email:                         phone: (248) 835-9112   or (941) 249-5099                         fax:(419) 858-4570                       23261 Lehigh AV. Port Charlotte, FL 33954

College Tuition Planning

Planning for college tuition has become a major financial planning event for many families with children. Some families involve the grandparents to help with planning and saving for college. It is not unusual to hear about students graduating from college with over $100,000 in college loans. Tuition inflation far exceeds any other service industry inflation in the United States. The average tuition increase is 8% for the past several years. It is important to save in a tax sheltered vehicle to meet the tuition demand of the future. Planning and saving for college tuition is accomplished by analyzing the overall finances of the family utilizing the certified financial planning process. It involves checking the cash flow statement for income and expenses and to budget the right amount for college savings. The most utilized investment vehicles include Education Savings Accounts and state 529 plans among others. Less frequently used are UGMA and UTMA accounts. There are income tax tuition credits and deductions to take advantage of when filing income taxes. The American Opportunity tax credit and the lifetime learning credits are available as a deduction to your income tax. There is no one single savings amount or vehicle that works for everyone. Some families plan to send their kids to a community college for the first two years to save money and then transfer their kids to a university. Other parents wish for their kids to start an Ivy League college right away and want to save to pay for their tuition. There is a tuition financial solution for every family and I will help you find it and save to meet your educational goals for your children.

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Katto Financial LLC is a financial advisory firm registered in the states of Florida and Michigan. Mike Katto is a CERTIFIED FINANCIAL PLANNERTM and a Registered Investment Advisory Representative

email:                         phone: (248) 835-9112      or (941) 249-5099                           fax:(419) 858-4570                       23261 Lehigh AV. Port Charlotte, FL 33954