At the end of each year, my husband and I take a financial picture of our household. Along with evaluating the progress of the goals we established at the beginning of the year, we take a hard look at our children's 529 college saving accounts. Hayley and Hayden will be in college before we know it and we want to make sure they are able to attend the universities of their choice.
Kansas' 529 plan, Learning Quest, which is administered by my office, has a chart on its website (www.LearningQuest.com) which projects the average four-year costs for college expenses including tuition, fees, books, supplies, room, board, transportation and other costs in the United States.
By the time Hayley, who just turned 16, is ready to attend a post-secondary institution in Kansas it will cost $77,727. Hayden, our 13 year old, will rack-up a bill worth $89,979. Needless to say, we have some major expenses ahead of us just like other Kansans who have children who dream of pursuing education beyond high school. Thankfully for citizens, the state established Learning Quest in 2000 that offers tax benefits today while giving our children a plan for tomorrow.
Kansas taxpayers can receive a state adjusted gross income deduction of up to $3,000 per child ($6,000 if married, filing jointly) on contributions to Learning Quest. This benefit is in addition to the federal and state tax benefits of tax-deferred growth and tax-free withdrawals for qualified educational expenses.
I would encourage you to take a look at Learning Quest. It offers Kansas taxpayers many benefits including the peace of mind that you have a plan for your loved ones educational future. By opening a Learning Quest account or making contributions to your current account before the end of 2007, you can take advantage of the tax benefits for this tax year.
Opening an account is easy. Call 1-800-579-2203 or visit www.LearningQuest.com. An initial investment of $250 or with an automatic investment of $25 per month from your bank account or paycheck is required.
For Kansans who qualify, there is the KIDS (Kansas Investments Developing Scholars) program. KIDS is designed specifically for Kansans whose household is within 200 percent of the federal poverty level. This means that a family of four whose annual household income is less than $41,300 would be eligible to receive matching grant funds for contributions they make to their Learning Quest account before December 31, 2007 up to $600. Visit www.KansasStateTreasurer.com/KIDS to learn more and to apply if you qualify. Don't miss this opportunity to have the state of Kansas contribute $600 towards funding your student's dreams.
Four children who understand the importance of education were honored recently with Learning Quest accounts for essays they wrote. During our annual state-wide essay contest we asked seventh and eighth grade students to write about the most important thing that school prepares you for in life. More than 2,200 essays were received from students all across the state!
There were two winners and two runners-up, one per grade, who won a $1,000 or $500 Learning Quest college savings account. The winners are:
8th Grade
First place: Riley White, St. Mary's Jr./Sr. High School, St. Mary's, KS (Ms. Sanders)
Second place: Jessica Hutchison, Olpe Jr./Sr. High School, Emporia, KS (Mrs. Barnhart)
7th Grade
First place: Paige Wiley, Oxford Middle School, Overland Park, KS (Mrs. Loffredo)
Second place: Jordan Mercer, Olpe Jr./Sr. High School, Emporia, KS (Mrs. Barnhart)
Congratulations to all the students who received accounts and to students who submitted essays! All who participated should be complimented on their efforts and the thought put into the essays. The main goal of the essay contest is to get children and their families thinking about education beyond high school. With 2,200 essays submitted, I think we accomplished our goal!
I hope you and your family have a blessed holiday season! Please contact my office if we can offer assistance to you.
