Oklahoma 529 Savings Plan

May 29 is Oklahoma 529 Savings Day! The Oklahoma 529 College Savings Plan is a program that allows families to deposit funds into an interest earning savings account and use the funds to help pay for their child’s higher education expenses. It only takes a few minutes to set up an account online and users can choose from a variety of low-cost investment options. When adding to the account the funds can be electronically deposited or mailed in.

529 Savings Plan funds can be used at most accredited colleges and universities in the United States. Funds will typically cover tuition, fees, books, supplies, certain room and board expenses, and some technology equipment required for certain courses. If your student doesn’t need all the funds that go into the account, you can transfer the remaining savings to an eligible family member for their college expenses.

Saving for the future isn’t always easy, but being financially ready when your child goes to college will be well worth the investment. If you’re contemplating opening an Oklahoma 529 College Savings Plan, here are a few things to consider:
1. Contributions made to the 529 Plan grow as tax-free earnings in the account and can be deducted from your Oklahoma taxable income.
2. Regular contributions, even if they start as small amounts, add up over time. Consider making small automatic contributions or direct deposits into the account every pay period.
3. Don’t wait to start contributing to your account. Whether your child is in pre-school or high school, start saving for your higher education expenses today.
4. A 529 savings account can be a community effort. Parents, grandparents, uncles, aunts, and family friends can contribute to your child’s 529 Plan. Encourage family members to make a donation to the fund for children’s birthday and holiday gifts.

For complete information about the Oklahoma 529 College Savings Plan, visit OK4saving.org.

Summer Prep for Incoming College Freshmen

Preparing for college can be an exciting, yet nerve-wracking time. Now that you’ve made your final decision on the best college for you, what should you do next? Instead of hitting cruise control, take this time to ensure you’ll be ready for the first day higher education.

Follow up with your high school counselor to make sure your final transcript has been sent to the right college or university. Also, speak with the financial aid office at your college to confirm that you’ve completed and submitted all the required paperwork. Be sure to keep track of your FSA ID (Federal Student Aid ID) and all other critical financial documents in case you need them later.

Talk with your family about your school’s financial aid offer, as well. Ask if they’re willing to help with additional college expenses that may arise. Another good option for covering school expenses is taking on a summer job. It’s never too late to save for your education. Scholarships can also assist with the cost of college, so apply for as many scholarships as possible during the summer. The more you apply for, the more likely your chances are of receiving one.

You should also plan to attend Freshmen Orientation. During this exciting event, you’ll learn more about your college and get a chance to register for classes. Constantly check your college-issued email account to receive updates about campus activities or programs. Follow your friends and your new roommate on social media to start making some great connections. This can make the transition to college easier. Additionally, consider using this time to brush up on your reading and writing skills.

While you have some free time, schedule a visit to your doctor and dentist for a regular check-up. Get a copy of your health insurance card from your parents to use in case of an emergency. Finally, enjoy this time with your friends and family. Talk with your parents about their expectations of you in college and agree to check-in with each other at least once a week. You’ve worked hard to get into college so make the most of this summer. Soon you’ll be on your way to a great freshman year!

What’s the Difference Between a Scholarship and a Tuition Waiver?

When you fill out the Free Application for Federal Student Aid (FAFSA), you’re giving the college(s) of your choice a snapshot of your family’s current financial situation, enabling them to develop a plan for your financial aid ‘package’. That package may contain aid from one or more of these sources:
• The federal government – grants, work-study program, student loans
• The state of Oklahoma – grants and scholarships
• The institution you wish to attend – scholarships and tuition waivers
• Tribal, non-profit and private organizations – grants and scholarships

Your higher education institution may offer you a scholarship, tuition waiver, or both. You may wonder what the differences are between the two and whether you would qualify to receive them.
• A scholarship is usually ‘free money’ that doesn’t have to be paid back, and is used to pay various college expenses. It can be awarded to you by the school you plan to attend, by the state of Oklahoma, or by various private and tribal organizations. A scholarship is often awarded for above-average grades or other achievements, talents and/or community involvement.
• A tuition waiver is granted by your chosen school and reduces the amount the college charges you. The waiver will eliminate the cost of tuition for a designated number of credit hours, but it can’t be used for any other educational expense. While there can be many reasons a school might grant a waiver, here are some of the most common:
• Your family income demonstrates a high financial need.
• You’re of Native American descent.
• You’ve overcome a significant hardship.
• You were adopted, or you were a foster child.

It’s possible that you’d be able to use a scholarship and a tuition waiver simultaneously. Each college has its own policy regarding who meets the qualifications for one or the other. Call your institution’s financial aid office to see how to qualify for any scholarships and waivers they may offer.