Between tuition, books, dorm fees and meal plans, the costs to attend college continue to rise. For some students, financial aid and scholarships aren’t enough to cover the expenses. Parents and guardians often have to fill in the gaps. If you have young children, personalized financial planning can help you create a roadmap now to pay for post-secondary education later.

How to Save for Your Child’s College Costs

Set Up Automatic Paycheck Deductions

After calculating how much is spent on bills each month, determine how much you can earmark for your child’s college education. As part of your long-term financial planning, arrange to have the amount automatically deducted on paydays into a savings account. As you move up in your career with salary increases, consider boosting the amount.

Open a 529 Account

This popular college savings tool allows parents, grandparents, and other family members to save without paying taxes on the contributions. There are annual limits on how much contributions can be made. Financial planning advisors say 529 account funds are invested in mutual funds that are managed by a program manager. The mutual funds are selected based on the client’s stock market risk tolerance.

Discuss Your Child’s Contribution

Have a frank discussion with your teenage son or daughter about them helping to pay for their college costs. Encourage them to work over the summer to save money. If feasible, perhaps they can work a few hours a week during the school year. Many college students work to help cover some of their expenses. Talk with your child now about this being a possibility when they’re ready to attend.

The thought of saving and paying for college costs doesn’t have to be overwhelming. Partnering with a trusted financial planning advisor can take the fear and anxiety out of the process. Nicole Gumm Groseclose Insurance Solutions in Clifton Forge, VA continues to help families put together customized plans to pay for higher education expenses. What makes Nicole’s approach different is she genuinely listens to her clients’ needs. It’s more important for her to build trust, not offer cookie-cutter, commission-based services. To learn more about ways to save for your child’s college expenses, call (540) 968-1569 to schedule an appointment. Visit the website for information on the complete lineup of products and services.