08-09-2018 Columns

How can you help your kids pay for college? It’s still summer, but we’re getting close to a new school year. One day, though, “back-to-school” will mean “off to college” for your children. Will you be financially prepared to help your kids cope with the costs of higher education? Your first step, of course, is to know what you’re up against, so here are some numbers: For the 2017-18 academic year, college costs (tuition, fees, room and board) were, on average, nearly $21,000 for in-state students at four-year, public schools and nearly $47,000 for students attending private colleges or universities, according to the College Board. And you can probably expect even bigger price tags in the years to come. To help prepare for these costs, you might want to consider putting your money in a vehicle specifically designed to help build assets for college, such as a 529 education savings plan. All withdrawals from 529 plans are free from federal income taxes as long as the beneficiary you’ve named uses the money for qualified college, trade school or graduate school expenses. Withdrawals for expenses other than qualified education expenditures may be subject to federal, state and penalty taxes on the earnings portion of your plan. (However, tax issues for 529 savings plans can be complex, so please consult your tax advisor before investing.) You can generally invest in the 529 savings plan offered by any state, but if you invest in your own state’s plan, you may be able to claim a tax deduction or receive a tax credit. By starting your 529 plan early, when your children are just a few years old, the investments within the plan have more time for potential growth. Plus, you can make smaller contributions each year, rather than come up with big lump sums later on. A 529 plan is not the only education-savings tool you can use, but it has proven effective for many people. Yet you may also want to consider ways to keep college costs down in the first place. For one thing, your children may be eligible for various forms of financial aid. Some types of aid depend on your family’s income, but others, such as merit-based scholarships, are open to everyone. But you don’t have to wait until you get an offer from a school’s financial aid office – you can explore some opportunities on your own. For example, many local and national civic and religious groups offer scholarships to promising young people, and your own employer may even provide some types of grants or assistance. Plus, your state also may offer other benefits, such as financial aid or scholarship funds. It can certainly take some digging to find these funding sources, but the effort can be worthwhile. Here’s another option for reducing college costs: Consider sending your child to a local community college for two years to get many of the “general” requirements out of the way before transferring to a four-year school for a bachelor’s degree. Community colleges are typically quite affordable, and many of them offer high-quality programs. A college degree is costly, but many people feel it’s still a great investment in their children’s future. And by taking the appropriate steps, you can help launch that investment. This article was written by Edward Jones for use by your local Edward Jones Financial Advisor.

Be alert for phone and text scams Scam artists are becoming bolder in their demands and cleverer in disguising who they are. I urge all area taxpayers, especially targeted populations, like our seniors, to look out for phone and text message scams. Cybercriminals continue to use tax scams that include impersonating state or federal tax officials, claiming residents owe taxes and demanding immediate payment. The best way to protect yourself is to never give out credit or debit card numbers or other sensitive information to anyone claiming to be from the IRS or the Department of Treasury. They will never ask for that information over the phone. Attorney General Bill Schuette also announced a new consumer alert on “smishing.” Similar to email phishing scams, smishing is when a scammer sends text messages to consumers appearing to be from a trusted source in an attempt to get you to give them personal information or to click on links that install malware. A common scam text falsely warns about a problem with your account and asks for your information to correct it. Another scam text pitches attractive offers like free gifts and trips. To ensure you do not become a victim of identity theft or download harmful malware, do not click on any links or provide any information if you receive a text from a suspicious number. Instead, you should report it, delete the text and block the number. Many mobile carriers allow you to report spam texts by forwarding them to 7726 free of charge. Consumers can also report smishing texts to the Federal Communications Commission at 888-225-5322. As always, I look forward to hearing your comments and feedback on the important issues facing Michigan. You can contact me at 517-373-6960.

PFAS data needs to be released Last Wednesday, I sent a letter to General Joseph Lengyel, Chief of the National Guard Bureau and Lieutenant General L. Scott Rice, Director of the Air National Guard, urging the swift release of data related to PFAS contamination testing at the W.K. Kellogg Air National Guard Base in Battle Creek, Michigan, as well as any plans to remediate possible contamination. PFAS testing data collected on the base between April and May of this year was not shared at a public meeting on July 30.

It is utterly unacceptable and irresponsible that any information on PFAS levels would be withheld from individuals who are possibly affected. I also released a statement with my colleague U.S. Rep. Dan Kildee, D-Flint, in which we announced we would continue to work together to hold the EPA accountable and work on bipartisan legislation to set a national drinking water standard for PFAS. The EPA has failed to act with the proper urgency to set a standard and therefore we support bipartisan legislative action that would require them to do so.

Every Michigan family deserves safe and clean drinking water. No exceptions. To learn about my work on the PFAS issue please visit my website: upton.house.gov/pfas or call my offices in Kalamazoo (269-385-0039), St. Joseph/ Benton Harbor (269-982-1986), or Washington, D.C. (202-225-3761).

Staying healthy at the Fair Interacting with animals at the Berrien County Youth Fair can be a wonderful experience, both for children and adults. However, even healthy animals can carry bacteria and other organisms that can sometimes make people sick. People can catch these organisms where animals are present, especially when contact with animals is encouraged. The primary mode of transmission is hand to mouth after touching animals’ fur, hair, skin and saliva that has become contaminated with fecal organisms. These animals may show no signs of illness and the bacteria can live months or years in the environment. Therefore, it is important that all visitors to the Fair take precautions to avoid illness. Be sure to supervise children in animal areas, and do not allow them to touch animals and then put anything in their mouths. No one should eat or drink in an animal area. Washing your hands is the simplest way to prevent the spread of infection. Proper hand washing techniques need to be practiced at all times, but especially when in contact with animals. To properly wash your hands, wet your hands under warm water, create lather with soap, and scrub vigorously for 20 seconds (the time it takes to sing “Happy Birthday” twice). Then rinse the soap off and dry your hands with a disposable paper towel. Use this paper towel to turn off the sink, as the handles may still be contaminated. Hand sanitizers can also be effective if soap and water are not available. Do not use hand sanitizers with water. Visit the Berrien County Health Department website at www.bchdmi.org or Facebook page at www.facebook.com/bchdmi to learn more about this and other health topics.

President Donald J. Trump approves major disaster declaration for Michigan

The Federal Emergency Management Agency announced last week that federal disaster assistance has been made available to the state of Michigan to supplement state, tribal and local recovery efforts in the areas affected by severe storms, flooding, landslides and mudslides from June 16 to June 18, 2018. Federal funding is available to the state, tribal and eligible local governments and certain private nonprofit organizations on a cost-sharing basis for emergency work and the repair or replacement of facilities damaged by severe storms, flooding, landslides and mudslides in Gogebic, Houghton, and Menominee counties. Federal funding is also available on a cost-sharing basis for hazard mitigation measures statewide. David Samaniego has been named as the Federal Coordinating Officer for federal recovery operations in the affected area. Samaniego said additional designations may be made at a later date if warranted by the results of further damage assessments. Following is a summary of key federal disaster aid programs that can be made available as needed and warranted under President Donald J. Trump’s disaster declaration issued for the state of Michigan. Assistance for State, Tribal and Affected Local Governments can include as required: Payment of not less than 75 percent of the eligible costs for repairing or replacing damaged public facilities, such as roads, bridges, utilities, buildings, schools, recreational areas, and similar publicly owned property, as well as certain private non-profit organizations engaged in community service activities. (Source: FEMA funded, state administered) Payment of not more than 75 percent of the approved costs for hazard mitigation projects undertaken by state, tribal, and local governments to prevent or reduce long-term risk to life and property from natural or technological disasters. (Source: FEMA funded, state administered) Application procedures for state, tribal and local governments will be explained at a series of applicant briefings with locations to be announced in the affected area by recovery officials.