Saving for College with a 529 Plan
A 529 plan is a tax-advantaged savings plan designed for education expenses. Contributions grow tax-free, and withdrawals for qualified education expenses are also tax-free.
Current Average College Costs (per year)
- Public In-State: ~$22,000 (tuition, room & board)
- Public Out-of-State: ~$39,000
- Private University: ~$52,000
- Community College: ~$12,000 (tuition & fees)
Tips for College Savings
- Start saving as early as possible to maximize compound growth
- Automate monthly contributions to stay consistent
- Consider age-based investment options that become more conservative over time
- Check your state's tax deduction or credit for 529 contributions
- Ask grandparents to contribute to the 529 instead of gifts