You can open an account and begin the process of saving with any amount, but the minimum to purchase a U.Plan Tuition Certificate is $300. If you have at least $300 in your account at the time of the bond purchase in mid-July, your contributions will be used to purchase Tuition Certificates and will lock in that percentage of tuition and fees at each participating Massachusetts college and university. If you do not have $300 in your account at the time of the bond purchase, then your funds will remain in your money market account and will not be used to purchase U.Plan certificates that year.

A college savings plan is any type of savings plan that allows you to save for future college expenses by setting aside money today. Massachusetts offers two college savings plan options, both with tax advantages: the U.Fund 529 College Investing Plan and the U.Plan Prepaid Tuition Program. The U.Fund provides different investment options and can be used at practically any college or university in the country for undergraduate or graduate education. The U.Plan allows you to lock in current rates on mandatory tuition and fees at over 70 colleges and universities in Massachusetts and is for undergraduate education.

Tuition Certificates are valid for six years after the maturity year. If your Tuition Certificate matures and your child has not yet started college, you can simply hold on to it and use it the following year.

Since the U.Plan bonds don’t become liquid until your chosen maturity year, accessing U.Plan money early is more difficult. We will work with customers to honor their request if possible but we cannot guarantee that customers can access their U.Plan funds before they mature.

The 1099-DIV and 1099-OID from the U.Plan will be mailed out each year by January 31st, and will also be available to view at that time within your online account. The 1099-DIV reflects your earnings on any U.Plan savings invested in a money market mutual fund. MEFA will only mail a 1099-DIV if your earnings equal or exceed $10. The 1099-OID lists the increase in value that a Tuition Certificate has demonstrated since its original issue. The reported number depends on whether the certificate was used and how.

If interest calculated at CPI outpaces the rise of tuition, we will cash out the Tuition Certificate to the owner. The U.Plan will always pay the highest value of the Tuition Certificate to the school or owner.

If a student does not attend a participating college or university, you have three options:

1. You can wait and see if the student’s plans change. Certificates are valid for six years after the maturity year.
2. You can transfer the role of Beneficiary to another student within the family.
3. You can cash out the funds. The owner will receive the funds that were invested in the plan plus interest calculated at the Consumer Price Index (CPI). There are no federal or Massachusetts tax consequences associated with cash-outs, but if you live outside Massachusetts, please consult the laws of your state of residence.

1. Log in to your account online.
2. Select Redemption in the left-hand sidebar.
3. Select the appropriate U.Plan account in the drop-down bar and indicate whether you need the funds sent to the institution or the account owner and then provide the requested information.
4. On the next Order Review screen you’ll be given the dates of when your funds will be sent.
5. If you have questions, you can reach a U.Plan expert by calling (888) 590-5653.
6. You can also watch an instructional video on making a distribution from your U.Plan account here.

When you save in the U.Plan, every single dollar you contribute goes directly toward your child’s future college costs. You won’t ever pay an application, account, or management fee.

If a college joins the program at a later date, it must honor Tuition Certificates purchased since the program started in 1995. If a school drops out of the program, it must honor all Tuition Certificates purchased prior to the year it withdrew from the program.

No. Both residents and non-residents of Massachusetts may save with the U.Plan.

While Tuition Certificates must be designated by the owner for use by a specific child, they may be transferred within the owner’s family. You may request a change of ownership or Beneficiary by notifying the U.Plan in writing or by downloading the Ownership Change Request Form or Beneficiary Change Request Form at mefa.org/uplan.

Tuition Certificates are structured for use by full-time students at participating institutions. Use of Tuition Certificates to pay for courses taken by part-time or continuing education matriculating students, or students in certificate programs, is dependent on the approval of the particular participating institution. Please check with your college or university to see if funds may be used in these situations.

Log in to your U.Plan account to access a wide array of forms related to the program. These include:

• Account Owner Change Form
• Account Statement
• Address Change Form
• Bank Information and AIP Form
• Beneficiary Change Form
• Distribution Request Form
• Early Withdrawal Form
• Maturity Year Change Request Form
• New Account Owner Form
• Purchase Request Form