College Savings Month

College Savings Month is the time to think about your child’s future and decide how to provide them with the funds needed for a decent education. Unfortunately, for many families, the issue of paying for college is quite serious, but not everyone considers how to save up enough money effectively.

History

In 2003, the US Congress recognized that higher education is essential for every child’s future, and thus September was declared the month for saving for future studies. The initiative was originally conceived by the National Association of State Treasurers. They aimed to educate parents of future students on how to wisely save money to help their child become successful, get a good education, and secure a promising career. September underscores the importance of planning for the future.

How to save money for college

• Start saving early. The sooner you begin accumulating funds for education, the easier it will be to gather the required amount. Your foresight will pay off in 10 or 15 years.
• Make savings systematic. For example, set up automatic monthly payments so that the system will save a specified amount to the account without you having to remember each time.
• Every little helps. Even small amounts contribute towards gathering enough funds for a good college education.
• Encourage relatives and guests to contribute to your child’s savings account instead of giving traditional gifts.
• Consider a 529 Plan, one of the most popular and advantageous funding methods. This special investment account offers certain tax benefits when funds are used to pay for tuition.

How to join College Savings Month

Fortunately, today more parents are taking a responsible approach to their children’s education by starting to save money 10-15 years before their child enters college. Do not ignore this issue, as studies show a direct correlation between the quality of education and future earnings. Explore different state-specific college training programs. Participate in themed events, especially those dedicated to the 529 Plan. Save what you can, and your child will thank you in the future.

When is College Savings Month in 2024?

College Savings Month is observed on September 1 each year.

Observations