Our First Command Advisors have an array of savings products designed for your education planning success and pursuing your financial goals.
Investing for education expenses consistently ranks as a high priority for many American families. As well it should. Despite the rising cost of college, statistics continue to show that the long-term value of a degree makes it a prudent investment. College graduates are more likely to be employed, make substantially higher incomes, and are nearly twice as likely to receive employer-provided healthcare and retirement benefits.1
There’s no shortcut when it comes to investing for college — but you can significantly increase your chances of achieving your objectives by beginning to plan, save and invest as early as possible.
Investing $200/mo. and assuming an 8% rate of return. 4
Assuming they invest the same amount of money and earn the same rate of return, parents who start investing for a college education when their children are born may accumulate roughly twice as much by the beginning of their child’s freshman year as parents who put off investing until their child’s sixth birthday.
Through thoughtful planning and disciplined investing, you can make the most of your financial contributions to an education plan. Your First Command Advisor can help you choose a tax-advantaged investment option that meets your needs.
Also known as Section 529 plans 5, these programs allow tax-deferred earnings and tax-free distributions for qualified college expenses.
ESAs allow for contributions of up to $2,000 per year until a child’s 18th birthday, as well as tax-deferred earnings and tax-free distributions for qualified elementary, high school, or post-secondary expenses.
While the post 9/11 GI Bill offers a very generous post-service education benefit, a special provision of the program allows career service members the opportunity to share their education benefits with immediate family members. The ability to transfer GI Bill benefits to family members can make this a powerful tool for college planning.
There’s no better time to begin planning for tomorrow’s education expenses than today. In addition to helping you set goals and determine which investment options best meet your needs, your First Command Financial Advisor can:
