Having made a number of changes to its 529 college savings plan in 2006, Missouri announced Thursday that assets in its plan have now topped $1 billion.
“In 2006, we made several significant changes to MOST’s [Missouri’s college savings plan] direct plan,” said Missouri State Treasurer Sarah Steelman, “adding new investment choices from Vanguard and American Century, lowering costs and linking to the free Upromise rewards service. All of these enhancements, combined with federal legislation passed last summer that protects the tax benefits of 529 plans, have given families in Missouri a wonderful way to save for their children’s education.”
Missouri made these changes in June 2006, and since then, assets have risen 15%. Specifically, the plan now offers 18 investment options, including three age-based options. Previously, the plan offered only three choices in total. The investment management fee is now only 62 basis points, making it one of the least expensive 529 plans in the nation.