529 college savings plan Archives

What Financial Health Means to Me – Learning from My Parents’ Mistakes

We all want a better life for our children. That’s the true American dream. It’s actually the dream of parents all over the world. That’s what financial health truly means. When I was deployed to Iraq while serving in the Army, I saw that sentiment play out there as well. Every Iraqi that I talked to simply wanted a better life for their children, and they hoped the United States’ intervention would bring them that goal – more so than Saddam Hussein ever could. The same was true in my parents’ house when I was growing up. My parents got divorced like so many others when I was young – about 12 years old. I can remember my single mother … Read more

Dave Ramsey’s Baby Step 5 – Save For College

by Hank Coleman

I wrote an overview of Dave Ramsey’s baby steps system from his book, The Total Money Makeover, and I have been dissecting each of his individual baby steps as well. The Total Money Makeover is a personal finance book that I highly recommend and one of the greatest personal finance books to read. Today, we talk about baby step 5, saving for college for your children’s education. Today, we will look at Baby Step 5 in more detail which is to invest and save for your children’s college education. There are seven Dave Ramsey baby steps that you should follow in order that will lead you to financial peace. Dave Ramsey’s baby steps are… Baby Step 1 – $1,000 Emergency FundBaby Step 2 – Pay Off All … Read more

20 Things I Should Have Known Better About My Finances

by Hank Coleman

I should have known better about my finances in my 20s. Heaven knows that I have made a few financial mistakes along the way.

This list of what I should have known better about my finances in my 20s is an attempt to help others before they make some of the same mistakes. It is not too late though to recover from your errors though if you have made these listed below.

20 Things I Should Have Known Better About My Finances

1. Don’t borrow from your 401k retirement plan. Even though you are paying yourself back with interest, you are going to be forever behind the retirement savings power curve.

2. Invest enough to get the employer matching contribution to your 401k Retirement Plan.

3. Whole life insurance policies are a waste of money. Term life insurance is a much better use of your money.

4. Your children don’t need any life insurance policies. You should have enough to bury them with your emergency fund.

5. Maxing out a Roth IRA is one the best things we can do. This should be your goal as soon as you are financially able after you start working.

What Is Upromise And Why You Need To Use It

by Hank Coleman

The Benefits Of 529 College Savings Plans

What is Upromise? Upromise is a service that helps individuals save money to pay for college or to pay down existing student loan debt.

The beauty of the program is that you save money for college by simply shopping at the normal stores you visit every day. Upromise was created in partnership with Sallie Mae and is designed to help save for education costs.

What Is Upromise?

It is not a college savings plan (like a 529 College Savings Plan). It does not see tax deferred growth. However, what the program does offer is a great way to save through partnerships with retailers. Similar to a cash back rewards card, this plan puts rewards from retailers into an account that you can use to save money for school or paying down current Sallie Mae serviced student loans.

How Upromise Works

Once you join Upromise, you simply have to shop at eligible retailers. You can shop online and get anywhere from 1$ to 25% back that is credited to your account. There are more than 600 online retailers, including Target and more, which will give you rewards.

Many stores link your Upromise account with your loyalty card. You can also get up to 8% back from participating restaurants when you pay with a credit card or debit card that you have registered on the Upromise website. There are over 8,000 restaurants to choose from including many nationwide chains like Subway.

The Benefits Of 529 College Savings Plans For Parents and Students

by Hank Coleman

Paying back student loans can be somewhat of a strain. Therefore, if you are just now beginning your own family, you can’t help but consider the many ways you can provide for their college education. One of the popular ways to save for college is by making use of a 529 College Savings Plan. The state plan provides an advantageous way to save for higher education and is designed so the saver has more control of his or her money. Types of 529 College Savings Accounts A 529 college plan features regular savings and prepaid plans. Prepaid plans permit you to buy tuition credits that can be used when your child begins college. 529 College Savings Plans, on the other … Read more