May 29th is 529 Educational Savings Plan Awareness Day

The following article was submitted by guest commentator West Virginia Treasurer Riley Moore. It focuses on West Virginia's SMART529 Education Savings Program.


Our Children Deserve Opportunities & Options
 
Here in the Mountain State, young children are dreaming about becoming archeologists, language translators, heart surgeons and engineers. I know this because they wrote about it in this year’s SMART529 “When I Grow Up” essay contest. This week, my office will announce those 15 regional essay contest winners as part of our week-long celebration leading up to 529 Day. Around the country, May 29 is designated to bring awareness to 529 savings plans, which help people save and invest for the costs associated with education.

Regardless of whether a child decides on a traditional four-year college, a two-year trade school, or a vocational certification program, West Virginia’s SMART529 Educational Savings Program is an investment option that is versatile and makes sense. Beneficiaries can use the savings for tuition at eligible institutions around the world. Now, you can even pay for K-12 private tuition with SMART529 savings (up to $10,000 per year, per child).*

Another interesting fact: you don’t have to be a parent to open a SMART529 account. Grandparents, aunts, uncles, other relatives, or even close friends can open accounts for the children in their lives. This is especially important in West Virginia, where an increasing number of grandparents are caring for their grandchildren.

If you open an account, you choose the beneficiary. As the account owner, you can qualify for state and federal tax benefits, plus you maintain control of the account even after the beneficiary reaches the age of maturity. For some investors, opening a SMART529 can be a great legacy gift.**

There is no limit on the number of 529 accounts that can be opened for a beneficiary. That means both a parent and a grandparent can open separate accounts for the same child. However, if you prefer to contribute to an already existing account, you can do that too. For example, grandparents can contribute to a parent-owned account or vice-versa. Another great option is to give a SMART529 gift card. You can purchase a gift card online and the account owner can redeem the gift card by linking it directly to their SMART529 account.

Even if you can’t eliminate a child’s student loans, you could lighten his or her debt. Or, perhaps your investment could pay for a child’s textbooks. You can be proud to know that whatever savings you accumulate, every dollar will make a difference for that child.

West Virginia children deserve to have opportunities and options. My office is working to grow SMART529 and create other investment programs that will make a difference for the people of our state. You can check out the work we are doing by following us on our social media pages and visit our website at wvtreasury.com.

As we celebrate 529 Day this year, I challenge you to find out more about this great program. You can go directly to SMART529.com to get started.