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Fees and Expenses

The following table describes the fees and expenses that you pay if you open and contribute to an account in MESP. These fees are directly or indirectly paid out of the assets of your account. Except for the fees listed below, there are currently no other fees, charges or penalties imposed or payable in connection with opening or maintaining an account, other than any taxes and related penalties. The State reserves the right to change the current fees, or to impose new or additional fees, expenses, charges or penalties in the future.

Fee Table

Investment Option	Estimated Underlying Mutual Fund Expenses (b)	Program Manager Fee (c)	State Issuer Fee (d)	Miscellaneous Fees	Total Annual Asset-Based Fees (e)	Other Fees

Moderate Age-Based Allocation Option	Included in the Program Manager Fee (b)	0.45%	None	None	0.45%	None

Conservative Age-Based Allocation Option	Included in the Program Manager Fee (b)	0.45%	None	None	0.45%	None

Aggressive Age-Based Allocation Option	Included in the Program Manager Fee (b)	0.45%	None	None	0.45%	None

100% Equity Option	Included in the Program Manager Fee (b)	0.45%	None	None	0.45%	None

Balanced Option	Included in the Program Manager Fee (b)	0.45%	None	None	0.45%	None

100% Fixed Income Option	Included in the Program Manager Fee (b)	0.45%	None	None	0.45%	None

Principal Plus Interest Option (formerly the Guaranteed Option) (a)	None (f)	None (f)	None	None	None	None

(a) The Principal Plus Interest Option provides a guarantee of principal and a minimum rate of interest to MESP, but not to Account Owners and Beneficiaries.
(b) Account Owners are not subject to any additional charge to pay for the operating expenses of the Mutual Funds held in MESP's Investment Options ("Underlying Fund Expenses") other than the Principal Plus Interest Option. The amount of Underlying Fund Expenses attributable to each Mutual Fund invested in such Investment Options (generally 0.07%- 0.59% of average daily net assets) is included within the Program Manager Fee so that the payment of the Underlying Fund Expenses reduces the amount of the Program Manager Fee payable to the Program Manager. The Underlying Fund Expenses include payment to the Program Manager's affiliate(s) for investment advisory, administrative and other expenses. The range of Underlying Fund Expenses is based upon information contained in the current prospectus of the TIAA-CREF Institutional Mutual Funds.
(c) TFI is paid an annual Program Manager Fee equal to approximately 0.45% of the average daily net assets held by MESP (excluding assets held in the Principal Plus Interest Option) regardless of whether the Underlying Fund Expenses for any particular Investment Option would otherwise exceed such level.
(d) Account Owners are not charged any State fees. The Program Manager pays to the State an annual administrative fee ("the State Fee") not to exceed an aggregate total of $125,000 as reimbursement for work conducted by the staff of the State Treasurer, Michigan Department of Treasury and the Michigan Department of Attorney General in connection with the administration of MESP. This fee is not deducted from your Account.
(e) Total Annual Asset-Based Fees are the total fees assessed against Accounts over the course of a year determined by adding together amounts in the prior columns. Please see the investment cost example chart below for the assumed investment cost of these fees over 1-, 3-, 5-, and 10-year periods.
(f) Account Owners are not subject to any additional charge to pay for the expenses of the Funding Agreement held in the Principal Plus Interest Option. Although TIAA-CREF Life pays an annual asset-based expense fee to the Program Manager for distribution, administration and other reasonable expenses with respect to assets invested in the Principal Plus Interest Option, this fee is not deducted from your Account. This fee is based upon the amount of assets in the Principal Plus Interest Option and may be discontinued at any time by TIAA-CREF Life. The interest rate for the Funding Agreement is set periodically by TIAA-CREF Life after consideration of several factors including the amount of this fee. The expiration date of the Funding Agreement is March 31, 2010.

Investment Cost Example
The example in the following table is intended to help you compare the cost of investing in the different Investment Options over various periods of time. This hypothetical example assumes that:

You invest $10,000 in an account for the time periods shown below.
Your investment has a 5% compounded return each year, except for the Principal Plus Interest Option (formerly the Guaranteed Option), which is assumed to have a 3% compounded return each year. Actual performance will vary. The Principal Plus Interest Option provides a guarantee of principal and a minimum rate of interest to MESP, but not to account owners and beneficiaries.
You withdraw the assets from your account at the end of the specified periods to pay for Qualified Higher Education Expenses.
Total annual asset-based fees remain the same as shown in the Fee Table above.
The example does not consider the impact of any potential state or federal taxes on the redemption.

Although your actual costs may be higher or lower, based on the above assumptions your costs would be:

Investment Cost Example Chart

INVESTMENT OPTIONS	APPROXIMATE COST OF $10,000 INVESTMENT

	One Year	Three Years	Five Years	Ten Years

Managed Allocation Option	$45	$141	$246	$554

100% Equity Option	$45	$141	$246	$554

Guaranteed Option	$0	$0	$0	$0

Additional Fees
The table below provides information concerning additional fees and expenses deducted from each account/paid directly by the Account Owner.



	Percent	Dollars

Application Fee	0%	$0

Cancellation Fee	0%	$0

Change in Beneficiary Fee	0%	$0

Other Charges as applicable	0%	$0

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The investment approaches described are not recommendations and do not take into consideration personal goals or preferences. After evaluating information you consider important in making an investment choice, the ultimate decision is up to you. It is a good idea to revisit your investment strategy periodically as your goals, personal financial situation, and market conditions change.

The tax information contained on the Michigan Education Savings Program (MESP) Web site is not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding tax penalties that may be imposed on the taxpayer. It was written to support the promotion of the products and services addressed in the Web site. Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor.

Consider the investment objectives, risks, charges and expenses before investing in the Michigan Education Savings Program. Please call toll-free 1(877) 861-6377 for a Disclosure Booklet containing this information. Read it carefully.

Before investing in a 529 plan, you should consider whether the state you or your designated beneficiary reside in or have taxable income in has a 529 plan that offers favorable state income tax or other benefits that are only available if you invest in that state's 529 plan.

TIAA-CREF Individual & Institutional Services, LLC, distributes MESP. The State of Michigan, its agencies, TIAA-CREF Tuition Financing, Inc., Teachers Insurance and Annuity Association of America and its affiliates do not insure any account or guarantee its principal or investment return except for TIAA-CREF Life Insurance Company's guarantee to MESP under the funding agreement for the Principal Plus Interest Option. Account value will fluctuate based upon a number of factors, including general market conditions.

Investment management, program administration and distribution of The Michigan Education Trust (MET) program is provided solely by the Michigan Department of Treasury. MET is not managed by TIAA-CREF Tuition Financing, Inc. nor is it distributed by TIAA-CREF Individual & Institutional Services, LLC.

The MESP Web site contains links to other Web sites. Neither MESP nor TIAA-CREF Tuition Financing, Inc. and its affiliates are responsible for the content of those other Web sites. The accuracy of information on those sites cannot be confirmed.