Financing their children’s college education is a topic that regularly comes up in mediation. There is a new college investment plan that many of our clients are using. A 529 Plan is an investment plan operated by a state, designed to help families save for future college costs. As long the plan satisfies a few basic requirements, the federal tax law provides special tax benefits. The State of Arizona offers such a flexible, tax-advantaged program - CHET, Connecticut's College Savings Program. CHET savings may be used at schools nationwide. Anyone may open an account. There are no income limits. There are contribution limits. Under CHET, you open an account on behalf of a designated beneficiary. Your account contributions are placed in a trust and may be allocated for investment in any one or a combination of investment options. CHET offers three investment choices. Earnings on any distributions used to pay for a beneficiary's qualified higher education expenses will be free from federal income tax. CHET withdrawals for qualified expenses have always been free from Connecticut income tax. There are no sales charges and no application fees. An annual asset-based management fee is paid to cover the cost of investment management and administrative services. This fee will not exceed 0.79% of the average daily net assets. CHET is supervised by the Connecticut State Treasurer as Trustee of the Program Trust. TIAA-CREF Tuition Financing, Inc. (TFI) serves as CHET's program manager. TFI, an SEC-registered investment advisor, manages CHET investments and provides investment advisory services. If you want additional information about CHET and 529 Plans log on to Connecticut website www.aboutchet.com.