EDUCATION SAVINGS PLANS

Build a Plan

Now that you know the number, create a plan to reach it. Read through the product comparisons below to determine the option that best meets your needs. Remember to be realistic with your savings based on your current budget, knowing the plan can be adjusted over time.

Want to Talk to Someone?

Registered State Farm® agents are ready to help you with your education plan. Find an agent near you and set up an appointment today.

How Others Are Planning

Not sure which products might be right for you? Read other's stories below and see how they are planning their futures.

Family Getting Started

This couple is in their late twenties and are the parents of a three-year-old. They're both employed with a household income of $85K, which helps them pay down their student loan debt and credit card debt.

Here's their education plan:

Financial Goals

Short Term

  • Pay off credit card debt
  • Save for first home
  • Reduce student loan debt

Long–Term

  • Save for retirement
  • Save for daughter's college

Family with Multiple Goals

This couple is in their late thirties with two kids: a ten-year-old and a six-year-old. The family is a single-income household earning $90K to take care of the family and to help pay down their mortgage. They have taxable savings and tax-advantaged retirement savings (401(k) and IRA).

Here's their education plan:

Single Parent Family with Multiple Goals

Single parent is 50 years old with two kids: a 17-year-old and a 12-year-old. She's self-employed with an income of $180K to help pay down the remaining balance in her mortgage. She has taxable savings, 529 Plans for her children, life insurance, and tax-advantaged retirement savings (401(k) and IRA).

Here's her education plan:

Research for Yourself

Take time to review each of the product options below. The link at the bottom of each column will direct you to more information about each specific plan. Once you're ready to select a plan, download the plan's form and fill in your information online.

Savings Options

1 Modified Adjusted Gross Income (or MAGI) is calculated by adding certain items back to an individual's adjusted gross income. Items added include, but are not limited to student loan deductions, deductions for higher education expenses, IRA-contribution deductions, and foreign income.

2 Usually 18 or 21 years, but in some states, it's 25.

Note:
This is a Marketing tool intended for use in the sale of insurance. Completion of an application for a State Farm insurance policy will require contact with a State Farm agent. The information provides brief, general description of coverage provided by these policies. It is not a contract and certain exclusions and limitations apply. A complete statement of coverage provided is found only in the policy itself. Policy coverages, exclusions and limitations may vary in some states.

Next Step: What's Next

Risk Disclosures

Investing involves risk, including potential for loss.

Unpaid loans and withdrawals will reduce the death benefit and the policy's cash value. Withdrawals also will reduce the policy account value/cash surrender value. Loans accrue interest.

AP2013/11/2172

Not FDIC Insured

  • No Bank Guarantee
  • May Lose Value

State Farm Bank®, Bloomington, Illinois, is a Member FDIC and Equal Housing Lender. NMLS ID 139716. The other products offered by affiliate companies of State Farm Bank are not FDIC insured, not a State Farm Bank obligation or guaranteed by State Farm Bank, and subject to investment risk, including possible loss of principal invested. Contact State Farm Bank toll-free at 877-SF4-BANK (877-734-2265). Callers who are hearing or speech impaired should dial 711 or use a preferred Telecommunications Relay Service.

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