CHET Kicks off College Savings Month by Donating 1,529 School Bags and Supplies to Connecticut Students in Need

HARTFORD, Conn., Sept. 8 /PRNewswire/ -- September is upon us and Connecticut students are preparing for the school year to begin. To help families offset the cost of school supplies during these tough economic times, the Connecticut Higher Education Trust (CHET), Connecticut's 529 college savings plan, has donated 1,529 school supply-filled book bags to students in need across the state. CHET is managed by TIAA-CREF Tuition Financing, Inc. (TFI), and Connecticut State Treasurer Denise L. Nappier serves as trustee for the plan.

The purpose of the book bag donation was to provide basic school supplies to those students and families who otherwise may not have had the means to purchase supplies. To reach students, CHET and TFI partnered with My Sisters' Place in Hartford, an organization dedicated to making a difference in the lives of homeless women and their children, as well as ASPIRA, an organization that fosters the education and positive leadership development of Puerto Rican/Latino and other youth. CHET also partnered with the Connecticut Department of Children and Families and the Salvation Army of Southern New England to distribute bags to children statewide.

Not only is September back-to-school time, it was also recently proclaimed College Savings Month by Governor M. Jodi Rell. The Connecticut State Treasurer's Office, CHET and TFI urge all Connecticut families to use College Savings Month as motivation to develop a college savings strategy for their child or loved one and consider the benefits of saving for college early with CHET.  

"CHET is thrilled to partner with Connecticut organizations to reach those students most in need this school year. Receiving basic school supplies will put students on the path to success," said Pamela McNulty, Program Director, TFI. "During September, College Savings Month, all parents and legal guardians are encouraged to learn about the potential value of saving early for their child's future education. Particularly during today's economic conditions, continuing or beginning to invest in a child's future and being a patient investor over the long term can assist in meeting future college expenses."

McNulty also points out that ever-increasing college costs makes creating a strategy to save for college expenses a critical task for Connecticut families. According to the 2009 national survey by The College Board, Trends in College Pricing 2009*, for the 2009-2010 academic year, median income for families with a house hold member with at least a four-year college degree is more than $50,000 per year higher (and for those with an associate degree it is $20,000 higher) than for those with only a high school education. A CHET account can be used toward tuition and other qualified college expenses such as room and board, books and fees at higher education institutions in Connecticut and nationwide.

*Introduction to Trends in College Pricing 2009: http://www.trends-collegeboard.com/college_pricing/

Anyone with a Social Security Number or federal Taxpayer Identification Number can open a CHET account for as little as $25, regardless of income or state of residence. Account owners can make periodic or regular contributions of $25 or more. Employers can even allow their employees to make these contributions through payroll deduction for as little as $15.

A CHET account makes a great gift so that friends and family can assist in investing for future college expenses for a child who is years or even months away from attending a higher education institution. Opening or contributing to an existing account is also a creative way to give a gift for a special occasion, or anytime.  

The CHET 529 plan Web site, www.aboutchet.com, provides complete information, online enrollment and other online services. To request enrollment materials or for more information, you can also contact the customer service center at 1-888-799-2438. 

Consider the investment objectives, risks, charges and expenses before investing in the Connecticut Higher Education Trust (CHET). Please visit www.aboutchet.com for a Disclosure Booklet containing this information and other information. Read it carefully.

Before investing in a CHET 529 college savings plan, you should consider whether the state you or your designated beneficiary reside in or have taxable income in has a 529 plan that offers favorable state income tax or other benefits that are only available if you invest in the state's 529 plan.

The tax information contained herein is not intended to be used, and cannot be used, by any taxpayer for the purpose of avoiding tax penalties. It was written to support the promotion of CHET. Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor.

Non-qualified withdrawals may be subject to federal and state taxes and the additional federal 10% tax.

Account value will fluctuate based upon a number of factors, including general market conditions.

TIAA-CREF Tuition Financing, Inc., Program Manager. CHET is administered by the Connecticut State Treasurer's Office.

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SOURCE CHET 529 College Savings Program