529 College Savings Calculator
Project your 529 plan balance, compare it with the future cost of college (with tuition inflation and aid), and find the monthly saving or lump sum that would close the gap.
How it works
Balance = current × (1 + i)^n + monthly × ((1 + i)^n − 1) ÷ i, i = return ÷ 12, n = years × 12 · Cost in college year k = (yearly cost − aid) × (1 + cost increase)^(years + k − 1) × share from savings
A 529 plan is a state-sponsored account for education costs: investments grow tax-deferred and withdrawals for qualified education expenses are free of federal income tax. The calculator compounds your current balance and every monthly contribution at the expected return until college starts. It then prices college in future dollars: today’s yearly cost (a College Board average for the type of school, or your own figure), minus any scholarships you expect, raised by the college cost increase for every year until each school year begins, and multiplied by the share you plan to pay from savings. Each year’s cost is paid at the start of that school year while the rest of the money keeps growing. From that it shows how much of the bill your plan covers, the monthly contribution (or one-time deposit today) that would cover all of it, and how much less the same deposits would grow to in an ordinary taxable account. Because the horizon is long, a large share of the final balance is usually growth rather than contributions — the earlier you start, the more the plan does the work.
Worked example
Starting with $5,000 and adding $250 a month for 15 years at a 6% return, the balance reaches about $84,975: $50,000 contributed and about $34,975 of growth. A public in-state university costs $30,990 a year today; at 4% a year it will cost about $55,800 in the first year and about $237,000 over four years. Paying each year’s bill from the account, the plan covers about 37% of that, leaving about $150,000 uncovered. Saving about $702 a month from now — or adding a one-time deposit of about $53,600 today — would cover the full cost. The same deposits in a taxable account with earnings taxed at 15% would grow to about $78,100, about $6,900 less.
Sources: College Board — Trends in College Pricing 2025 · IRS — Publication 970, Tax benefits for education
Frequently asked questions
Are 529 withdrawals really tax-free?
Yes, when used for qualified education expenses such as tuition, fees, books, computers and, for students enrolled at least half time, housing and food. The earnings part of a non-qualified withdrawal is taxed as income plus a 10% additional tax, so keep withdrawals matched to eligible costs.
What return and cost increase should I assume?
Age-based 529 portfolios shift from stocks to bonds as college nears, so a plan for a young child might assume 6–7% and one close to enrollment far less. Published college prices have risen roughly 3–5% a year over long periods, faster than general inflation; 4% is a middle-of-the-road choice.
How much should I save each month for college?
Pick the type of school (or enter your own cost) and the share you want to pay from savings. The calculator shows the monthly contribution that would cover that share in full, or the lump sum you could deposit today instead. Many families aim to save for part of the cost and cover the rest from income, aid and loans.
Why compare with a taxable account?
In an ordinary brokerage or savings account, interest, dividends and realized gains are taxed along the way, so less of the growth stays invested. The comparison uses a simple drag on the return at the tax rate you enter; a 529 avoids that drag when the money is used for qualified costs.
What if my child doesn’t use all the money?
You can change the beneficiary to another family member, use it for graduate school, or roll up to $35,000 over a lifetime into a Roth IRA for the beneficiary if the account has been open at least 15 years (yearly Roth limits apply). Non-qualified withdrawals are taxed and penalized on the earnings only.
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Educational estimate only, not financial or tax advice. Retirement, contribution and tax rules change and depend on your personal situation — confirm with a licensed financial or tax professional.