4 NEW Ways YOU Can Afford Private School!

An independent school education may be more affordable than you think.

Thousands of parents do it, and they’re not all millionaires or trust-fund heirs. How do they do it?  Many pay for private schools by the sheer force of persistence and determined budgeting. Even more of them have learned how to use every available tool and resource out there.  

Do you know that there are several NEW ways to afford private school in New Hampshire?

 

  1. Flexible Tuition Programs

Tuition rates at Southern NH Montessori Academy and the NH School of Applied Learning are determined based upon affordability. Flexible Tuition allows families to apply for reduced tuition that is right for their unique financial situations. It’s a range that spans from 25-100% of the actual cost of education. Thus, this makes education at SNHEC affordable to many qualified students who could not otherwise join our school community. Don’t be shy! A common misconception is that school based tuition assistance is only for a few families. However, many private schools – like Southern NH Montessori Academy and the NH School of Applied Learning – welcome ALL of their families, regardless of income, to apply for tuition assistance.

For more information about our Flexible Tuition programs, visit the Flexible Tuition page or call our office today (603)818.8713. We would love to help you!

 

  1. Foundation-Based Tuition Assistance

The NH Children’s Scholarship Fund provides scholarships for New Hampshire students who are struggling in their current public school to allow them to attend a private school that is a better fit for them and their learning needs.

Scholarships are awarded to students based on the metrics in the Education Tax Credit law, financial need (income and family size), and funds raised for tuition for a private school (listed here) or for homeschooling expenses. Submitting an application is not a guarantee of an award. Families are notified if they are awarded scholarships.

For more information, visit NH Children’s Scholarship Fund or call (888) 325-1776 and speak to either Kathy Rago, Program Manager or Kate Baker, Executive Director.

 

  1. Recent tax changes to 529 laws

The Tax Cuts and Jobs Act has expanded the use of 529 plans in 2018 – accounts that allow savers to accumulate money and pay for college on a tax-free basis – to include elementary and secondary school expenses at public, private or religious institutions.

That means individuals can take up to $10,000 in distributions annually from their 529 plans to pay for private school tuition and books through 12th grade – in addition to using their account proceeds for college costs.

  • Starting in 2018, you can use up to $10,000 in 529 plan proceeds for elementary through high school costs.
  • 529 plan contributions qualify for the $15,000 annual gift tax exclusion.
  • More than 30 states allow income tax deductions for 529 plan contributions.

Of note, there are two (2) other Education Savings Programs that can be used to allocate money for educational expenses, each of them have specific guidelines. for your reference:

Coverdell Education Savings Account and The Uniform Gifts to Minors Act (UGMA) and the Uniform Transfers to Minors Act (UTMA)

You are encouraged to talk to your tax accountant and a financial advisor regarding your personal situation to help better understand your options that suit your individual situation.

 

  1. School Choice – Educational Savings Account

Presently, under consideration in the state of NH, Senate Bill 193 is a voucher-like system for families who remove their children from public school and are able to claim upward of $3,500 in state money for an education savings account to spend on private education or home schooling. To date, the proposed bill has gone through many iterations and is under review by the House Finance Committee. More information can be found: https://legiscan.com/NH/bill/SB193/2018

 

USEFUL LINKS:

IRS Rules on Gift Tax and Education Exclusion

Edchoice.org – Resource Hub

 

In short, there are OPTIONS and they meet VARYING needs…

Let us help YOU find a way to provide the BEST educational option for your child! Wherever that may be…

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