LOSING SLEEP? THERE’S A BETTER WAY.

Scholoars Choice College Savings Program by CollegeInvest

College costs now and later2

College costs now and later

For illustrative purposes only.

 

Does saving the full amount for college feel overwhelming? You’ll stress less when you begin to understand your saving and funding options, which begin, simply enough, with 1-2-3: money that is Saved, Awarded and Borrowed.

 

College Funding Pyramid

College Savings Pyramid

 

Your goals are within your reach

Since the college years arrive in the blink of an eye, it’s never too early to begin saving. Do you keep putting it off? The good news is that it’s not too late and it’s not that difficult to build a sound savings plan. Getting started is easier than you think. Begin by taking these five simple steps:

  1. Determine the cost
  2. Identify your savings profile
  3. Set your savings goal
  4. Choose a savings vehicle
  5. Establish a savings schedule

Our college saving tools can help take the guesswork out of estimating costs.

 

Your goals are within your reach.

Since the college years arrive in the blink of an eye, it’s never too early to begin saving. Do you keep putting it off? The good news is that it’s not too late and it’s not that difficult to build a sound savings plan. Getting started is easier than you think. Begin by taking these five simple steps:

  • determine the cost
  • identify your savings profile
  • set your savings goal
  • choose a savings vehicle
  • establish a savings schedule


Our college-saving tools can help take the guess work out of estimating costs.

Good news. There’s more than one way to save.

Investment vehicles used to save for college today include:

  • Coverdell education savings account
  • UTMA/UGMA (Uniform Transfer/Gift to Minors Act) accounts
  • Trusts
  • Savings bonds
  • Traditional taxable accounts
  • 529 college savings plans
     

Click here to compare the features and benefits of these different savings vehicles.

529 college savings plans: solid strategy. Money that is saved is your foundation. And though there are varied college saving vehicles, 529s – for many Americans – are the preferred choice because they offer three main advantages over traditional savings plans: 

  • tax advantages, including tax-free earnings for qualified college expenses, gifting and estate planning benefits
  • account owner control
  • flexibility
     

Good news! There’s more than one way to save.

Investment vehicles used to save for college today include:

  • Coverdell education savings account
  • UTMA/UGMA (Uniform Transfer/Gift to Minors Act) accounts
  • Trusts
  • Savings bonds
  • Traditional taxable accounts
  • 529 college savings plans

Read our brochure to compare the features and benefits of these different savings vehicles.


529 college savings plans: solid strategy. Money that is saved is your foundation. And though there are varied college saving vehicles, for many Americans 529s are the preferred choice, because they offer three main advantages over traditional savings plans:

  • Tax advantages, including tax-free earnings for qualified college expenses, gifting and estate planning benefits
  • Account owner control
  • Flexibility

 

Can’t save the entire cost? Take your worry down a notch.

Additional aid is available, and it comes primarily in four forms:

  • Scholarships – Money that is awarded and not expected to be paid back.
  • Grants – Unlike scholarships, which may be contingent on requirements, grants are usually "No strings attached."
  • Federal work-study programs – Participating schools provide part-time jobs both on and off campus for students who demonstrate financial need.
  • Student Loans
    • Federal – Allows students and their parents to borrow money at low interest rates and with flexible repayment terms through programs supported by the federal government.
    • Private – Issued by a lender such as a bank or credit union.

 

Grasping the fundamentals of funding is the springboard for your strategy. financial advisor can help synchronize your college funding options and create a plan tailored to your personal situation.

Once you set goals, calculate costs and choose a saving vehicle, your savings plan is set into motion; every day takes you closer to your goal, and you can get a good night’s sleep.

Work with a financial advisor for sound guidance

A trusted financial advisor has the investment expertise and market perspective to help you achieve your college funding goals and provide a clear understanding of 529 plan features.
 


1 Based on the average annual cost of attendance of public (in-state) school, adjusted for a hypothetical 5.0% rate of education inflation over 18 years.

2 Based on the average annual cost of attendance, adjusted for a hypothetical rate of education inflation over four years (labeled as "Now") and 18 years (labeled as "In 18 Years"), with an expected four years of attendance for each scenario. The hypothetical also assumes a 1% contribution from savings to help cover the expected costs. Source © 2017 The College Board, "Trends in College Pricing 2016".


Related Literature

Brochure

How to Pay for College Brochure

This brochure outlines the various methods to fund college such as scholarships, grants, federal work-study programs, student loans, and savings plans such as 529s. Includes metrics and application information.

  

Scholars Choice Product Overview Brochure

A brochure outlining the benefits of investing early in Scholars Choice 529 College Savings Program. Includes Investment Choices based on fund portfolios.

  

Education Savings Vehicle Comparison Chart

A brochure that compares different education savings vehicles .

IMPORTANT INFORMATION: An investor should consider the Program's investment objectives, risks, charges and expenses before investing. The Program Disclosure Statement, which contains more information, should be read carefully before investing. If an investor and/or an investor's beneficiary are not Colorado taxpayers, they should consider before investing whether their home states offer 529 plans that provide state tax and other benefits only available to state taxpayers investing in such plans.

Blended Benchmark performance is shown for illustrative purposes only. The benchmark for each Investment Option is a hypothetical blend of unmanaged indices for the underlying asset classes corresponding to the Investment Option's target allocations within each asset class.  Investors cannot invest directly in an index, and unmanaged index returns do not reflect any fees, expenses or sales charges.  An Investment Option's benchmark may change over time to reflect changes in an asset class benchmark, the Investment Option's underlying funds and/or the Investment Option's target allocations to such funds. When an Investment Option's benchmark changes, the benchmark’s new composition is utilized to calculate benchmark performance for periods from and after such change.  Benchmark performance for periods prior to the change is not recalculated or restated based on the benchmark’s new composition.

Investments in the Scholars Choice College Savings Program are not insured by the FDIC or any other government agency and are not deposits or other obligations of any depository institution. Investments are not guaranteed by the State of Colorado, CollegeInvest, QS Investors, LLC, Legg Mason Investor Services, LLC, or Legg Mason, Inc. or its affiliates and are subject to investment risks, including loss of principal amount invested.

Legg Mason, Inc., its affiliates and its employees are not in the business of providing tax or legal advice to taxpayers. These materials and any tax-related statements are not intended or written to be used, and cannot be used or relied upon by any such taxpayer for the purpose of avoiding tax penalties or complying with any applicable tax laws or regulations. Tax-related statements, if any, may have been written in connection with the "promotion or marketing" of the transaction(s) or matter(s) addressed by these materials to the extent allowed by applicable law. Any such taxpayer should seek advice based on the taxpayer's particular circumstances from an independent tax advisor.

Scholars Choice® is a registered service mark of CollegeInvest. CollegeInvest and the CollegeInvest logo are registered trademarks. Administered and issued by CollegeInvest, State of Colorado. QS Investors, LLC is the Investment Manager and Legg Mason Investor Services, LLC is the primary distributor of interests in the Program; together they serve as Manager of the Program. QS Investors, LLC, ClearBridge Investments, LLC, Brandywine Global Investment Management, LLC, Royce & Associates, LP, Western Asset Management Company, and Legg Mason Investor Services, LLC are Legg Mason, Inc. affiliates. Thornburg Investment Management, Inc. and Templeton Global Advisors Limited are not affiliated with Legg Mason Inc. and its affiliates. 

Audited financial statements for the Scholars Choice® College Savings Program, including balance sheets, income statements, cash flow statements, and the Management's Discussion and Analysis (MDA), may be viewed at https://www.collegeinvest.org/about-us/financial-statements