We speak to Maire Pelletier from Finance Authority Of Maine about NextGen 529

NextGen 529 is a tax advantaged investment account which can be used to save for education after high school. Many Maine families use NextGen 529 to help afford higher education.  Once families have a NextGen 529 account, they can add to it whatever amount they can, when they can. Even $5 a month can really add up over time.

About $500 Alfond Grant:

• Many Maine babies already have a head start on college savings-the $500 Alfond grant is awarded to all babies born Maine residents since 2013. 
• Maine families with the $500 Alfond Grant can build on the grant by opening a NextGen 529 account.

About Grants for Maine residents:

• There are matching grants when families contribute to their NextGen 529 account-hundreds of dollars!
• If a family signs up for auto funding from a bank account or payroll deduction, they can get a $100 Automated Funding Grant. 
• Ongoing contributions can be matched every year! There is a 30% match on contributions up to a $300 match per year. For example, if a family adds about 85 a month (that’s less than $25 a week), they can get a $300 match each year. 
• And Maine residents who don’t have that $500 Alfond grant, can get a $100 Initial Matching Grant added to their account, when they open a NextGen 529 account and add $25. 
• To encourage families to start saving early, babies who have received a $500 Alfond Grant can also get a $100 boost when they open an account and add $25 before their baby’s 1st birthday.

Families can learn more about NextGen 529 and get started on opening an account online at NextGenforME.com