Saving for College
Saving for College with your Family Banking Plan™
We all want our kids to go to college. Most of us are willing to sacrifice nearly anything to see that it happens. Statistics show that college graduates have a higher income and a better lifestyle. Receiving a degree has a lot of appeal.
We sometimes even see parents give up their retirement to make certain their kids get an education. There is a better way. Along with the many benefits of having your own family bank, we can show families how to fund their children’s education, making it an even greater asset.
Dividend Paying Whole Life is the Answer
The ability to pay for a college education with leveraged, tax-free money is a huge benefit. By using the Family Banking Plan™, parents can fund a college education for each of their children.
You are in charge of your Family Banking Plan™ and have complete control over the funds when it comes time to pay for a child’s college education.
Investing or Saving for Education, What is the Difference?
The Martin family has 2 children. The kids are still young and there seems to be plenty of time for any education fund to grow. Mr. Martin was watching the local news one night and saw an ad for the state of Nevada’s college 529 ‘savings’ plan. He excitedly calls the number, an agent comes out to ‘educate’ the Martins, and they choose to buy into this ‘savings’ plan.
Two years into the plan, Mr. and Mrs. Martin get a statement showing that the fund has actually LOST money, and the amount they have saved is now LESS than they have paid in. Flustered, Mr. Martin gets on the phone with the agent who sold him this Nevada state ‘savings’ plan. He asks the agent, “If this is a savings plan that must mean that it is not an investment, and that is why I did it. I wanted to make certain that I could never lose my principle, because that is what ‘savings’ means.”
The agent then explains that normally that would be true. However, in the case of the state savings plan, they were allowed to call it a ‘savings plan’, even though it was an investment in mutual funds.
Mr. Martin then says, “My state was allowed to use a different word to lie to me?” The agent, obviously embarrassed apologizes, but basically says that was exactly what happened. Try and imagine that is your education fund, it is now time to send a child to college, and the fund has less money than what you paid in!
Savings Means Savings with your Family Banking Plan™
When it comes to saving money for a college education, it is critical that you know what you are putting your money into. Using the Family Banking Plan™ and putting your money into a dividend paying life insurance policy will assure you when it is time for that child to go to college, the money WILL be there. NO FINANCIAL RISK!