With the costs of higher education continuously on the rise, starting early on saving for your child's college education is crucial. Here's how to navigate the process.

1. Understand the Costs

College costs extend beyond tuition. They include room and board, books, transportation, and other living expenses. Use an online college cost calculator to get a more accurate estimate.

2. Start Early

The earlier you start saving, the more time your money has to grow. Even small, regular contributions can add up over time thanks to compound interest.

3. Use a 529 Plan

A 529 plan is a tax-advantaged savings plan designed to encourage saving for future education costs. Earnings in a 529 plan grow federal tax-free and will not be taxed when the money is taken out to pay for college.

4. Consider an Education Savings Account (ESA)

An ESA is another tax-advantaged investment account. While contribution limits are lower than a 529 plan, an ESA offers more flexibility in investment choices.

5. Automate Contributions

Setting up automatic contributions to a college savings account ensures regular saving and eliminates the chance of forgetting to make a deposit.

6. Encourage Gifts to the College Fund

For your child's birthdays and holidays, consider asking relatives to contribute to the college fund in lieu of presents.

7. Explore Scholarships and Financial Aid

Even with savings, scholarships and financial aid can help offset college costs. Start researching early to understand the requirements and deadlines.

Remember, every bit saved helps when it comes to paying for college. With careful planning and discipline, you can build a robust college fund for your child.