As summer turns into fall, parents everywhere are busy getting back into the school year routine. From math worksheets to soccer practice, it’s the perfect time to start thinking about higher education. We recently sat down with Shon McLain, the CEO of Saratoga Strategic Partners, a local financial services firm, and learned about an exciting program that can help alleviate some of the college planning stress by helping families pay for college.
Shon is a small business owner with strong ties to the spa city. He has two children enrolled in the Saratoga Springs school district, is an active member of the Division Street PTA and Maple Avenue Parent Network and is an executive board member of the Thoroughbred Retirement Foundation. Shon says, “As a dad and a financial planner, I started to think about paying for college. The cost was and is always on my mind.”
A few years ago, Shon heard about the Sage Scholars Tuition Rewards Program through the State Employees Federal Credit Union (SEFCU). The Sage Scholars Tuition Rewards Program allows students to earn guaranteed scholarships - up to one full year’s tuition - at more than 400 participating private colleges and universities. Once a sponsor (parent, grandparent, etc.) enrolls their student in the program, they can start accruing Tuition Reward points through birthday points, any participating linked 529 plans, mutual funds, 401ks, permanent insurance policies, annual financial reviews and referrals. The points, similar to frequent flyer points, are equal to a $1.00 guaranteed minimum discount off of tuition at any of the member colleges and universities. The maximum scholarship varies by college, but it is currently at $57,000 (that’s a full year of tuition for many private colleges!).
Shon says, “I signed up immediately, because if there’s anything I can do to reduce the cost of college, why wouldn’t I do it?” Shon said that it almost seemed too good to be true, but after extensive research, he couldn’t find any negative reviews.
If you’re feeling a little skeptical, we don’t blame you. Fortunately, Shon was able to break down how the program works and how it benefits all parties involved. Shon explains, “Sage really did their research before launching this program. They wanted to attract upper quartile kids – both in GPA and ability to pay for college – and so they asked themselves, ‘What do parents of these kids have in common?” Shon explained that some common denominators in this demographic include parents owning savings accounts, discretionary income, and life insurance plans. They also seemed more likely to make selfless purchases (such as 529 plans and insurance), and nurture a caring home environment.
Once Sage knew the type of families they wanted to attract, they set out to create a program that would benefit everyone. The Tuition Rewards Program helps colleges with recruiting by targeting high achieving, motivated students. It assists parents with paying for college through the accrual of guaranteed scholarship dollars, and helps institutions attract more dollars from existing clients (because the greater the investment, the greater the Tuition Reward points). In turn, the program also gives institutions a percentage that they can use for scholarships.
One of the best things about the Tuition Rewards is that it doesn’t count against financial aid because it’s points, not dollar amounts. Essentially, it’s a guaranteed discount. There are presently over 400 member schools including many engineering schools such as RPI and WPI, as well as a cohort of catholic schools. Shon says, “These schools know there’s a competitive advantage to offering this program.”
Saratoga Strategic Partners is in a unique position because Shon McLain is the only financial advisor in the region who offers the Sage Scholars Tuition Rewards Program to his clients. Shon says that most institutions will give you about 1,000 points a year, but his offering is more robust. If you sign up with the program through Shon, you’ll receive 500 points just for signing up, 500 points on a student’s birthday up until age 11, 750 birthday points up until age 15, and then 1,000 birthday points up until age 18. That’s 12,000 Tuition Rewards points for doing absolutely nothing. You could, of course, earn even more through linked accounts.
There are a few things to keep in mind if you’re interested in joining the program. Students must enroll in the Tuition Rewards Program prior to the start of 11th grade (the earlier the better!). And they cannot earn or receive points after August 31 of the year that the student begins 12th grade. When a student is ready to apply to colleges, the student’s sponsor (the Tuition Rewards account holder) must submit the student’s statement to any member school at the time he or she applies.
In addition to firms like Saratoga Strategic Partners, the Sage Scholars Tuition Rewards Program is also offered by organizations such as the Girl Scout Council of Northeastern New York, SEFCU, and Colonial Life Insurance.
If you’re interested in learning more about the Sage Scholars Tuition Rewards Program offered by Saratoga Strategic Partners, you can find more information on their website: www.saratogastrategicpartners.com/SAGE-Tuition-Rewards.11.htm. In addition, Shon McLain can be reached by email: This email address is being protected from spambots. You need JavaScript enabled to view it. or phone: 518-587-2828.
For general information on the program (as well as a list of participating schools), visit tuitionrewards.com.
