About the College Savings Calculator
This college savings calculator projects what a degree will cost by the time your child enrolls and tells you how much to save each month to pay for it. Enter today’s yearly cost of attendance (tuition, fees, room and board), your child’s age, the number of years of study and how fast you expect college costs to rise.
It is built for parents and grandparents opening or topping up a 529 plan, Coverdell ESA or ordinary brokerage account. Every year of college is inflated separately, so a four-year degree is priced at year-one, year-two, year-three and year-four prices rather than four times the freshman-year cost. Money you have already saved is grown at your expected return and subtracted from the target.
You can also choose to fund only part of the bill — for example 50% — if you expect scholarships, current income or student loans to cover the rest. The result assumes the full target is reached by the first day of college and that contributions are made monthly.
With the default inputs, the monthly savings needed is $728.08. Change any value above to recalculate instantly.
How to use the college savings calculator
- 1Enter your child’s age and the age they will start college.
- 2Enter today’s yearly cost of attendance for the type of school you have in mind.
- 3Set how many years of study to fund and a college cost inflation rate.
- 4Add what you have already saved and your expected investment return.
- 5Lower the share to fund if aid or income will cover part of the bill, then read the monthly amount.
Formula and method
Each year of college is priced separately: today’s yearly cost C is inflated by the college cost inflation rate i for Y years until enrollment, plus k more years for the second, third and fourth year. The sum is multiplied by the share you want to fund, s.
Existing savings S are grown at the monthly return r for n months until enrollment and subtracted. The remaining gap is divided by the future-value-of-an-annuity factor to get the level monthly contribution, assuming deposits at the end of each month and the full target reached by the first day of college (a conservative simplification, since later-year bills are actually paid a few years after enrollment).
- C
- Yearly cost of attendance today
- i
- Annual college cost inflation
- Y
- Years until college starts
- s
- Share of cost you plan to fund
- S
- Amount already saved
- r
- Monthly investment return (annual ÷ 12)
- n
- Months until college (Y × 12)
Worked examples
3-year-old, $25,000/yr school, $5,000 saved
At 5% cost inflation, a $25,000 year today costs about $51,973 in 15 years, and four years total about $224,011. The $5,000 already saved grows to about $12,270 at 6%, leaving a $211,741 gap — about $728 a month.
10-year-old, $12,000/yr in-state school, $15,000 saved
With 8 years to go and 4% inflation, the first year costs about $16,423 and four years about $69,739. The existing $15,000 grows to roughly $22,359 at 5%, so saving about $402 a month closes the remaining $47,380 gap.
Newborn, $60,000/yr private college, funding half
A $60,000-a-year school grows to about $121,549 for the first year in 18 years at 4% inflation. Funding half of the four-year total means targeting $258,077, which takes about $599 a month at a 7% return.
Frequently asked questions
How much should I save for college each month?+
It depends on the school type, your child’s age and your return. Starting at birth, a four-year public in-state education often needs a few hundred dollars a month, while a private university can need well over $1,000. Use the calculator with your own numbers.
What is a 529 plan?+
A 529 plan is a state-sponsored, tax-advantaged education savings account. Earnings grow federally tax-free and withdrawals are tax-free when spent on qualified education expenses such as tuition, fees, books, and room and board for students enrolled at least half-time.
What college cost inflation rate should I use?+
College prices have historically risen faster than general inflation. Many planners use 4%–6% a year for long horizons; use a lower figure if you expect price growth to keep slowing, or a higher one for a conservative plan.
Do I need to save 100% of the cost?+
No. Many families aim to save a portion — often one-third to one-half — and cover the rest with current income during college, scholarships, grants and modest student loans. Set the share to fund to reflect your plan.
What happens to leftover 529 money?+
You can change the beneficiary to another family member, keep it for graduate school, or withdraw it (earnings are then taxed and usually face a 10% penalty). Under current federal law, up to a lifetime $35,000 can also be rolled into the beneficiary’s Roth IRA if the 529 has been open at least 15 years, subject to the yearly Roth IRA contribution limit.
Results are estimates for educational purposes and are not financial advice. Rates, fees and terms vary — confirm with your lender or a licensed advisor before making decisions.