Knowledge First Financial announced on May 31 that it has received approval, following a subscriber vote, from Family Single Student Education Savings Plan customers to eliminate depository fees and create a consolidated management fee of no greater than 1% per year.
Knowledge First says these changes “reflect a modest increase in the overall fees paid by customers and results in more certainty and transparency regarding fees associated with the Single Student Plan.”
The organization underlined that since the Single Student Plan was introduced in November 1994, administration and depository fees have not increased.
The all-in consolidated management fee for the first year, following implementation by July 1, 2020, will be between 0.75% and 0.80% per year, plus applicable taxes. This compares to the current fees including depository fees, administration, custodial and portfolio management fees of approximately 0.72%, plus applicable taxes, for the year ended Dec. 31, 2018.