Prepaid contracts pay out the highest return if your child attends a Michigan public college and a somewhat lower return if your child attends a Michigan private college. It pays out even less if your child attends college out of state, you don t need the contract because your child earns a scholarship, or you ve purchased a full benefits contract and your child attends a community college.
Refunds come in four annual installments.
Michigan allows you to deduct your entire contribution to the plan from state taxes. The Kiplinger Washington Editors, Inc.