Illinois Is #1 For A Change In College Savings – In A Good Way!

by Financial Design Studio, Inc. / October 24, 2019

financial advisor robert stoll cfp cfa chief investment officer draft commentary Profile AboutThe State of Illinois isn’t making many “Top Ten” lists that are positive these days. But there is one Bright spot (pun intended): The Gold ranking of the Bright Start College Savings 529 program as rated by Morningstar.

Most states sponsor a 529 college savings plan. You don’t have to live in that state in order to use its 529 savings plan. But a number of states give residents a tax break on contributions made to their home state’s 529 plans, so it’s important that your state’s plan is a good one.

Illinois happens to be one of those states.

Morningstar’s latest rankings of every available 529 college savings plan in the U.S. gives the Illinois Bright Start program a Gold rating, one of only 4 plans in the U.S. to receive that rating.

It’s been quite a turnaround for Bright Start, which was mired in scandal just 10 years ago!

Key to the improvement in Bright Start is the lineup of investment choices. There is a wider array of brand name choices with low expense ratios, such as Vanguard. The state has also begun offering age-based funds which automatically reduce investment risk as the child gets closer to going to college.

Investing in a 529 college savings plan is the cornerstone of college planning for families. If you’d like to learn more about how they work or in getting one set up as part of your overall financial plan, we’re here to help!

Wondering how this affects your future finances? Schedule a call with Financial Design Studio to discuss your portfolio today.

Ready to take the next step?

Schedule a quick call with our financial advisors.

Recommended Reading

Economic cycles

Understanding Stock Market & Economic Cycles

Do you remember what an economic cycle looks like? In this week's post we help you understand stock market & economic cycles and what they mean for investors.

2022 Was Tough, Will 2023 Be Better for Investors?

Will 2023 be better for investors? They just suffered one of the worst investment years ever in 2022. There are reasons for hope in certain parts of the stock and bond market. We give our thoughts on the chances of a recession and path of interest rates in this opening post of 2023.

Financial Design Studio, Inc.

We are financial advisors in Deer Park and Barrington, IL. A team with a passion for helping others design a path to financial success — whatever success means for you. Each of our unique insights fit together to create broad expertise, complete roadmaps, and creative solutions. We have seen the power of having a financial plan, and adjusting that plan to life. The result? Freedom from worrying about the future so you can enjoy today.