Expand mobile version menu

How do I save for college?

A savings account is a great way to help pay for college. Open a savings account and designate the money to be used only for college. As the amount grows, so will your motivation to not use it for other things. Consider having automatic payments made directly from your paycheck or talk with your parents about allocating an amount from the family budget for education. This will help you save regularly and will make saving for college a family habit.

Did you know that if you save just $25 a week starting with your freshman year in high school, you will have saved more than $5,000 by the time you graduate? Think of how much you would have if you start saving when you are even younger! Visit your local bank today to find out how easy it is to set up a savings account.

You may be interested to know that in Colorado we have the world's first (and only) bank just for young people. Young Americans BankNew window icon, located at 3550 East 1st Avenue in Denver, is a real state-chartered, FDIC-insured bank.

College Savings Plans - 529 Plans

State-sponsored 529 Plans are one of the best ways for families to save for college. These savings plans offer advantages you can't get from other savings plans. Learn more about Colorado's CollegeInvest 529 College Savings Program along with other savings programs they offer by visiting www.collegeinvest.orgNew window icon or by calling 1-800-448-2424.

Coverdell Education Savings Accounts (formerly Education IRA's)

A Coverdell Education Savings AccountNew window icon (ESA) allows your parents to receive tax advantages while saving for your education. All money put into this savings account must be used for educational expenses. To learn more about ESAs, ask your parents to contact the Internal Revenue Service (IRS) or talk with a tax advisor.