Families purchased nearly 51,000 plans during annual Open Enrollment Period, including more than 42,000 Prepaid College Plans
Tallahassee, FL – The Florida Prepaid College Board today urged families to take advantage of reduced prices for some of the most popular Florida Prepaid Plans, by purchasing a plan before Open Enrollment ends this month. The annual Open Enrollment period began Oct. 15, 2014 and runs through Feb. 28, 2015. This is the only time each year that families can purchase Prepaid Plans.
Prices of the most popular Prepaid Plans are being offered during this Open Enrollment period at almost half the cost of last year’s prices due to a new state law that helps control future fee increases at state universities in Florida. For example, a 4-Year University Plan last year cost $350 a month for a newborn and this year costs $173 a month. The 1-Year Florida University Plan, newly introduced this Open Enrollment period, starts as low as $43 per month and covers 30 university credit hours. The new plan is meant to allow families to save for college gradually in a way that is more affordable, and let extended family members share in the cost of a child’s college education by purchasing one or more of the four years needed to earn a degree.
“We want as many families as possible to take advantage of these affordable plan prices,” said Board Chairman Duane Ottenstroer. “We have not seen such low prices in many years.”
Since Open Enrollment began on Oct. 15, 2014, a total of 34,746 plans have been sold. This amount is more than double the 15,803 plans sold during all of Open Enrollment last year.
As of Feb. 11, 2015:
- Total Prepaid Plan sales are already 220% of last year’s total sales during the entire 2013-2014 Open Enrollment Period. 2013-2014 = 15,803; 2014-2015 through Feb. 11 = 34,746
- Nearly 3,200 Prepaid Plans were purchased on the first day of Open Enrollment alone.
- Total Prepaid Plan sales are up 168% over the average total sales in each of the last three years.
Average 2011-2012 through 2013-2014 = 20,663; 2014-2015 = 34,746
The first payments on plans purchased this Open Enrollment period aren’t due until April 2015.
About the Florida Prepaid College Board
The Florida Prepaid College Board manages the Stanley G. Tate Florida Prepaid College Program and the Florida 529 Savings Plan. Both are tax-favored 529 college savings plans authorized by Section 529 of the Internal Revenue Code. In 1987 the Florida Prepaid College Program was created by the Florida Legislature and the commitment and dedication of Mr. Stanley G. Tate to provide Florida families with an affordable means to save for their children’s future college education. The first Florida Prepaid College Plans were sold in 1988, and were augmented with the addition of the Florida 529 Savings Plan in 2002. Florida Prepaid is the largest, longest running and most successful prepaid plan in the nation with more than 1.6 million Florida Prepaid College Plans purchased and more than $6.7 billion invested in Prepaid Plans by Florida families. The 529 Savings Plan has more than 35,000 active accounts with a market value of more than $375 million.