Updated: Oct 25
Did someone say FREE money? Why, yes we did!
Education is the key to unlocking a brighter future, and for many families, ensuring access to quality education for their children (without the student loan debt to go along with it) is a top priority. One powerful tool that can help achieve this goal is the 529 plan, a tax-advantaged savings account designed for educational expenses. What's even more exciting is that in 16 states across the U.S., you can double your savings through 529 plan grant matching programs (it's similar to a 401K match, but for your education)!
While income restrictions, age requirements, and other rules may still apply, let's dive into these states and explore how they're making educational dreams more attainable.
1. California: The ScholarShare program in California offers beneficiaries up to $200 in matching contributions, helping bridge the financial gap for higher education.
2. Colorado: Colorado's CollegeInvest Matching Grant Program provides $1,000 in matching funds each year for up to 5 years for a total of $5,000 made by eligible low- and moderate-income families, making higher education more accessible.
4. Idaho: The Idaho College Savings Program offers a matching grant of up to $500 for qualifying accounts, giving families a boost towards their educational savings goals. 5. Illinois: The Illinois Bright Start 529 Plan will contribute a $50 seed deposit into a 529 college savings account for every beneficiary born or adopted in the state of Illinois beginning in 2021 as long as the child is under 10 years of age.
6. Kansas: The Learning Quest Education Savings Program in Kansas offers a dollar-for-dollar match of up to $600 for eligible participants, doubling the impact of their savings.
7. Louisiana: Louisiana's Student Tuition Assistance and Revenue Trust (START) Savings Program provides a dollar-for-dollar match for contributions up to 14% or $400 annually, assisting families in their pursuit of education.
9. Maryland: The Maryland 529 Plan contributes $250 or $500 if you make a minimum contribution of either $25, $100 or $250, helping families build a stronger financial foundation for higher education
10. Nevada: Nevada's Silver State Matching Program offers a match of up to $300 for low-income families, with a lifetime maximum of $1,500 over 5 years for a beneficiary making higher education an achievable goal.
11. New York: When you open a NYC Kids Rise account, the beneficiary will earn a $25.00 deposit upon opening.
12. North Dakota: The North Dakota College SAVE Plan offers a dollar-for-dollar match of up to $300 annually for eligible participants, encouraging educational savings.
13. Oregon: The Oregon College Savings Plan via the BabyGrad program offers a one-time $25.00 deposit to eligible beneficiaries. The Savings Plan also features a state tax credit of up to $150 for joint filers and $75 for single filers, providing valuable savings incentives.
15. Rhode Island: Rhode Island's CollegeBound Saver plan program grants a 10% state tax credit on contributions, helping families build their educational nest eggs. Their CollegeBound Baby program also offers a $100 grant to babies born or adopted in Rhode Island between January 1, 2015 and June 30, 2021.
16. Tennessee: The Tennessee TNStars College Savings Plan Tips Program provides $100 for every $25 contributed, with a maximum $500 match per year for up to three years.
There are also states that offer tax credits and employer incentives even if they do not make direct contributions to a 529 savings plan. Check these states out here.
The above states are taking significant steps to empower families to invest in education and secure a brighter future for themselves and their children. Maximizing your 529 plan savings with these matching grants can significantly impact your child's future education fund. Take advantage of these opportunities in your state, secure your child's academic future, and pave the way for a brighter tomorrow. Start saving today, and watch your investment grow with the support of these valuable state programs. Your child's future is worth it!
STOCK MARKET INVESTING FOR KIDS AND TEENS
View all of our financial education resources for kids and teens here.
If your school or group is looking for a finance curriculum to teach your students about how to manage money, start here to learn more on how to bring KidVestors to your classrooms!
Parents, teach your kids money and make money conversations normal in your household by visiting here.