Published by CHET
How prepared do you feel for when it’s time for your child to go to college?
While it’s true that high school graduation rates among Latinos in Connecticut continue to rise, and more Latinos are attending college, paying for higher education continues to be an obstacle for many looking to achieve their dreams. It is also true that more Latinos fail to graduate from college due to financial pressures than their white counterparts, according to a 2019 UNIDOS US report.
The good news is that there is something we can do about it and CHET, Connecticut’s 529 savings plan, can help.
- A 529 plan is a flexible and tax-advantaged account specifically designed for educational savings and can be used for many qualified educational expenses at schools here and across the country.
- Whatever money you put into a CHET 529 account is tax deductible (an up to $10,000 state income tax deduction), you will not pay income taxes on any investment earnings and you can take out the money federal income tax-free when paying for expenses such as tuition, books, room and board and other qualified expenses.
And, while the end goal may be the same, your personal savings strategy may not be. The CHET program offers a variety of professionally managed investment portfolios to help you build and customize your account in accordance with your personal savings goals.
- Under the new CHET plan manager, Fidelity, it’s even easier to meet your college savings goals with
- No minimumsNo fees
- Education planning specialists to help along the way,
- Plus, friends and family members can contribute to your child’s CHET savings account, making giving the gift of college savings a perfect choice for birthdays, Christmas, quinceañeras or any celebration.
And now is a great time to consider a CHET plan. The 2021 CHET Dream Big! Competition is underway with $350K available for students in CT. Your child can play an active role in growing their college savings by taking part in this year’s competition. If you have a child in Kindergarten through 8th Grade or a high school student expected to graduate in 2022, encourage them to participate. A CHET Dream Big! Award can jumpstart their college savings. The competition launched on May 29 (5/29 is also known as “529 Day”) and ends September 22, 2021. For more information and to have your child enter to win money for college, please visit CHETdreambig.com.
With the rising cost of a higher education, it could seem to many people that saving for your child’s college education is out of reach. CHET is here to help, and to remind you that what’s most important is to begin saving today. Every little bit counts and the sooner you begin the better.
—
The CHET Dream Big! Competition for K-8 Students is open to CT residents 18 years or older whose children are in grades K through 8, and the CHET Dream Big! Competition for High School Seniors is open to CT residents 18 years or older whose children are high school seniors (Class of 2022). Entries must be submitted between May 29, 2021 and 11:59 P.M. EDT on September 22, 2021. No purchase necessary. Void where prohibited. See Official Rules for Details.
The Connecticut Higher Education Trust (CHET) 529 College Savings Plan – Direct Plan is offered by the Treasurer of the state of Connecticut and managed by Fidelity Investments. If you or the designated beneficiary is not a Connecticut resident, you may want to consider, before investing, whether your state or the beneficiary’s home state offers its residents a plan with alternate state tax advantages or other state benefits such as financial aid, scholarship funds and protection from creditors.
Units of the portfolios are municipal securities and may be subject to market volatility and fluctuation.
Please carefully consider the plan’s investment objectives, risks, charges, and expenses before investing. For this and other information on any 529 college savings plan managed by Fidelity, contact Fidelity for a free Fact Kit, or view one online. Read it carefully before you invest or send money.
Fidelity Brokerage Services LLC, Member NYSE, SIPC 900 Salem Street, Smithfield, RI 02917
© 2021 FMR LLC. All rights reserved.
979567.1.0.
