Educational Planning

Maryland College Investment Plan

Working together with our clients, we have introduced them to The College Investment Plan. It is a great way to give students more educational options and offers many advantages, including pre-structured investment options with management by T. Rowe Price, the firm selected by the state of Maryland for its approved plan.

Which Investment Track is Best for You?

There’s no set investment strategy that works for everyone. This is why The College Investment Plan offers a range of investment options, including Enrollment-Based Portfolios and Fixed Portfolios. You can invest in either track or use a combination of both. The team at Grant/GrossMendelsohn can help you choose the path that will work best with your overall investment goals.

Investment Options

Enrollment-Based Portfolios are tailored to a student’s expected year of college enrollment and are periodically adjusted to become more conservatively invested as the student gets closer to entering college. There are eight Enrollment-Based Portfolios, ranging from 100% stock funds to a conservative allocation plan.

Fixed Portfolios invest in a pre-determined mix of stocks and/or bonds, and the investment mix remains constant. There are five Fixed Portfolios to choose from, and depending on your goals and risk tolerance, Grant/GrossMendelsohn will help you choose a more aggressively invested Equity Portfolio, a more conservative Short-Term Bond Portfolio, or something in between.

The Power of Tax Deferral

With college costs rapidly rising, it’s important to take advantage of opportunities to increase your savings potential. The money in your account grows tax-deferred, so any earnings have a chance to compound faster than in a taxable account. In addition, any earnings are Maryland and federally tax-free when used toward eligible college expenses.

Feel free to contact Grant/GrossMendelsohn with any questions regarding The Maryland College Investment Plan via info@ggmwealthadvisors.com. Or visit www.collegesavingsmd.org for additional information.