TNStars is designed to give Tennessee families high-quality investment options at a low cost to help them put aside money starting as early as the birth of their child to go toward higher education expenses.
- Families can invest directly with the program and money can be withdrawn tax-free to pay for qualified education expenses like tuition, housing, books and more.
- Small amounts add up. A child with school savings prior to reaching college age is over three times more likely to enroll in college and four times more likely to graduate from college than a child with no savings account.
- With TNStars, you can use your money at any school that accepts federal financial aid including Four-year Universities, Private Colleges, Community Colleges, Trade or Technical Schools, both in-State or Out-of-State.
- Get your little ones on the right path by simply opening a dedicated college savings account for each child. The TNStars College Savings 529 Program makes it easy. An account can be opened at TNStars.com in 15 minutes with as little as $25.
- You can put the power of compounding interest to work for you. Start now at TNStars.com.
Get an extra $1,500 toward your child’s college savings through TIPS 4-to-1 match
Eligible Tennesseans can also take advantage of an extra $1,500 to jumpstart their children’s college savings through the Tennessee Investments Preparing Scholars (TIPS) program.
A program of the Tennessee Department of Treasury, TIPS encourages families to save for the growing costs associated with postsecondary education by offering a 4-to-1 matching grant. The program was created to encourage Tennessee residents meeting certain household income requirements to invest in their child’s future education through TNStars.
- When a qualifying family establishes a TNStars account and enrolls a child 14 years or younger in the TIPS program, the state will provide a 4-to-1 matching contribution.
- Eligible families can receive up to $500 a year with a lifetime maximum match of $1,500 per child.
- For example, a minimum $25 contribution would receive a $100 match.
- Families who start saving at least $25 per month would receive the full $500 annual match, turning $125 into $625.
To see if you or someone you know is eligible for TIPS, visit Treasury.TN.gov/TIPS.