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VSAC to open college savings accounts for babies born on ‘529 Day’
Every baby born at a VT hospital May 29 to receive a $100 VHEIP account
WINOOSKI (May 1, 2019) – Lucky babies born May 29 in Vermont will receive $100 deposit into a Vermont 529 college savings account opened by the Vermont Student Assistance Corp.
The Vermont Association of Hospitals and Health Systems is joining VSAC, which administers Vermont’s 529 college savings plan, to help educate Vermont families about saving for college for their children.
“Vermont hospitals believe that a healthy, vibrant Vermont is possible, and while excellent health care is an essential component, addressing the social determents of health is equally important,” said VAHHS President and CEO Jeffrey Tieman. “Specifically, education has a profound impact on population health, and that’s why VAHHS partners with VSAC each year on 529. We know that investments in education will provide health benefits for our children, families and communities.”
A 529 plan is an education savings plan operated by a state or educational institution designed to help families set aside funds for future college costs. It is named after Section 529 of the Internal Revenue Code, which created these types of savings plans in 1996.
Vermont’s 529 college savings plan, called the Vermont Higher Education Investment Plan (or VHEIP), helps families put their children’s college education within reach. With VHEIP, you can open an account with just $25 or give a gift of any amount. And as you contribute to a Vermont 529 account, you can benefit with tax advantages and a Vermont state income tax credit on savings for education or training after high school.
Research shows that children with college savings accounts are three times more likely to attend college and four times more likely to graduate than children without accounts. And every dollar saved now is money you won’t need to borrow later on, helping to reduce future education debt.
“College savings accounts are clearly a powerful tool,” said Scott Giles, president and CEO of VSAC. “We want to encourage parents to open a VHEIP account and get started early to save for college and other career training. The ideal time to begin saving is between birth and age 5 in order to allow your investment to build over time.”
But it’s never too late to start saving – and Vermont’s month-long 529 college savings celebration is a great time to begin! Whether you’re young or old, be sure to join VSAC to celebrate 529 day and get a chance to win $529 in a VHEIP college savings account.
About VSAC – Changing Lives through Education and Training since 1965
Vermont Student Assistance Corporation is a public, nonprofit agency established by the Vermont Legislature in 1965 to help Vermonters achieve their education and training goals after high school. VSAC serves students and their families in grades 7-12, as well as adults returning to school, by providing education and career planning services, need-based grants, scholarships and education loans. VSAC has awarded more than $600 million in grants and scholarships for Vermont students, and also administers Vermont’s 529 college savings plan. Share your VSAC story by email to myVSACstory@vsac.org or submit a video to YouTube. Find us at www.vsac.org or check in on Facebook and Twitter. #changing lives
VAHHS is a member-owned organization devoted to improving the health status of communities throughout Vermont. Its activities include advocacy, policy development, education and research. VAHHS works in partnership with dozens of Vermont health care organizations on a wide variety of issues, providing educational and research services for members and non-members alike. VAHHS supports coordination of our members' health care services with other health or social service organizations. For more information, visit www.vahhs.org.