Vanguard Study on Saving for Higher Education
A recent Vanguard survey, conducted in partnership with Logica Research, reveals that while higher education is a top priority for many Americans, there is confusion and uncertainty about how to fund it. The study specifically looked at perspectives on higher education and the usage of 529 plans. Some of the main findings from “Higher Education Perspectives & The State of Saving” research include:
The study found that 75% of Americans believe higher education is crucial for future financial success. Overall though, respondents expressed uncertainty in how exactly to save for or fund college education.
Specifically the Vanguard survey looked at 529 educational savings plans. The insights showed that Millennials and Gen Zers, the next in line to fund higher education, know the least about 529 plans. Findings also showed that people often misunderstand how 529 plans work and how much they need to save.
For those that are taking advantage of 529 plans, they reported finding this savings route attractive due to flexibility in spending and use—even if a child doesn’t pursue higher education.
The findings of the study, “Higher Education Perspectives & The State of Saving,” are also presented in this infographic. Educating more people about the benefits and workings of 529 plans can help make higher education a more attainable goal for future generations.
To learn more about the Vanguard study, or how you can take a deep dive into a relevant topic for your next thought leadership outreach, contact us.