In Short
A year at a public 4-year college averaged $23,176 for in-state tuition, fees, room and board in 2023-24, and $54,618 at a private nonprofit college [1]. With 3% cost growth, four in-state years for a 5-year-old come to about $142,389. With $10,000 saved and a 6% return, that takes about $469 a month until 18. 529 earnings are tax-free when spent on qualified education expenses [3].
How to Use the 529 College Savings Calculator
- Enter your child's age and the age they'll start college (usually 18).
- Pick a type of college to use its NCES average, or enter a specific school's yearly cost.
- Set how fast costs rise, the years of school and the share you plan to cover.
- Enter what's saved, what you save each month and a yearly return. Or tap Say It All: “My daughter is 6, we have 15k saved and put away 300 a month, public in-state college, 4 years, cover 100 percent, 6 percent return.”
The Formula
Each school year's cost grows from today's cost at your cost inflation rate. Savings grow at your return, with deposits at the end of each month. Money not yet spent keeps growing during school, so each later year's cost is discounted back to the first year at the same return.
- Cost in a school year = cost today × (1 + cost inflation)^(years until that year) × share covered
- Needed when college starts = Σ school-year cost ÷ (1 + return)^(years into school)
- Savings when college starts = savings × (1 + return)^years + monthly × ((1 + m)^months − 1) ÷ m, where m = (1 + return)^(1/12) − 1
- Monthly saving needed = (needed − savings grown) ÷ ((1 + m)^months − 1) × m
- Shortfall = needed − savings when college starts (at today's monthly saving)
Worked Examples
| Scenario | Inputs | Result |
|---|---|---|
| Age 5, public in-state ($23,176 a year today), 4 years | 3% cost growth · $10,000 saved · $250/month · 6% return | Total cost $142,389 · needs $469/month · $50,951 short at $250 |
| Newborn, public in-state, nothing saved yet | 3% cost growth · 6% return | Total cost $165,067 · needs $397/month for 18 years |
| Age 10, private nonprofit ($54,618), covering 50% | $25,000 saved · $500/month · 6% return | Your half $144,729 · needs $760/month · $31,766 short at $500 |
| Age 3, public out-of-state ($40,936) | $5,000 saved · $400/month · 6% return | Total cost $266,819 · needs $810/month · $117,733 short at $400 |
Illustrative examples, not projections. Figures use the tax year shown and the assumptions above.
How Much Does College Cost per Year?
NCES puts the average yearly charge for tuition, fees, room and board at a public 4-year college at $23,176 for 2023-24 (in-state tuition $9,872, room $7,515, board $5,789), and $54,618 at a private nonprofit 4-year college [1]. The latest NCES table with out-of-state tuition shows $28,297 for 2022-23; with room and board that's about $40,936 a year [2].
These are national averages of published charges, before grants and scholarships. Over the ten years to 2023-24 they grew about 2.5% a year at public colleges and 3.0% at private nonprofits [1], which is why the calculator starts at 3%.
What Can a 529 Plan Pay For?
Withdrawals are tax-free when spent on qualified education expenses: college tuition and fees, books, supplies and equipment, a computer and internet access, and room and board for students enrolled at least half-time [3]. K-12 tuition counts up to $10,000 a year per student through 2025, and $20,000 a year from 2026 [4].
If money comes out for anything else, the earnings part is taxed as income, plus a 10% additional tax, with exceptions such as a scholarship or the student's death or disability [3]. Your contributions themselves come back tax-free.
How Do Gifts and 5-Year Superfunding Work?
Contributions are gifts to the student. In 2026 anyone can give up to $19,000 per person a year with no gift tax return [6][5]. A 529 contribution can be treated as if it were spread over 5 years, so one person can put in up to $95,000 at once (and two parents $190,000) by making the election on Form 709 [7].
There's no income limit on who can contribute. Total contributions for one beneficiary can't be more than needed for that student's qualified expenses; each state plan sets its own cap [3].
What Happens to Money Left Over in a 529?
You can change the beneficiary to another family member, or roll the money to another family member's 529, without tax [3]. Since 2024, up to $35,000 over the student's lifetime can also move to the student's own Roth IRA [8][4].
The rules for that rollover: the 529 has to have been open more than 15 years; money added in the last 5 years and its earnings can't move; it has to go trustee-to-trustee; and each year's rollover counts toward the Roth IRA contribution limit ($7,500 for 2026) [8].
Frequently Asked Questions
How much should I save for college each month?
For a 5-year-old headed to a public in-state college, with $10,000 saved, 3% cost growth and a 6% return, about $469 a month covers four years. Starting at birth with nothing saved, it's about $397 a month. The calculator works it out for your numbers.
How much does a year of college cost?
On average $23,176 for in-state tuition, fees, room and board at a public 4-year college and $54,618 at a private nonprofit college in 2023-24 [1], and about $40,936 for an out-of-state public college [2].
Can a 529 be used for K-12 tuition?
Yes, up to $20,000 a year per student from 2026 ($10,000 through 2025) [4].
How much can I put in a 529 without gift tax?
Up to $19,000 per beneficiary in 2026 with no gift tax return, or up to $95,000 at once by electing to spread it over 5 years on Form 709 [6][7].
Can I roll a 529 into a Roth IRA?
Yes, up to $35,000 over the beneficiary's lifetime, into the beneficiary's own Roth IRA, if the 529 has been open more than 15 years. Each year's rollover counts toward the Roth IRA limit [8].
Do I get a tax deduction for 529 contributions?
Not on your federal return. Many states give a deduction or credit for contributions, but the rules vary by state, so this calculator doesn't include them.
Sources
- Digest of Education Statistics 2024, Table 330.10: average undergraduate tuition, fees, room and board — National Center for Education Statistics
- Digest of Education Statistics 2023, Table 330.20: tuition, fees, room and board by state, including out-of-state tuition — National Center for Education Statistics
- Publication 970, Tax Benefits for Education (chapter 7, Qualified Tuition Program) — Internal Revenue Service
- Topic no. 313, Qualified tuition programs (QTPs) — Internal Revenue Service
- 529 plans: questions and answers — Internal Revenue Service
- IRS releases tax inflation adjustments for tax year 2026 (gift tax annual exclusion $19,000; Rev. Proc. 2025-32) — Internal Revenue Service
- Instructions for Form 709 (gift tax): 5-year election for qualified tuition program contributions — Internal Revenue Service
- Publication 590-A, Contributions to Individual Retirement Arrangements (IRAs) — Internal Revenue Service
Official sources only: the IRS, SSA, BLS and other government agencies. Read how Zentavos researches.