COLLEGE-SAVINGS PROGRAM IS GOOD INCENTIVE

One way parents of young children can brace themselves for the high cost of college is through Missouri's new higher education savings program. It offers tax breaks on money set aside for college or trade school.

It's a great incentive for families to save for the future. Anyone, not just parents, can open an account with $25 to $100,000 in the Missouri Saving for Tuition (MOST) program for a child.

Missouri joins about 30 other states offering tax-deferred college plans since the federal tax code was amended three years ago.

Contributions of up to $8,000 a year are deductible from Missouri income tax, and there are no state taxes on withdrawals for approved educational expenses.

Federal income taxes are deferred until the money is withdrawn, and that comes at a student rate.

This new program may help parents make the most of their savings for college and trade school-bound young people.