When kids know their families are saving to help them go to college, they do better in school and are six times more likely to attend. Research confirms it, and thousands of families each year in Washington are planting those seeds of success by saving for college with a GET account. GET is in its 15th year of enrollment, which is now open through May 31. All it takes is a $50 enrollment fee and one unit ($172) to get started. The next step is to make a plan to keep adding to it over the years. Some families will contribute something each month; others like to add lump sums to celebrate birthdays and holidays, or dedicate their tax refund each year. With GET you can decide how much you want to save and when.
How Does the GET Program Work?
GET is Washington’s 529 prepaid tuition plan – you put money in a GET account and its value is guaranteed by the state to increase at the same pace as college tuition. It’s not dependent on the ups and downs of the stock market. Because it’s a 529 plan, the earnings are tax-free and when you go to use it for college the withdrawals are tax free. Students use GET to attend colleges nationwide. The value of your account is directly tied to UW/WSU, but you can use that money to attend colleges, universities and technical schools in all 50 states and even some foreign countries. It’s easy to enroll. Last year, 93 percent completed their enrollments online, which only takes about fifteen minutes.
Answers to Some Common Questions:
What if my child gets a scholarship, or maybe decides not to go to college? You can wait, transfer the account to another child, or request a refund.
What if my child wants to study elsewhere? Your GET account can be used anywhere in the country to pay tuition at colleges, universities or technical schools, whether public or private. The value of GET units is based on tuition at Washington’s highest priced public university, but you can use that same monetary value anywhere. If tuition at your chosen school costs more, you pay the difference. If it costs less, you’ll have extra to put towards room and board, books etc.
What if my child gets a scholarship, or if our plans change? You can transfer GET units to siblings or other family members, put them on hold, or request a refund. You can also use GET for other qualified higher education expenses such as room and board, or books.
What’s the difference between GET and other savings plans? Unlike regular mutual funds or savings accounts, GET accounts offer tax-free growth and withdrawals. And unlike other tax-advantaged 529 savings plans, GET accounts are not subject to the ups and downs of the stock market. Instead, GET is guaranteed to keep pace with rising college tuition.
Some Tips to Remember:
- Start when your children are young – When you start early you have more opportunities to save. And your investment will have time to realize a greater gain.
- Save what your budget allows – Save as much as you can, and know that every bit helps. Don’t worry if you can’t pay for all four years of college. Maybe you’ll save enough for community college, a technical school, or the first two years of university. The important thing is to save something. If your child has GET as a foundation, he or she will likely be able to add to it with scholarships, grants, part-time work, and if necessary some loans. Most families pay for college with a variety of resources.
- Ask others to help – Anyone can contribute to your GET account, so ask your parents, grandparents, aunts, uncles and friends to direct those baby gifts and birthday presents to your child’s college fund.
Enrollment this year ends May 31, 2013. You can find out more information at www.get.wa.gov, and even view helpful videos on how to get started. For specific account questions, email GETInfo@hecb.wa.gov or call GET Customer Service at 800-955-2318.
