Saving for College 101
Learn more about the following tax-advantaged ways to save for your child's college education.
Saving for your children's college education is one of the most important financial tasks you will ever undertake. Luckily, you have plenty of savings options, most of them with tax advantages designed to encourage you to invest in your children’s future.
State-Sponsored College Savings Plans
Both 529 and prepaid-tuition plans offer great tax advantages, but that's where the similarities end.
Coverdell Education Savings Accounts
You get more control over your investments, but the amount you invest is limited.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Roth IRAs
These retirement-savings accounts can serve as a fall-back fund for paying the college bill.
U.S. Savings Bonds
There are tax advantages, but not for everyone.
Save in Your Child's Name
You manage the account for your child, but you can't take the money back.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
-
Your Retirement Side Hustle Starter Kit: The Essential Tools and Apps You Need
Check out seven awesome tools and apps to jumpstart your retirement side hustle with confidence.
-
Roku Launches $2.99 Ad-Free Streaming Plan: Howdy Explained
Roku just launched Howdy, an ad-free streaming service with 10,000 hours of classic content. Here's how it compares to other platforms.
-
Big Changes Are Ahead for Higher Ed
The Kiplinger Letter A major reform of higher ed is underway. Colleges are bracing for abrupt change, financial headwinds and uncertainty.
-
What New Tariffs Mean for Car Shoppers
The Kiplinger Letter Car deals are growing scarcer. Meanwhile, tax credits for EVs are on the way out, but tax breaks for car loans are coming.
-
AI’s Rapid Rise Sparks New Cyber Threats
The Kiplinger Letter Cybersecurity professionals are racing to ward off AI threats while also using AI tools to shore up defenses.
-
Blue Collar Workers Add AI to Their Toolboxes
The Kiplinger Letter AI can’t fix a leak or install lighting, but more and more tradespeople are adopting artificial intelligence for back-office work and other tasks.
-
AI Goes To School
The Kiplinger Letter Artificial intelligence is rapidly heading to K-12 classrooms nationwide. Expect tech companies to cash in on the fast-emerging trend.
-
What To Know if You’re in the Market for a New Car This Year
The Kiplinger Letter Buying a new car will get a little easier, but don’t expect many deals.
-
How Intrafamily Loans Can Bridge the Education Funding Gap
To avoid triggering federal gift taxes, a family member can lend a student money for education at IRS-set interest rates. Here's what to keep in mind.
-
How an Irrevocable Trust Could Pay for Education
An education trust can be set up for one person or multiple people, and the trust maker decides how the money should be used and at what age.