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Education Savings Calculator

Calculate college savings projections for 529 plans, Coverdell ESA, and other education savings options. Understand tax benefits, contribution limits, and required savings rates.

Child Information

Average 4-year public university: $100,000. Private: $200,000+

Current Savings & Contributions

Conservative: 4-5%. Moderate: 6-7%. Aggressive: 8-10%

Savings Plan Type

State deduction limit: $0

Time to College

Years:13.0
Months:156

Projected Savings Growth

Current Savings FV:$24098.45
Contributions FV:$126665.39
Total Contributions:$78000.00
Projected Total:$150763.84

On Track!

Projected savings exceed target by $50763.84

Tax Benefits

State Deduction:$0.00
State Tax Savings:$0.00
Tax-Free Growth:$10289.63
Total Tax Benefit:$10289.63

Plan Limits

529 College Savings Plan
High limits, varies by state
Annual Limit:No limit
Lifetime Limit:$500000

College Cost Inflation

Current Target:$100000.00
Inflated Cost:$188564.91
College costs inflate ~5% annually. Consider adjusting your target.

Education Savings Plan Comparison

  • 529 Plan: High contribution limits, tax-free growth for education, state tax deductions in some states. Funds must be used for qualified education expenses.
  • Coverdell ESA: $2,000 annual limit per child, tax-free growth, can be used for K-12 and college. Income limits apply ($110K single, $220K married).
  • UGMA/UTMA: No contribution limits, but kiddie tax applies (child unearned income taxed at parent rate above $2,500). Assets belong to child at maturity.
  • Roth IRA: Child must have earned income. Contributions limited to earned income amount (max $7,000). Can withdraw contributions penalty-free for education.
  • Strategy: Start early, automate contributions, increase with income raises, consider state-specific 529 benefits.
  • Withdrawal: 529/ESA must be used for qualified expenses (tuition, room, board, books, computers). Non-qualified withdrawals face 10% penalty + taxes.
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