Intro to Education
Paying for Higher Education
So, how do people pay for higher education these days?
It begins with adopting the same long-term approach that we apply to buying a house or saving for retirement. The idea is that spreading the cost over decades can keep it from overwhelming your life.
Which of the following is NOT a feature of Coverdell ESAs?
They cap contributions at $19,000 per year
They can be used to pay for college
They have flexible investment options
They can be used to pay for private high school
How long will the Before phase of the higher education payment cycle last for most people?
At least three years
The summer before school begins
At least ten years
At least one year
Which of the following is a feature of 529 prepaid tuition plans?
They allow you to pay for tomorrow’s tuition at today’s prices
They come with flexible investment options
They are accepted at every college and university
None of the above
What’s the best way to save for higher education?
A dedicated bank account
A second mortgage
A mutual fund
A tax-advantaged savings plan