Devon Copeland, Senior Communications Associate, Invest529

September 3, 2024

Do you ever find yourself having a chat… with yourself? Well, I do! Especially when it comes to big life decisions—like saving for college. A couple of years ago, I had one of these “talks,” and you know what? It actually helped! So, I thought I’d share that inner dialogue in case you’re also wondering, “Is saving for education really that easy?” Spoiler alert: Yes, it is. And with College Savings Month here, there’s no better time to start!

Me #1: Okay, self, we need to talk about saving for the kids’ education. We’ve been putting it off for a while now.

Me #2: Ugh, I know… But doesn’t it sound a bit… complicated? And expensive?

Me #1: That’s precisely why we need to get a handle on it now. And guess what—I’ve done some research. Turns out, a 529 account could make it a lot simpler.

Me #2: Oh, I’ve heard of those! But what makes a 529 account so special?

Me #1: Well, for one, it’s super flexible. You can use it for a wide range of educational expenses—like tuition, books, room and board, and even some K-12 expenses. Plus, it’s not just for traditional four-year colleges. Trade schools, apprenticeships, and even online courses are covered!

Me #2: Hold on. So, I can save now, and the kids can decide later whether they want to be doctors or auto technicians?

Me #1: Exactly. And here’s another cool thing: the money grows tax-free. So, every dollar we put in has a chance to grow more quickly over time without Uncle Sam taking a cut. When it’s time to use the money, we won’t pay taxes on the withdrawals if they’re for qualified expenses.

Me #2: I do like the sound of that! But how much do we need to start?

Me #1: That’s another great thing. You don’t need a ton of money to get started. Most 529 accounts let you open one with a small initial deposit, and then you can contribute as little or as much as you want, whenever you want. It’s totally up to us.

Me #2: Wait, so I could start with, like, $25?

Me #1: Absolutely, or even less! And we can set up automatic contributions to keep it going without even thinking about it. It’s like a “set it and forget it” situation, which is perfect because… well, let’s be honest, we always have a lot going on.

Me #2: That sounds manageable. But what if we don’t end up needing all the money?

Me #1: Great question. We can always change the beneficiary to another child or even to ourselves. Maybe I’ll finally take that pastry course in Paris!

Me #2: Ooh la la, now you’re talking!

Me #1: See? It’s really a win-win. Saving for education doesn’t have to be hard or scary. It’s all about getting started and doing what works best for our family.

Me #2: Okay, I’m convinced. This actually sounds easier than I thought. Let’s do it!

There you have it—my inner dialogue that led to some real savings! If you’ve been on the fence, maybe it’s time for you to have a little chat with yourself, too. Because with a 529 account, saving for education can be simple and rewarding. This College Savings Month, take the plunge. Your future self—and your kids—will thank you for it!

About the Author

Devon Copeland is the senior communications associate with Invest529. Invest529 makes education more accessible and affordable for families and individuals. The program is administered by Commonwealth Savers Plan, which oversees education 529 saving programs with more than $105.6 billion assets under management and 3.1 million accounts as of July 31, 2024, making it the largest 529 plan in the nation. For more information on Invest529’s education savings options, visit Virginia529.com or call 1-888-567-0540 to obtain program materials.