How to Financially Prepare to Send Your Kids to College in the U.S.
If you’re a mom thinking about how you’re going to pay for college, you’re not alone—and you’re not behind. Whether your child is in preschool or high school, it’s never too early (or too late) to start planning.
Let’s break this down into clear, actionable steps so you can take control of your finances and help your kids pursue higher education without drowning in debt—or sacrificing your own financial security.
Sending your child to college is a major milestone, but it doesn’t have to break the bank—or break you.
What Does College Really Cost?
Here’s the reality: College is expensive, and prices keep rising.
Public (in-state) university: ~$28,000/year
Public (out-of-state): ~$46,000/year
Private university: ~$58,000/year
Multiply that by four (or more) years, and you're looking at $112,000 to over $230,000 per child—not including things like textbooks, travel, and pizza.
But don’t panic. You don’t have to pay it all upfront, and you don’t have to do it alone.
When Should You Start Saving?
As early as possible.
Ideally, the moment your child is born, you’re already setting aside money. But if that ship has sailed, don’t give up. Starting now is still powerful.
Why early matters: Thanks to compound interest, even small monthly contributions can grow significantly over 10–15 years. The earlier you start, the less you have to set aside each month to reach your goal.
Smart Ways to Save and Invest
Here are some common—and effective—ways to plan for college costs:
1. 529 College Savings Plans
Tax-free growth if used for qualified education expenses.
Some states offer tax deductions or credits for contributions.
You stay in control of the account, even when your child turns 18.
2. Coverdell Education Savings Accounts (ESAs)
Also offer tax-free growth.
Lower annual contribution limit compared to 529s, but more flexible on expenses (can include K-12).
3. High-Interest Savings Account (short-term)
If your child is close to college-age, and you’re saving in the next 1–3 years, use this for lower-risk savings.
4. Custodial Accounts (UGMA/UTMA)
Not specifically for college, but savings can be used toward education. Just be aware: once your child is of age, the money becomes theirs.
How to Budget for College Without Derailing Your Life
Your child’s future matters—but so does your present.
Here’s a simple, stress-reducing budgeting framework:
Know your number.
Use a college calculator to estimate total costs based on the schools your child might attend.Set a monthly target.
Divide that number by the years you have left until college.
Example: $80,000 / 10 years = $8,000/year = ~$667/month.Automate your savings.
Set up automatic transfers to your college fund—treat it like a bill.Involve your child early.
Teach them about scholarships, part-time work, and how to be a smart consumer of education. (This is not just about paying for college—it's about preparing them to manage money after college.)Don’t sacrifice your retirement.
You can borrow for college, but not for retirement. Prioritize both, not one at the expense of the other.
College Funding Checklist
Here’s a quick-hit list to keep you organized:
Open a 529 or ESA
Set up automatic monthly contributions
Estimate potential college costs
Research scholarships early
Teach financial basics to your child
Review your progress every 6–12 months
Don’t forget: You matter too.
Final Thought
Sending your child to college is a major milestone, but it doesn’t have to break the bank—or break you.
This is about empowerment through planning. When you approach college savings with intention, you’re not just writing tuition checks—you’re teaching your children the value of preparation, discipline, and self-worth.
You don’t have to have it all figured out today. You just have to take the next right step.
Watch the Free Webinar: Breathe Life Into Your Financial Wellbeing
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Understand where to start with your finances
Break free from fear, guilt, or confusion
Learn how to align your money with your values and vision
Ready to Take Control of Your Financial Future?
You deserve to feel confident and secure about your financial future. This is why I have created my 8-week financial literacy program, What Wealthy Women Know - so that all women have access to the information necessary to secure their future.
Remember, it’s not about chasing perfection. It’s about making intentional choices that align with your goals.
Whether you lack confidence in making financial decisions or feel overwhelmed by yet another task in your already beyond-full schedule, here’s the truth:
Your future depends on your financial literacy.
So, are you ready to take control and build the wealth and security you deserve?
