Enrollment currently closed, future enrollment dates forthcoming and prices are for informational purposes only.
Virginia529 prePAID is one of the Section 529 qualified tuition programs offered by Virginia529.
The prePAID program allows families to prepay future tuition and mandatory fees at Virginia public colleges or universities. Benefits are not limited to public schools in Virginia, but the prePAID payouts are different based on the type of school attended – Virginia public, Virginia private or out of state – and may not cover the full cost of tuition and mandatory fees at Virginia private colleges or out of–state colleges.
Accounts can be opened only during a limited enrollment period each year and either the account owner or beneficiary must be a Virginia resident at the time the account is opened. Virginia529’s other programs are open year round with no state residency or beneficiary age restrictions. Account owners in a Virginia529 savings program may roll their investment into a prePAID contract during open enrollment if other eligibility requirements are met.
Purchase Options & Pricing
Virginia529 prePAID now is available in semester increments, making it more affordable to get started with the prePAID program. Pricing structures have changed and more payment options have been added for this enrollment period. Virginia529 prePAID now offers two levels of pricing for contracts – Tier I and Tier II.
Tier I and Tier II benefits may be applied to either four–year or two–year Virginia public colleges and universities at the conversion rates indicated in the chart below and as further described in the Virginia529 prePAID Program Description (pdf).
A Tier I semester will cover one semester of tuition (as defined in the Program Description) at a Virginia public four–year college and that same contract applied at a Virginia public two–year or community college will cover MORE than a semester of tuition. Conversely, a Tier II semester will cover one semester of Tuition at a Virginia public two–year or community college and that same contract applied at a Virginia four–year college will cover LESS than a semester of tuition. As always, prePAID contracts may be used at any eligible educational institution.
Tier I and Tier II contracts may be purchased in multiples and in combinations, subject to certain maximum levels. Consult the Program Description (pdf) and the prePAID calculator (») for more information.
Pricing and coverage listed are for the 2012-2013 enrollment period which is now closed and are for informational purposes only
Please note: Monthly payment options include an interest rate component of 8% since the full contract purchase price is not available for immediate investment on your behalf. The amount of interest included in your monthly payments is not a finance charge. This amount is invested on your behalf and becomes a part of your benefit in future calculations.
Payment Options
Virginia529 prePAID Calculator
Also new for the 2012-2013 enrollment period is the Virginia529 prePAID Calculator. Several options are available including one, lump sum payment or monthly payments with the option of a down payment. Use this calculator to explore the various Virginia529 prePAID options and calculate the cost to best fit your needs.
Payout Options
Virginia529 prePAID benefits may be applied towards the cost of tuition and mandatory fees at any eligible educational institution, whether a Virginia public college, Virginia private college, or out of state college.
Although full coverage of the normal undergraduate full–time tuition and mandatory fees is provided at Virginia public colleges or universities, payouts to other eligible educational institutions are determined by Virginia529’s enabling statute and summarized below.
- Virginia public college or university
- Full coverage of in-state undergraduate tuition and mandatory fees for the normal full-time course load
- Virginia private college or university *
- Payments + actual rate of return on payments.
- Cap = highest Virginia public institution tuition and mandatory fees
- Out-of-state college or university *
- Payments + reasonable rate of return
- Cap = average Virginia public institution tuition and mandatory fees
*the lesser of
Please Note: A Virginia529 prePAID contract used anywhere other than a Virginia public college most likely will not cover full tuition and mandatory fees.
Restrictions and Exclusions
Certain fees are not included within mandatory fees such as laboratory fees, course–specific or optional fees, room and board, transportation, computers or books. Also, if there are additional charges for a specific course of study, such as nursing or engineering, or for more than a full–time course load, these additional costs are not covered by prePAID.
College Admissions
Ownership of a Virginia529 prePAID contract has no bearing on the admissions process at Virginia colleges or those elsewhere. A student must apply to and be accepted by the school he or she wishes to attend.
State Legislation
Virginia law provides that a sum sufficient appropriation must be included by the Governor in his annual proposed state budget bill to cover Virginia529 prePAID’s contractual obligations in the event of a Virginia529 funding shortfall. This provision can only be changed through the annual appropriations process, which would require action by the Virginia General Assembly.
