First 300 families who sign up in December for state’s 529 prepaid tuition plan will receive $100 match
Lansing, Mich. -- As the holiday season approaches, the Michigan Education Trust (MET) encourages families to give the gift of college credits this year.
“Toys and video games are fleeting. But for as little as $125, you could buy your child one hour of college credit and start building a college savings plan for their future,” said Diane Brewer, executive director of MET, the 529 prepaid tuition program administered by the Michigan Department of Treasury.
“You don't have to be the parent of a child to start saving for their college education. Aunts, uncles, grandparents and friends of the family are all welcome to open or contribute to a MET plan.”
Brewer said more and more often, grandparents are stepping in to ease the financial burden of college for their children – and lessen the crushing weight of future student debt for their grandchildren. According to a 2018 AARP survey, 21% of grandparents today assist with college costs.
MET, the nation’s first 529 prepaid tuition plan, has helped tens of thousands of families since 1988 with an affordable way to save for college by pre-purchasing tomorrow's tuition at today's rates.
To encourage families to give the gift of college, MET is offering a $100 matching grant on contracts purchased for new beneficiaries during December. The incentive is available to purchasers who enroll online at SETwithMET.com before Dec. 31 using coupon code HOLIDAY20. MET will also waive its $25 enrollment fee in December.
Families are urged to act quickly not only to take advantage of the match, but also to qualify for a deduction on their Michigan tax return for purchases or contributions made by Dec. 31.
In order to help Michigan families strained financially by the COVID-19 pandemic, MET’s Board of Directors announced earlier this month that contract purchase prices will remain unchanged. The new contract year opens Dec. 1.
That means the prices of MET’s popular Pay-As-You-Go contracts will continue to range from $125 per credit hour for a community college contract to $612 for one credit hour to cover tuition and mandatory fees at any Michigan public university. Or you could pay $508 for a credit hour under a limited-benefits contract, which covers up to 105% of the weighted average tuition of Michigan’s public four-year universities.
“By saving a little each month early on, family members can all pitch in and prepare financially for the growing expense of college,” Brewer said.
MET also sells contracts through lump-sum and monthly purchase plans that require minimum purchases of a semester’s worth of tuition.
Only one account per beneficiary qualifies for the match and fee waiver, and MET will make the match after account holders complete their purchase of at least one credit hour of prepaid tuition.
More information about MET and match eligibility and rules is available at SETwithMET.com or 800-MET-4-KID.
