The time for summer college tours has begun. While you're looking at which university your child will pick, don't forget to consider the different tax benefits available for funding. Our chart below explores the different options. Any extra bit helps!
|American Opportunity Credit||Lifetime Learning Credit||Student Loan Interest Deduction||Deduction for Qualified Higher Education Expenses|
|Credit/Deduction Applies To:||Qualified tuition and related expenses for first four years of undergraduate education||Qualified tuition and related expenses for courses taken throughout lifetime to improve or acquire job skills||Interest paid on a qualified student loan||Qualified higher education expenses paid during the year|
|Qualified Expenses include Room & Board?||No||No||Yes||No|
|Half-time or graduate students eligible?||No||Yes||
|Family Limits?||No||Yes, annual credit is limited to $2000 per tax return||No; if applicable, parents can claim the deduction for more than one child in the same year||No; if applicable, parents can claim the deduction for more than one child in the same year|
|Must student be enrolled for a degree/program leading to an educational credential?||Yes||No||Yes||No|
For more helpful tips around college funding, watch our CEO, Kim Curtis, share tips around the cost of college.