How does the START Saving Program work?

The START Saving Program was created by the State of Louisiana. Its main purpose is to help families contend with the future high costs of their children’s or grandchildren’s college or vocational education. Parents, grandparents, and others who want to assist in funding a child’s education are encouraged to establish an education savings account through the START Saving Program for each child (the account beneficiary) and to make regular deposits to those accounts. In addition to deposits made by account owners, the state allocates Earnings Enhancements (state matching grant dollars) to eligible accounts. Both account owner deposits and Earnings Enhancements are invested to earn interest and maximize the value of every dollar saved. Account owners may select one or more investment funds ranging from the very conservative Principal Protection Fund (fixed income) to more aggressive equity funds offered through the Vanguard Group. Upon the beneficiary’s enrollment into an approved postsecondary institution, funds are disbursed to cover their Qualified Higher Education Expenses (QHEE), which include tuition, fees, books, supplies, certain required equipment, reasonable charges for room and board , and special needs services.