Prepaid college tution plan available

Nationwide, college tuition has increased 234 percent in the past 15 years. Now, through recently enacted legislation, Mississippi families can beat the rising cost of a college education.

The Mississippi Prepaid Affordable College Tuition Plan (MPACT) allows state residents to lock in tuition and fees for future enrollment. For example, with a one-time payment of $9,141, a newborn enrolled in the program would have covered tuition and fees for a four-year Mississippi public university education. As an option, an extended payment plan of $80 per month will achieve the same results.

A one-time payment of $1,867 will pay for tuition and fees for two years at an in-state, public community or junior college, or monthly payments of $10 will pay for one year.

MPACT contracts are guaranteed by the state of Mississippi, and participating families do not have to indicate which college their child will attend. MPACT is transferrable to private in-state colleges, as well as out-of-state private and public colleges. A number of payment schedules exist for children of all ages.

Payments to the program are tax deductible for state income tax purposes, and interest earnings are tax exempt at the state level. On the federal level, they are tax deferrable until the time of withdrawal, and then only taxable at low student tax rates.

The enrollment period runs through April 30, 1997. To enroll or to receive more information, call 1-888-308-1997 toll free; Jackson area, call 354-6800. Or write: MPACT College Tuition, P.O. Box 120, Jackson, MS 39205-0120.