College Savings Plan Offered to Babies Born in 2010

By Jennifer Pierce, NEWS 9

OKLAHOMA CITY -- The cost of education goes up every year, so the time to think about saving is before your child is even born.

The Oklahoma College Savings Plan is giving one baby born this year a $5,500 head start on his or her education.

Preparing for a little one can be overwhelming. Most couples have the added expense of the crib and all the furnishings. But, Standish has a generous family.

"My brother bought the crib, my mom made the curtains and gave us this," Standish said.

But, there's something else on her mind; how will her child go to college?

"I've definitely thought about it," said Standish. "We don't have any preparations or plans in place at this point."

The state is encouraging soon-to-be-parents to start saving before their baby is born.

"Even if it's as little as $50 a month, it will add up over time," Oklahoma State Treasurer Scott Meacham said.

The Oklahoma College Savings Plan is working with hospitals to get the word out. Volunteers are stuffing mommy bags full of going home goodies including a chance to win more than $5,000 for their baby's education. It is a great opportunity in a tough economy.

"It would be extremely helpful," Standish said.

But even if they don't win the money, the state treasurer says starting a savings plan is a tax break for your tax break.

"It grows free of any state or federal taxes and when you take it out and pay for college expenses there is no tax at all," Meacham said.

Not all hospitals are participating in the giveaway, parents and grandparents can go to http://www.ok4saving.org/ to find out what hospitals are participating.