Once you start the account, you can contribute as you wish and watch your investment grow. Of course, as with all investments, it is possible that UESP participants could lose money. But assuming that doesn't happen, when the time comes for investors to withdraw their funds, any earnings are tax free as long as they are used for qualified educational expenses at an in-state or out-of-state public or private institution where federal financial aid can be used.

"The qualified higher education expenditures are tuition, books, fees, required supplies — even a computer if a class requires it — and housing," Lynne says. "So the use is quite flexible and broad."

If your child gets a scholarship or drops out of school or doesn't use all of the money you saved, the account can be transferred to another member of the family.

And Utah residents who participate in the UESP get a further advantage in the form of a state tax deduction, Lynne says.

Also, she says, the UESP is a direct-sold plan, which means investors deal directly with the state and do not have to go through a financial adviser to participate.

"We are run through the state's higher education office," Lynne says. "We're not-for-profit. We don't have an enrollment fee. . . . You can change investment options once a year (with no fee), but no more than that. We don't charge you a fee for disbursement or an expedited check. We don't charge a fee for a change in beneficiary.

"The quarterly fees being relatively low, and the fact that we don't charge all these specialty fees, means more of your money is in the investment for your college education."

Most of UESP's investments are in Vanguard institutional mutual funds, which are well-respected for their performance, Lynne says.

So, Robert, if you're serious about saving for your children's college, you ought to check out the UESP. More information is available by calling 800-418-2551 or going online to www.uesp.org.

After all, as Lynne says, "It's an investment in your children and their future, and there are few things more important to teach your children than that you value their future."

If you have a financial question, please send it by e-mail to gkratz@desnews.com or by regular mail to the Deseret Morning News, P.O. Box 1257, Salt Lake City, UT 84110.

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E-mail: gkratz@desnews.com