Do some college funds have to be used for education purposes only even when the child turns 18?

Question

In other words, are there college trust funds that even when the child is no longer a minor, can only be accessed with proof that they are being used for education purposes?

Answer 1

Yes, there are. I know of several different types, each one with their own set of rules, investment limits, eligibility, advantages and disadvantages.
There are two very well-known ones, though.
First is a 529 College America account. Second is a Coverdell ESA. Each one has its own special limitations and advantages.

Check out this website for more information, and then talk to an investment advisor.

Answer 2

In a public school you will need a teacher certification - which will require a BA and student teaching. During student teaching you will receive no income for 16 weeks unless you work nights (VERY difficult during student teaching). States offer different options for the certification. Some offer Early Childhood Ed which is birth through age 8 (third grade) that would let you teach K, but some only offer Elementary (K-6). Both are different than the degree in Child & Family Development that many schools offer. While it also trains you to work with young children, it does NOT certify you to teach above preschool.

Another option is to find out if any of your local public schools offer a preschool program on-site. Its a growing trend and many schools are piloting preschool programs. Not sure if they would require you to be degreed or certified, but you get the same benefits as a public school teacher and would most likely earn quite a bit more than you do now.

I would suggest contacting a school and asking to "shadow" a K teacher for a day to see what a typical work day is like. Mention to them that you work in early childhood ed as a preschool teacher and are considering pursuing teacher certification. I assume that you are required by your preschool to have a criminal background check and TB test on file. You might mention this to them as their volunteers & employees must have these.

Also, some larger preschools offer tuition reimbursement for teachers intending to become degreed or certified. If yours does not, there are also several scholarships from ECE professional organizations at the state and national level that might help you with the financial aspect of continued schooling. Best of luck!

Answer 3

it depends on how the fund was set up. The executor of the fun may have discretionary ability to redirect the fund, should the child not be able to go to college. AGain, it depends entirely on HOW the fund was set up.