May 29 is Oklahoma 529 Savings Day! The Oklahoma 529 College Savings Plan is a program that allows families to deposit funds into an interest earning savings account and use the funds to help pay for their child’s higher education expenses. It only takes a few minutes to set up an account online and users can choose from a variety of low-cost investment options. When adding to the account, funds can be deposited electronically or simply mailed in.
Oklahoma 529 Savings Plan funds can be used at most accredited colleges and universities in the United States and even certain colleges abroad. Funds will typically cover tuition, fees, books, supplies, certain room and board expenses and some technology equipment required for certain courses. If your student doesn’t need all the funds you’ve deposited in your account, you may transfer the remaining amount to an eligible family member for their college expenses.
Saving for the future isn’t always easy, but being financially ready when your child goes to college will be well worth the investment. If you’re contemplating opening an Oklahoma 529 College Savings Plan, here are a few things to consider:
1. Contributions made to the 529 Plan grow as tax-free earnings in the account and can be deducted from your Oklahoma taxable income.
2. Regular contributions, even if they start as small amounts, add up over time. Consider making small automatic contributions or direct deposits into the account every pay period.
3. Don’t wait to start contributing to your account. Whether your child is in pre-school or high school, start saving for your higher education expenses today.
4. A 529 savings account can be a community effort. Parents, grandparents, uncles, aunts, and family friends can contribute to your child’s 529 Plan. Encourage family members to donate to your 529 savings account in lieu of birthday or holiday gifts for your child.
For more information about the Oklahoma 529 College Savings Plan, visit OK4saving.org.