The Florida Prepaid College Board begins its 2009-2010 annual enrollment period on Monday, October 19. The new Florida Prepaid College Plan prices, posted at www.myfloridaprepaid.com, are available from October 19 until the sign-up deadline of January 31, 2010.
One out of every 10 Florida children from newborns to high school students has a Florida Prepaid College Plan. The Florida Prepaid College Plan allows families to prepay tuition, the tuition differential fee, local fees and dormitory housing at today's plan prices.
To obtain current prices, families must enroll by January 31, 2010. Families can sign up online for the Florida Prepaid College Plan at www.myfloridaprepaid.com or call 1-800-552 GRAD (4723) to request an Enrollment Kit and paper application in English or Spanish and to speak with a customer representative.
Governor Crist signed legislation authorizing state universities and colleges to increase undergraduate tuition by up to 8% this fall over the 2008 rates.
In addition, the Board of Governors has been authorized to expand the number of universities permitted to charge the tuition differential fee from five public universities to all eleven public universities. State colleges formerly known as community colleges do not assess a tuition differential fee. Under the tuition differential fee legislation, the sum of tuition and the tuition differential fee may not be increased by more than 15% of the amount charged for the aggregate of these fees in the preceding fiscal year. Furthermore, the sum of undergraduate tuition and all fees assessed by universities, including the tuition differential fee, may not exceed the national average of undergraduate tuition and fees at public universities. It is important to note that 30% of the revenue generated from the tuition differential fee must be used to increase student financial assistance.
During deliberations throughout the legislative session, both Governor Crist and key legislative leaders maintained their commitment to exempt Prepaid College Plan customers who purchased a tuition plan before January 31, 2007 from paying the tuition differential fee assessed by state universities. Prepaid College Plan customers who purchased a University Tuition Plan and a Tuition Differential Fee Plan during the 2008 and 2009 enrollment periods can be assured that the Prepaid College Plan will cover the tuition and tuition differential fees at the time your child attends college.
Governor Crist declares September as College Savings Month
To Help Families, Florida Prepaid College Board Demystifies College Savings Myths
Governor Charlie Crist and the Florida Prepaid College Board reminded families during College Savings Month this past September that Florida offers easy and smart ways to save for their children's college education.
"The earlier you start saving for college, the better," Governor Crist said in his proclamation of September as College Savings Month in Florida. "A Florida Prepaid College Plan offers the simplicity and security of buying something today for a child's college education that will be worth more tomorrow."
Florida Prepaid College Plans includes two tax-free 529 plans - the Florida Prepaid College Plan and the Florida College Investment Plan*. Open enrollment to lock in this year's prices starts October 19, 2009.
The Florida Prepaid College Board encourages families to research their college savings options and wants to dispel a few common savings myths:
Myth: Having a tax-free 529 college savings plan will affect my child's eligibility to receive financial aid.
Fact: Financial aid eligibility is based primarily on family income, not on assets such as savings.
Myth: If our family leaves Florida, then the money in a Florida college savings plan can't be used at colleges in other states.
Fact: The full value of a Florida Prepaid College Plan, what would be paid to a Florida public university or college, can be transferred to most out-of-state or private colleges. A Florida College Investment Plan can be used to cover any qualified higher education costs at all eligible public or private universities, community colleges or technical schools anywhere in the country.
Myth: If my child receives a Florida Bright Futures Scholarship, it would be a waste of money to have purchased one of the Florida Prepaid College Plans.
Fact: Starting in the fall of 2009, Bright Futures is now a flat award that doesn't cover the full cost of tuition. Most students who have both a Prepaid College Plan and Bright Futures are able to more fully cover the full costs of college, because the two can be used together. In addition, all students are not academically eligible for Bright Futures, and they must maintain a certain GPA in college to keep the scholarship.
Myth: I lose control over the assets in my Florida Prepaid College Plans if my child does not attend college.
Fact: If the beneficiary of either the Prepaid College Plan or College Investment Plan decides not to attend college, the plan may be transferred to another member of the beneficiary's family. Families may also elect to receive a refund.
Myth: There's no need to purchase a 529 college savings plan, since my family could just save monthly for college education without one.
Fact: Under the Federal Internal Revenue code, 529 plans, like Florida's Prepaid College Plan and the College Investment Plan are tax-free as long as the money is spent on college-related costs. Additionally, the Florida Prepaid College Plan is financially guaranteed by the State of Florida§, so you don't have to worry about monitoring plans and the State guarantees plans will cover all promised tuition, housing or fees at the time a student attends college.
If you need additional information on the Florida Prepaid College Plans, which include the Florida Prepaid College Plan and the Florida College Investment Plan, please contact:
Susan James
Director of External Affairs
Florida Prepaid College Board
Phone: (850) 488-8514
Email: susan.james@myfloridaprepaid.com
See your child's future college costs & Prepaid Plan prices