529 college savings target planner

How the estimate works

The annual cost entered is treated as a current-year estimate. Each school-year cost grows by the entered annual cost increase. The current balance grows monthly until school starts; equal monthly contributions are added at month end during that saving period. Contributions stop when school starts. During school, the model applies the entered annual return once each year and subtracts that year's estimated cost at year end. It reports whether the balance covers the modeled costs and the remaining gap, if any.

The monthly return is the entered annual rate divided by 12. For each savings month, B_m = B_m−1 × (1 + R/12) + C, where R is the annual return assumption and C is the end-of-month contribution. School costs are calculated as K_y = K₀ × (1 + I)^Y+y−1, where K₀ is the cost entered in today's dollars, I is the entered annual cost increase and Y is years until school starts.

The SEC Investor Bulletin on questions to consider before opening a 529 account explains that plan options, fees, tax incentives, and restrictions vary by plan and state, and that investment returns involve risk. The IRS Topic 313 on qualified tuition programs describes 529 programs and qualified expenses. Review the actual plan disclosure and current tax guidance; this calculator does not determine qualified expenses, tax treatment, financial-aid effects, eligibility, or a suitable plan. Sources checked November 3, 2026.

Both the return and cost-increase percentages are assumptions, not forecasts. The model holds them constant and excludes plan fees, taxes, scholarships, financial aid, other savings, and changes to contributions or costs. Actual school charges, account values, withdrawal timing, and investment results will differ. This is an educational estimate, not investment or tax advice.

Related college and savings tools

Use the college net price calculator finder to reach school-specific official cost estimates. The compound savings planner models a general deposit schedule with a user-entered fee assumption, while the savings goal calculator solves for a monthly contribution toward a single target amount.

How it works

Enter a current annual education-cost estimate, years until school starts, school years, cost increase assumption, current savings, monthly contribution, and annual return assumption. The model compounds savings monthly until school begins, then models annual costs and returns during school.