Change will help more Michiganders pursue their potential, help state achieve its broader ‘Sixty by 30’ goal to have 60% of working age adults with postsecondary education or skills
LANSING, Mich. — Governor Gretchen Whitmer today announced that the Michigan Education Trust (MET) is lowering the rates of its contracts so families will realize significant savings the earlier they start saving for a college education.
“Today’s decision by the MET Board lowers costs for working families and helps us put Michiganders first by empowering them to pursue their potential,” Whitmer said. “On top of Michigan Reconnect, Futures for Frontliners and other initiatives, setting the MET contract prices lower today will help us achieve our Sixty by 30 goal to increase the number of working-age adults with a skill certificate or college degree to 60% by 2030 and put more Michiganders on a path to attain the education and skills they need to get better jobs and earn bigger paychecks. I applaud the MET Board for its action, and I urge any family interested in saving for education to start.”
A prudent investment strategy over the last decade has resulted in a record surplus for the MET, which can be used to invest in Michiganders. At their meeting on November 16, the MET Board of Directors unanimously agreed that the surplus should be used to help more Michigan children access a college education that will help them prepare to compete in a modern workforce and solve future challenges. MET last offered reduced pricing in 2007.
“We are constantly striving to deliver to parents, grandparents and others a safe, secure and flexible way to make sure their loved ones meet their higher education goals,” said State Treasurer Rachael Eubanks, who also serves on the MET Board of Directors.
“While the new price structure will make it easier for those with young children to save, MET will continue to provide families with older children advantages as they work and plan to help them pursue their dreams,” Eubanks added.
“As a dad with three young kids, I know that saving for college is a crucial investment for so many Michigan families,” said Lt. Governor Garlin Gilchrist II. “A good education enriches a student’s life, unlocks better jobs and results in more lifetime income. Today’s action by the Michigan Education Trust will make it easier for working families to save, helping them share in the prosperity we are working hard to build in Michigan and giving students throughout Michigan a chance to explore and live up to their full potential. Through lower MET contract prices and the fully funded Michigan Reconnect and Futures for Frontliners Programs, Governor Whitmer and I are committed to boosting the number of Michiganders with postsecondary degrees or certificates and helping every Michigander achieve their educational goals.”
In addition, MET will offer a $150 match on the first 200 contracts purchased for new beneficiaries in December. Eligibility and rules are posted at SETwithMET.com along with pricing details. Families who make a MET purchase by December 31 will qualify for a deduction on their 2021 Michigan tax returns.
About the Michigan Education Trust
Administered by the Michigan Department of Treasury, MET lets families pay today’s prices for future higher education costs. Signed into law in 1986, it was the first prepaid tuition program in the nation.
More than 96% of high school graduates participating in MET have attended a college, university or technical school.
There are three types of MET plans: the full benefits plan, the limited benefits plan and the community college plan. Families can purchase one plan or mix and match options.
MET benefits can be used for postsecondary education at universities, colleges and technical schools. If a child chooses to attend a private Michigan school or out-of-state college or university, funds can be directed to that institution. MET benefits may also be transferred to other eligible family members and are refundable if the student does not attend college.
Parents, grandparents or other family and friends can make MET contributions on behalf of beneficiaries. MET has flexible and convenient payment options that allow purchasers to pay as they go, pay all at once or make monthly payments.
Contributions to MET plans are tax deductible on Michigan tax returns. Earnings are tax exempt if they are used for higher education.
More information about MET, including one-on-one consultation sessions with MET experts, is available at SETwithMET.com, 800-MET-4-KID or treasMET@Michigan.gov.