WHY CHOOSE SCHOLAR'S EDGE?
When saving for your child’s college education, you need an edge.
For the vast majority of families, paying for a child’s college education is rarely an all or nothing proposition. Because only a select few students receive full scholarships, most families typically take a three-pronged approach:
- Student Loans
- Financial Aid
By incorporating a tax-advantaged 529 plan such as Scholar’s Edge into your family’s overall financial plan, you can take a smart, pragmatic approach toward achieving this important goal. Money you invest in a 529 college savings plan has the opportunity to grow tax-free and may also benefit from compounded growth. In other words, your earnings may generate additional earnings and help your account grow faster.
And remember, you don’t have to save the entire amount, but the more you are able to save in advance, the less you or your child will have to borrow through student loans later.
Any U.S. resident who is at least 18 years old can open an account. Once the account is open, anyone can contribute, including grandparents. The money invested in a 529 plan can be used to pay for what are called qualified higher education expenses.
As the account owner, the plan is in your name, so you – and you alone – retain control. If your beneficiary opts out of college, you can change it to another child without penalty.1
With Scholar’s Edge you choose:
- How much you contribute
- When and how your savings are used
- Your investment approach
1Depending on who the new beneficiary is, there may be gift or generation-skipping tax consequences. Your investment professional can provide more information. See the Plan Description for more information. Consult your tax advisor about how 529 tax treatment would apply to your situation.
As the result of a reorganization on May 24, 2019, the underlying Oppenheimer Funds' names have changed. Please see the underlying Funds current prospectus at www.oppenheimerfunds.com for further information. You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund's sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.
This material is provided for general and educational purposes only, and is not intended to provide legal, tax or investment advice, or for use to avoid penalties that may be imposed under U.S. federal tax laws. Contact your attorney or other advisor regarding your specific legal, investment or tax situation.
Scholar's Edge® is operated as a qualified tuition program offered by The Education Trust Board of New Mexico and is available to all U.S. residents. OFI Private Investments Inc. is the program manager for Scholar's Edge and OppenheimerFunds Distributor, Inc. is the distributor of Scholar's Edge. Some states offer favorable tax treatment to their residents only if they invest in the state's own plan. Investors should consider before investing whether their or their designated beneficiary's home state offers any state tax or other benefits that are only available for investments in such state's qualified tuition program, such as financial aid, scholarship funds, and protection from creditors, and should consult their tax advisor. These securities are neither FDIC insured nor guaranteed and may lose value.
Before investing in the Plan, investors should carefully consider the investment objectives, risks, charges and expenses associated with municipal fund securities. The Plan Description contain this and other information about the Plan, and may be obtained by asking your financial advisor, by visiting www.scholarsedge529.com or calling 1.866.529.SAVE (1.866.529.7283). Investors should read these documents carefully before investing.
Scholar's Edge® is distributed by OppenheimerFunds Distributor, Inc. Member FINRA, SIPC
Scholar's Edge® and the Scholar's Edge® Logo are registered trademarks of The Education Trust Board of New Mexico used under license.