April is Financial Literacy Month, the perfect time to learn about and plan for financial stability and success. Established more than two decades ago, Financial Literacy Month promotes financial wellness by promoting financial literacy and education for all Americans. There are many ways to better understand and enhance one’s financial situation, from reevaluating or establishing monthly budgets, to tackling debt and evaluating savings options. 

According to Standard & Poor's Ratings Services Global Financial Literacy Survey, only 57% of adults in the US are considered financially literate. While most Americans are making decisions with financial impact, roughly half are equipped with financial know-how. 

In partnership with Tutor Doctor, The Education PlanⓇ created financial literacy basics materials that include topics like; What is a Bank, Fun with Budgeting Your Money, Checking vs. Savings Accounts, Understanding Paychecks and Saving for College. Each module includes a quiz that users can take to test their knowledge of the topics. The Education Plan is a 529 education savings program sponsored by the State of New Mexico and administered by the New Mexico Education Trust Board.

One smart savings option families can incorporate into their financial toolkit is a 529 education savings plan. A 529 education savings plan allows families, friends, and relatives to easily contribute to a loved one’s educational future. A 529 plan offers tax-advantaged savings. Funds in 529 education savings plans grow tax-free, and qualified withdrawals are tax-free. Additionally, many states offer state tax deductions or credits for contributions to 529 plans. Qualified expenses include tuition and fees, room and board, books and supplies, computers and internet, K-12 tuition, student loans, apprenticeship expenses, and more. 

529 plans are easy to set up, as well. Families can open a 529 account with no minimum contribution required and contributions can be made at any time through a one-time gift or regular automatic contributions. Anyone in the US, age 18 with a social security number or tax identification number, can open an account with The Education Plan.
 
The Education Plan equips families with information and resources to navigate the complexities of education financing, helping them make informed decisions and develop an education savings strategy aligned with their financial goals. The Education Plan website provides online tools such as a glossary of terms, tax benefit information, a detailed FAQ, and a help center that allows people to access information when it’s convenient for them.

“During Financial Literacy Month, we believe every family deserves the ability to obtain the knowledge and skills needed to make informed financial decisions,” said Natalie Cordova, Executive Director of the New Mexico Education Trust Board, the organization that administers The Education Plan. “We have a wealth of information on our website providing information and education, with focus on 529 savings plans.”

For more information about The Education PlanⓇ, visit www.TheEducationPlan.com.