The Gerber Life Parenting Blog

Giving a Gift of a Gerber Life College Plan

November 26, 2013

Grandma Hugging ChildWho doesn’t love giving a gift to a child? It’s a warming experience that comes with smiles and hugs galore. Consider, however, that some children’s gifts, such as toys and clothes, have a shelf life. Kids outgrow both.  So what are some ideas for gifts that are both lasting and beneficial?

Parents and grandparents often decide that a financial gift can be a lasting gift that shows they care. Giving cash for the holidays and birthdays is one option. Another option is to give a financial gift that keeps on giving.

The Gerber Life College Plan1 is that kind of gift because it lets you put aside money on a regular basis for your little one’s college education, showing how much you care for your child’s future success. A college education has been shown to give a good boost to lifetime earnings. According to one Federal study, college grads earn about $1 million more in their lifetimes than those with only a high school diploma.2

How does the Gerber Life College Plan work?

First, you would decide how much money you would want to be able to give to your child. The amount needn’t cover all college expenses.  After all, you can only take an educated guess at how much college will cost in the future. Also, your child may have other resources to draw on. The Gerber Life College Plan covers a range of payouts — anywhere from $10,000 to $150,000 – and guarantees that your College Plan will never lose any money you’ve put in.

Once you’ve established the specific amount that you would want to put aside, you decide your timeline for building the fund – from 10 up to 20 years.  You then would make regular monthly payments and watch the college fund grow along with your child or grandchild.

The College Plan has another benefit: It includes life insurance protection for you. Should you die before you finish making all of the payments, your child or grandchild, as beneficiary, would receive the full amount you had intended upon maturity of the policy.

You might wonder what would happen if you spent years paying into a college fund, only to have your child or grandchild decide not to pursue a higher education. Not a problem with the Gerber Life College Plan. The payout can be used for any purpose, not just college, and without penalty.

Because the College Plan is a lasting gift from the heart, you’ll get smiles and hugs from your child or grandchild for decades to come.


1 Policy Form ICC09-PIE, Policy Form Series PIE-09
2 U.S. Census Bureau, “The Big Payoff: Educational Attainment and Synthetic Estimates of Work-Life Earnings,” July 2002.

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Categories: College Planning
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