Educational Savings And Financial Aid

A large number of tax-favored tools are available to Americans to assist in funding their and their family's higher education expenses.  The trick frequently is not finding a tax-favored vehicle to assist in college funding, but rather determining which of the various tools are most helpful and applicable to a particular person since using one may preclude you from using another.  What I have provided to you in this section of the Book is a road map to enable you to understand the basic rules on all of these education-funding devices.  After studying this Section of the book, you will be able to understand which tool or tools are most applicable to you.

I will present them in a particular order: the earlier described areas will be more attractive the lower your Adjusted Gross Income (pages 9-10), whereas the later described funding areas will generally be more attractive the higher your AGI.  This all can get pretty confusing.  I will add a summarizing matrix at the end of this Educational Savings section to help you do a final sorting.