529 College Savings Calculator
Will your 529 cover college? See the share it pays for, and the monthly amount that would cover it all.
Covers 37% of college
$83,711
In the 529 when college starts at 18. 4 years of college will cost about $229,429 by then.
- College cost, future dollars$229,429$30,000/yr today, +4%/yr
- You put in$50,000
- Tax-free growth$35,492no tax when spent on education
529 balance
To cover it all: $690 a month
That’s $440 more than now. Covering part is fine too: scholarships, work and savings fill the rest, and you should never short your own retirement for college.
An estimate. Returns and college costs vary; this assumes steady growth and withdrawals at the start of each school year.
How a 529 works
Tax-free for education
Money grows without yearly tax, and comes out tax-free for qualified education: college tuition, fees, books, computers, and room and board for students at least half-time. Many states also give you a state tax deduction for contributing.
Not just college
Since 2026 you can use up to $20,000 a year for K-12 tuition and related costs, plus apprenticeships, trade schools, and professional licenses and credentials. Up to $10,000 (lifetime) can go toward student loans.
If they don’t need it all
You can switch the account to another family member, keep it for grad school, or roll up to $35,000 (lifetime) into the child’s Roth IRA once the 529 has been open 15 years, within the yearly IRA limit. Otherwise, the growth you take out for other things is taxed, plus a 10% penalty.
Financial aid and gifts
A parent-owned 529 counts as a parent asset on the FAFSA, which reduces aid far less than money in the child’s name. Anyone can give up to $19,000 a year (2026) gift-tax free, or front-load five years at once ($95,000) into a 529.
How a 529 fits with custodial accounts and a Roth IRA for kids: the Parents Hub
Important — please read
This calculator is an educational tool. It shows a simple, fixed-rate projection: it assumes your money grows at the same rate every year with no interruptions, and it ignores taxes, fees, inflation, market volatility, sequence-of-returns risk, and changes to your contributions or circumstances. Real investment returns vary widely year to year and can be negative. Past performance does not predict future results.
The numbers shown are hypothetical illustrations, not a forecast, a promise, or a recommendation, and nothing here is investment, tax, legal, or financial advice or an offer or solicitation to buy or sell any security. Paycheck Paradox is not a registered investment adviser, broker-dealer, or tax advisor.
Before making any financial decision, talk to a qualified professional — a licensed financial advisor, CPA, or attorney — who can account for your full situation. You are solely responsible for your own decisions.
Provided “as is”, with no warranty of accuracy or fitness for any purpose. To the fullest extent permitted by law, Paycheck Paradox accepts no liability for any loss arising from use of, or reliance on, this tool.