In preparation for my first child, I started to think about saving for college. I found this neat calculator from SallieMae and tried it just to get an idea of how much will college costs 17 years from now (2024). Based on the site, the current average annual tuitions are:
I plugged in the following information:
…and the answer is…I need to save $308,549 for ONE child. Are you freaking kidding me? I hope my kid is real smart or athletic, so he will be eligible for scholarship.
To check my number, I found another calculator from FinAid. This site also offers some more useful information that I summarized here:
Base on this, the total projected costs is $467,045.18. Ouch!
I even tried a more conservative numbers at $16,000 for four-year public college at 6% rate; the total projected cost is still in the mind numbing $190,000 range.
I was going to write a whole post about my strategy and plan to save for my kid’s college, but right now, I need a beer. I will have to do some more research before I can come up with some options. Once I have some more information, I will post it here.
If you have any idea, please leave a comment. I can really use some help.