September 1, 2004

The Michigan Education Trust (MET) today opened its new enrollment period, with a special kickoff at the State Capitol.  Lieutenant Governor John Cherry, State Treasurer Jay B. Rising, members of the MET Board of Directors, and several MET students officially opened contract enrollment, which will run through June 15, 2005.  

"MET has proven to be an invaluable savings tool for thousands of Michigan families," said Lieutenant Governor John Cherry, who also chairs the Cherry Commission on Higher Education.  "Given its popularity and different purchasing options, MET will play an important role in reaching our goal of doubling the number of college graduates in Michigan."  

In the new enrollment period, MET will continue to offer a graduated pricing structure, with contract prices dependent upon the age or grade of the intended beneficiary, as well as the option of purchasing contracts by semester.  In addition, contracts can now be purchased for all high school-age students.  "Our goal is to make MET, and in turn the cost of college, more affordable for Michigan families," said State Treasurer Jay B. Rising, Chair of the MET board.  "A MET contract offers peace of mind to those who want to guarantee tomorrow's tuition at today's prices."  

MET offers three contract options: Full Benefits, Limited Benefits, and Community College.  Based on new contract prices, a one-year (two-semester) Full Benefits contract, purchased for a newborn child, would cost $7, 028, if paid in lump sum.  Under MET's 15-year monthly purchase option, the cost is $68 per month.     

MET, the nation's first guaranteed tuition program, has sold more than 74,000 contracts since the program debuted in 1988, with assets valued at $963 million.  15,650 students are currently using MET contracts to attend college.  "Paying for college would have been much more difficult, had it not been for MET," said Sandra Reinhart, a senior at Michigan State University.  "Thanks to my parents' decision to purchase a contract when I was in first grade, my post-graduation debt load will be much more manageable."  

MET contracts also provide significant tax savings.  Purchasers receive a state income tax deduction for the total contract price, including enrollment fees.  Earnings on contributions are also tax exempt, if used for qualified higher education expenses.  

For more information about MET, call 1-800-MET-4-KID or log onto www.met4kid.com.