Michigan's Education Savings Program (MESP) has surpassed $10 billion in assets under management, with more than 340,000 account holders saving for college, career training, and other qualified education expenses, the state Department of Treasury announced.
The milestone comes as MESP reduced its annual management fee from 0.02 percent to 0.01 percent, allowing savers to retain more investment earnings.
Michigan has expanded how families can use their 529 savings accounts following changes in state law. In addition to traditional college and university expenses, account owners can now withdraw funds for vocational schools, community colleges, graduate programs, apprenticeships, and credentialing programs.
Since its creation, MESP account owners have withdrawn more than $7 billion in qualified funds for education and training expenses. The program expansion reflects workforce demands. According to the State of Michigan, the state estimates approximately 45,000 new job openings annually in the skilled trades, with the shortage expected to continue through 2030.