College Savings Calculator

A common target is to cover about two-thirds of projected costs through savings and investments, with the remainder from financial aid, scholarships, and student contributions. For a public in-state school, this means saving roughly $60,000-$80,000 total; for a private university, $120,000-$150,000.

A 529 plan is a tax-advantaged savings plan designed for education expenses. Contributions grow tax-free, and withdrawals for qualified education expenses (tuition, room, board, books) are also tax-free. Many states offer additional tax deductions for contributions. It's the most popular way to save for college.

With a 529 plan, you can withdraw scholarship amounts penalty-free (you'll only owe income tax on earnings, not the 10% penalty). You can also change the beneficiary to another family member or save it for graduate school. Having savings gives your child more flexibility.

As early as possible. Starting when your child is born gives you 18 years of compound growth. Even $100/month from birth, invested at 6% annually, grows to roughly $39,000 by age 18. Waiting until age 10 would require about $280/month to reach the same amount.