When you have young children, you are busy and typically more concerned with their immediate needs – like meals and diapers – than you are with saving money for their future. But the earlier you start, the more you can save to provide them with the money they’ll need for education expenses.
And Fisher-Price has a plan to make it easy.
The company has been committed to helping parents care for their children’s needs for over 90 years, and now, with the new Fisher-Price College Savings Card, it can also help you set your children up for a bright future.
Here’s a summary of the card’s key benefits:
- 2% cash back on purchases when deposited into a 529 education savings plan (1% cash back if not deposited into a 529 plan).
- $50 bonus reward when you make $250 in purchases in the first three months and you deposit rewards into a 529 plan.
- No cap on rewards.
- No annual fee.
Keep reading to learn more about this exciting new card option.
Details on the Fisher-Price College Savings Card
The Fisher-Price College Savings Card was designed to help families turn everyday spending into college savings. You can use the card for everyday purchases and earn 2% cash back on every dollar spent when you deposit into a 529 college savings plan. You can link an existing plan (or multiple plans) or learn how to set up a new plan by following the easy steps on the college savings website.
A 529 plan makes saving for education expenses simple. For 2023, you can contribute up to $17,000 gift-tax-free per child per year. When you are ready to withdraw those funds for education expenses like tuition, room and board, and books, you can do so without paying tax on the earnings.
The Fisher-Price College Savings Card makes the process even easier by depositing 2% of every dollar spent directly into your child’s 529 account. Using the card for everyday expenses like gas, groceries, automatic bill payments and dining out (and diapers and formula, of course) helps you put more money toward your child’s college education.
There is no annual fee and no category restrictions to keep track of — just unlimited rewards that can help you save money for your child’s education.
Kick-start your college savings now
The current average cost of tuition and fees at an in-state public college is just over $10,000 per year, according to U.S. News & World Report. If your child is still in diapers, that number is only going to get higher, and the earlier you start saving, the better.
To help you get started, the Fisher-Price College Savings Card will also deposit an extra $50 in rewards into your linked 529 plan after you make $250 in purchases during the first three months of card ownership. These are additional funds you can put toward your child’s future just by making everyday purchases.
The Fisher-Price College Savings Card doesn’t just make saving for your child’s future education expenses simple; it also offers flexibility and the opportunity for friends and family to contribute. When you invite your friends and family to sign up for the card and link them to your child’s 529 plan, they too can earn 2% back that can go directly into your child’s college savings account. This allows you to amplify savings for your child (or children).
529s themselves make saving for college flexible. Most plans allow you to change the beneficiary to any qualifying family member without penalty. Regardless of the beneficiary, if you use the funds for qualifying education expenses, you can withdraw your earnings tax-free.
Other features of the card
The Fisher-Price College Savings Card doesn’t impose foreign transaction fees, so it’s a great option to use outside the U.S. And as a Mastercard, you’ll be able to use it anywhere Mastercard is accepted around the world.
Should you choose not to enroll your child in a 529 education savings plan, you can still earn cash back at a rate of 1% on every purchase and a $25 rewards bonus after making $250 in purchases during the first three months of card ownership.
Your child’s college education may seem like something in the distant future, but, like every milestone your child will accomplish over the years, it’ll be here before you know it. Set them up for success by saving for the future now while they are still young.
That is what makes the Fisher-Price College Savings Card so deserving of a spot in your wallet. While your current focus may be on meals and diapers for your child, you can turn the money you spend on those necessities into savings for your child’s education.
Click here to learn more about the card.