We all want what is best for our children when they grow up and we put a lot of effort into raising our children to that goal. We want them to be happy, succeed at their pursuits, and not to have to struggle financially. Most parents want their kids to go to college. Not only is it a fun and formative time for your child both socially and academically, according to Education Corner, “studies show that college graduates earn significantly more money throughout their lifetime than those with only high school education”. If you want to start saving for your child to go to college, one of the best things you can do is open a 529 account. I have partnered with Scholar Raise to show you how to open a 529 college savings plan quickly and easily. It only took me a few minutes and it was free! Scholar Raise is a platform that aims to minimize student debt by empowering people to save for college the best possible way and that is a beautiful thing.
A 529 College Savings Plan Beats A Savings Account
As a parent who has always known that I want my kids to go to college, I wanted to start saving for college early. I struggled with just how to do that. First, I thought of a savings account for them. Then I found out that a 529 College Savings Plan beats a savings account hands down. A savings account can effect FAFSA eligibility and you don’t want to hurt their ability to qualify for Federal student aid. The 529 College Savings Plan is also superior because it offers tax-free earnings.
My problem them became how to open a 529 College Savings Plan. Did I need a financial planner? Did I have to be rich to start a 529? Did I have to be able to come up with a minimum amount to open the account? Did I need to commit to a monthly amount? I found the whole thing a bit overwhelming and finally I decided to go to my bank who had a partnership with a financial company so I made an appointment to see the financial advisor. He was very friendly and let me know that he would be happy to open a 529 College Savings Plan for me if I had a certain minimum amount to invest. Since I didn’t have the minimum amount he asked for, he suggested that I go online and check out my state’s 529 options.
I then did some research trying to find out my options and what was the best 529 College Savings Plan and what rules might apply to the different options. Long story short, it was quite a confusing process. But here is the really good news, Scholar Raise makes it so easy to open a 529 College Savings Plan!
Another thing I learned through Scholar Raise, is that “With an average 6% annual return, a 529 plan has much better performance than savings accounts which often earn less than 0.08% per year.” They even have an amazing calculator that shows you just what a difference a 529 can make compared to a savings account. I wish I had known sooner!
How To Open A 529 College Savings Plan In 3 Simple Steps
- Go to scholarraise.com and click on “Start Saving”
- Provide your basic info
- Create a plan by providing your child’s basic info
That is it. Free and easy. Literally in under 5 minutes, you can set up a 529 for your child. What a weight off your mind that will be! No degree in finances needed to figure it out how to open a 529 college savings! No minimums! So empowering!
Scholar Raise does all the heavy lifting and sets up everything for you. They have scoured the country for the best 529 plan based on a variety of factors (such as a low management fee, great returns, and tax advantages). They provide you access to a great, easy to use dashboard where you can see your savings and earnings and share that information with your children as well to get them excited to save and earn!
Makes College Savings Contributions Easy- Friends And Family Can Help!
The Scholar Raise dashboard makes it easy to contribute. You can set up recurring contributions. You can pause them if you need to, or deposit extra when you have it. It also makes it easy for friends and family to help save for college! You can send an invitation to your child’s profile and their private info is kept private but it allows for direct contributions. This is perfect for when you set up the account and you are excited to share the achievement. It is perfect for birthdays and holidays too! They make it easy to send invites via Facebook, Twitter, or email. <- Click that link to see how they look!
It is really great how Scholar Raise makes savings collaborative by providing you with a scholar profile and unique URL to share with friends and family. Friends and family can stop struggling with what your child will enjoy. They can use Venmo card, PayPal card, credit card, or bank account and their gift goes directly and immediately into your child’s 529 plan. Then you get a notice of the deposit. And you can check your dashboard to see all contributions listed in one place which makes it easy to stay organized and see what is happening.
I hope you found it useful to learn just how easy it is to open a 529 college savings plan. What I love most about Scholar Raise is that it makes college savings attainable for anyone and everyone! It is free and it just takes minutes. It couldn’t get any better and there is no pressure and no minimums required. Visit scholarraise.com and open a 529 account today. You will be so glad you did!