3 Reasons to Open a Florida 529 Savings Plan This Fall
Summer is winding down, and your kids are back in the classroom. (It’s OK to be relieved—no judgment here!) In celebration of this new chapter, why not get ahead with your college savings strategy?
A Florida 529 Savings Plan lets you grow K-12 and college savings tax-free and has some of the lowest fees in the nation, putting your child on the path to a brighter, debt-free future. If your child can dream it, you can save for it.
To help you get started, the Florida Prepaid College Board is offering families a special incentive. Open a Florida 529 Savings Plan between September 5 and October 29, 2023, and Florida Prepaid will add a free $50 to your new account.
The medal-winning Florida 529 Savings Plan allows you to save what you want, when you want, or even set up automatic payments for as little as $25 a month.
Plus, here are three great reasons the Florida 529 Savings Plan is more innovative than ever before:
- Its Uses Are Expanding. New IRS rules now allow your 529 plan to cover qualified K-12 expenses and certain apprenticeship programs and job training in a variety of fields, including the culinary arts, aviation and financial services. There is even legislation on the table that would include postsecondary training and credentialing, such as licenses and professional certifications, as an allowable expense.
- You Can Roll it into a Roth IRA. Parents with unused college savings in a 529 account can shift that money into a beneficiary’s Roth IRA (Individual Retirement Account). The change takes effect January 2024, and the maximum amount a parent can transfer is $35,000 per beneficiary. The account must have been open for 15 years, with rollover funds in the account for at least five years. Any rollover is also subject to current Roth IRA contribution limits.
- It’s Easily Transferable between Children. If the original beneficiary changes their mind about college, you may transfer funds to another family member. You could even use the funds to further your own education!
Your child’s dreams are worth investing in! Get started today.
Enroll by October 29, 2023, to get a FREE $50 account contribution to kick-start your savings journey! View promotion rules.