Saving for College at Every Age

Too Close for Comfort
Even if your child is only a year or two away from college, it’s not too late to find funds for their education.

“A lot of research has shown that grandparents are more than willing to help with college education expenses,” says McConnell. “But parents don’t ask. If they’d ask, there’s a strong indication that grandparents would be willing to help.”

In addition, when assets are used to calculate the financial aid available to a prospective college student, potential contributions from grandparents aren’t taken into account, so you don’t have to worry about missing out on aid if the grandparents decide to chip in.

Be sure to look into scholarships and financial aid options. As your child gets closer to graduating high school, reassess the investment risk in your college savings accounts and consider moving them into less risky investments like shorter-term bonds and money market funds. And fill out the Free Application for Federal Student Aid.

Remember that college tuition isn’t paid for all at once, and you can still grow your savings over the years that your college student is in school.