Texas families can lock in the cost of undergraduate resident tuition and schoolwide, required fees at Texas public colleges and universities by enrolling their children in the tax-advantaged Texas Tuition Promise Fund before the close of the current general enrollment period on Feb. 29.
The Texas Tuition Promise Fund, the state’s prepaid college tuition program, allows participants to prepay undergraduate resident tuition and schoolwide, required fees by purchasing tuition units towards a four-year degree, two-year degree or just a few classes. For additional flexibility and portability, tuition units also can be used out-of-plan at Texas medical and dental schools, Texas private colleges and universities, out-of-state colleges and universities, career schools and registered apprenticeship programs where tuition and schoolwide, required fees are not locked in and the benefits and payouts would be based on the transfer value of the units.
“I’m encouraging Texas families and individuals to remember the upcoming leap day deadline to prepay and lock in today’s rates for all or some future tuition at two-year and four-year Texas public colleges and universities,” Texas Comptroller Glenn Hegar said. “The Texas Tuition Promise Fund has a range of payment options giving folks the flexibility they need to plan ahead and provide future opportunities for their children, grandchildren and other loved ones.”
While the general enrollment period ends Feb. 29, the enrollment period for children younger than one-year-old at 2023-24 prices is extended through July 31. The next general enrollment period begins on Sept. 1, with new contract prices based on Texas public college tuition and schoolwide, required fee costs for the 2024-25 academic year.
Complete plan information including residency and other requirements, current prices, enrollment forms and more is available online at TuitionPromise.org, or by calling 800-445-GRAD (4723), option five.
The program’s outreach team also offers free webinars that provide an overview of the plan and discuss the different tuition unit types and payment options, as well as information about Texas Match the Promise Foundation matching scholarship opportunities.
Transfer Value applies to tuition redemption at Texas medical and dental schools, Texas private colleges and universities, out-of-state colleges and universities, career schools and registered apprenticeship programs. Transfer Value is limited to the lesser of the costs the tuition unit would cover at a Texas public college or university, or the original purchase price of the tuition unit plus or minus the Plan’s net investment earnings or losses on that amount.
Residency restrictions, age requirements, eligibility criteria, household income restrictions and contribution requirements apply. Match the Promise Foundation scholarships can only be used at Texas public colleges and universities, and Transfer Value cannot be utilized.
The Texas Tuition Promise Fund is administered by the Texas Prepaid Higher Education Tuition Board. Orion Advisor Solutions, Inc. is the manager of the Plan, which is maintained by Catalis Regulatory and Compliance, LLC, who is not affiliated with Orion. The Plan and the Board do not provide legal, financial, or tax advice.
Non-residents of Texas should consider whether their home state, or the beneficiary’s home state, offers its residents any tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for participants in that state’s plan.
Participation in the plan does not guarantee admission to or graduation from any college or university. Only the purchaser may direct redemptions, withdrawals, changes in beneficiary, or other contract changes.