MEFA’s U.Fund, the Massachusetts 529 college savings plan, combines significant tax advantages and age-based savings strategies managed professionally by MEFA’s partner, Fidelity Investments. A 529 college savings plan lets you save for higher education expenses at colleges and universities across the country, with flexible and affordable savings options.
It’s simple.
Leave the investments up to us by selecting a 529 savings portfolio based on your child’s age. You can also tailor your strategy based on your risk tolerance, or customize your U.Fund account by choosing your own portfolios.
It’s flexible.
Use the money in your U.Fund college savings account at any accredited college or university in the United States and some eligible foreign institutions. Your 529 savings can be applied to a wide range of qualified education expenses, not just tuition and fees. If one child doesn’t use the money, you can change the beneficiary to another eligible family member of the original beneficiary.
It’s affordable.
There’s no annual account fee, no income restrictions, and you can start saving with as little as $15 a month. Contributions can be made automatically from your bank account.
It’s tax-advantaged.
You don’t pay taxes on any earnings in your U.Fund 529 savings account as it grows. When you withdraw money to pay for qualified higher education expenses – like tuition, fees, room and board, books, and more – you don’t pay federal or Massachusetts state income tax.
Open a U.Fund account with only $50. If you set up automatic monthly payments, you can contribute as little as $15 a month with no initial investment.
Ready to get started?
Visit Fidelity Investments to request a U.Fund 529 enrollment kit and start saving today. If you have questions, view Fidelity's FAQ's.
The U.Fund 529 College Savings Plan offers a variety of investment options, including:
Age-Based Portfolios invest in portfolios that are managed to a beneficiary's birth year. Fidelity offers three Age-Based Investment Options that adjust their asset allocations automatically, becoming more conservative as the beneficiary nears college age. These options provide access to Fidelity Funds, Fidelity Index Funds, and Multi-Firm Funds.
Static Portfolios invest in several different funds managed by Fidelity and have an asset mix that doesn't change over time. You may choose between portfolios invested in Fidelity Funds or Fidelity Index Funds. In Fidelity Fund Age-Based Portfolios, research and investment decisions are handled by Fidelity fund managers, Fidelity Index Age-Based Portfolios seek to mirror the performance of an index by investing in some or all of the securities contained in that index. This helps reduce management fees.
Individual Fund Portfolios invest in a single fund which may include equity, income and money market funds.
The Bank Deposit Portfolio seeks the preservation of Capital.
The Portfolio is comprised exclusively of a deposit in a FDIC-insured interest bearing bank account.
