Independent 529 Plan named “Best Product of 2003” by Business Week
The Independent 529 Plan, a prepaid tuition plan offered by a consortium of over 200 private higher educational institutions, was recently named one of the Best Products of 2003 by Business Week magazine. The Plan, which allows individuals to purchase today’s tuition at a reduced rate for future use, was announced earlier this fall. Disciples institutions participating in the I-529 plan are Culver-Stockton College, Drury University, Hiram College, and Texas Christian University.
The Independent 529 Plan is not dependent on the performance of the stock or bond markets because buyers are actually pre-purchasing tuition, in part or in whole, at reduced prices. Participating colleges must offer a discount each year off current tuition fees, the minimum of which is a half of a percent.
Independent 529 Plan proceeds can be used at any of participating colleges. The student does not have to commit to a school until it’s time to begin attending classes.
Individuals can open an Independent 529 Plan at no charge with as little as $25. Prospective contributors purchase certificates, which represent all purchases for a single beneficiary during a given program year, and can use the Plan’s Web site at www.independent529plan.org to determine how much tuition their contribution will buy at each member institution.s
- Texas Christian University contributed to this article.
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