Glossary
S
- Sales Charge
A sales charge is a commission on the purchase of an advisor-sold 529 plan. Direct-sold plans, like The Education Plan, do not have sales charges.
- Savings Bond
A savings bond is a government bond, such as a Series EE or Series I bond.
- Scholarship
A scholarship is a form of financial aid that is based on the student’s academic, artistic or athletic merit.
- Section 529
Section 529 of the Internal Revenue Code of 1986 is the section of U.S. tax law that defines 529 plans and specifies their requirements.
- Self-Help Aid
Self-help aid includes money that must be earned or repaid, such as student employment and student loans.
- Small-Cap
- Static Investment Portfolio
A static investment portfolio does not change its asset allocation over time.
- Stock
A stock is a security that represents ownership rights in a company.
- Stock Funds
A stock fund is a type of mutual fund that invests in company stocks (also called “equities”).
- Student Loan
A student loan is money borrowed for school that must be repaid with interest. Loans may come from the government, banks, financial institutions or other organizations.
- Successor Account Owner
The successor account owner is a person designated on the account application as the new account owner upon the death of the current account owner.
- Superfunding
Superfunding refers to the use of 5-year gift-tax front-loading to make a lump sum contribution to a 529 plan account. See also: Gift-Tax Front-Loading.
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