supplies, computer-related services, and certain room and board fees. Even post-secondary trade, vocation schools, 2-4 year colleges, and postgraduate programs.
Quick Facts:
- Beneficiaries can attend college in any state, not just the state sponsoring the
529 plan. - There are no income restrictions to open a 529 account.
- An “eligible education institution” is a school that has been assigned a federal
school code by the Department of Education. - The account owner—not the beneficiary—is always in control of the account,
even when the beneficiary becomes an adult. - There is no age limit for beneficiaries of a 529 on a 529 plan.
- A beneficiary can have more than one account. For example, parents can
open an account for a child and grandparents can open an account for the
same child. - Advantages of a 529: tax deductions, tax-deferred growth, and tax-free
withdrawals. - Recurring contributions are a convenient way for account owners to set up
regular contributions. - 529 funds can be transferred to a close relative of the beneficiary if he or she
doesn’t need the money.
I have two sophmores in high school and because of grandma who gifted both of them a 529 plan we were able to start saving early. We are now visiting colleges and feel financially prepared for these next steps in our lives. Are you prepping the future of your kids for college? 
Legal Disclaimers:
Investments in the plan are subject to risk. Before you invest, consider whether your or the beneficiary’s home state offers any state tax or other benefits that are only available for investments in that state's 529 plan. The Comptroller of the State of New York and the New York State Higher Education Services Corporation are the Program Administrators and are responsible for implementing and administering the Direct Plan. Ascensus Broker Dealer Services, Inc., serves as Program Manager and, in connection with its affiliates, provides recordkeeping and administrative support services and is responsible for day-to-day operations of the Direct Plan. The Vanguard Group, Inc., serves as the Investment Manager. Vanguard Marketing Corporation markets, distributes, and underwrites the Direct Plan.
No guarantee: None of the State of New York, its agencies, the Federal Deposit Insurance Corporation (FDIC), The Vanguard Group, Inc., Ascensus Broker Dealer Services, Inc., nor any of their applicable affiliates insures accounts or guarantees the principal deposited therein or any investment returns on any account or investment portfolio. New York’s 529 College Savings Program currently includes two separate 529 plans. The Direct Plan is sold directly by the Program. You may also participate in the Advisor Plan, which is sold exclusively through financial advisors and has different investment options and higher fees and expenses as well as financial advisor compensation.
For more information about New York’s 529 College Savings Program Direct Plan, download a Disclosure Booklet and Tuition Savings Agreement or request one by calling 877-NYSAVES (877-697-2837). This document includes investment objectives, risks, charges, expenses, and other information. You should read and consider them carefully before investing.
