LANSING AW estphalia mother wants to secure her 2 year old daughter s future education the way her parents did with a Michigan Education Trust Fund contract

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LANSING AW estphalia mother wants to secure her 2 year old daughter s future education the way her parents did with a Michigan Education Trust Fund contract Powered By Docstoc
					TRUSTFUND

By MELANIE TRUSTY

Capital News Service

LANSING—A Westphalia mother wants to secure her 2-year-old daughter’s future

education the way her parents did -- with a Michigan Education Trust Fund contract.

       Corie Weber recently bought her daughter a MET contract because the 20-year-

old program helped Corie’s parents send her to Lansing Community College and

Northwood University.

       “It was an excellent experience for myself, and I wanted to give it to her for the

future,” Weber said.

       Weber said she bought a two-year contract and will be paying for it stretched over

15 years.

       The MET Fund has topped the $1 billion mark in assets, an amount that ensures

the program is financially stable, said Terry Stanton, a public information officer for the

Treasury Department.

       “This is a significant milestone,” said Stanton.

       MET was the first prepaid tuition program in the country, Stanton said. The

program was started in 1988.

       The benefits cover tuition for public and private universities and community

colleges.

       It is the only such program that allows purchasers to deduct the amount paid each

year for a contract and the estimated $65 enrollment fee from their income taxes, he said.
       Stanton said the number of contracts purchased annually from 2005 to 2007 has

remained steady, an average of 3,440.

       Under current rates, for example, a two-year full benefits contract for a newborn

would cost $184 a month for 15 years. Contract prices depend on the age of child and

time of purchase.

       He suggests saving as early as possible for the future because of the rising cost of

higher education.

       “You’re using today’s cost to pay for tuition in the next decade,” Stanton said.

       Robin Lott, executive director of the MET program, said most contracts are

purchased for children entering elementary school.

       And more parents are acknowledging a need for a college savings fund, Lott said.

       Anyone can purchase a contract for a Michigan child, Stanton said. MET offers

three prepaid tuition contracts: full benefits plan, limited benefits plan and community

college plan. Payments can be made in one lump, monthly installments and by semester.

       For more information, see www.SETwithMET.com

				
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