College cost and funding plan
Costs inflate on their own assumption; savings compound on another. What separates them is the funding gap.
Savings are targeted to cover $168,498 of a projected $168,498 total cost, and reach 56.9% of that target.
Savings cover college years 1–2 completely and $15,769 of college year 3.
- Starting savings and contributions: $63,000 (68.6%)
- Investment growth: $28,852 (31.4%)
Only the current annual cost is a figure you should source. Cost inflation, return and attendance length are assumptions you chose, and the sensitivity table below shows how much they matter.
| College year | Years from now | Projected cost | Other funding | Target from savings | Cumulative cost |
|---|---|---|---|---|---|
| 1 | 10 | $39,093 | $0 | $39,093 | $39,093 |
| 2 | 11 | $41,048 | $0 | $41,048 | $80,142 |
| 3 | 12 | $43,101 | $0 | $43,101 | $123,242 |
| 4 | 13 | $45,256 | $0 | $45,256 | $168,498 |
Inflation keeps running during college, so each year costs more than the one before it.
Scroll the table sideways on a narrow screen to see every column.
| Cost inflation ↓ / Return → | 4% return | 6% return | 8% return |
|---|---|---|---|
| Lower cost inflation (3%) | $51,417 | $37,714 | $20,025 |
| Selected cost inflation (5%) | $85,848 | $72,588 | $56,475 |
| Higher cost inflation (7%) | $127,388 | $115,086 | $99,703 |
Each cell is the funding gap for that pair of assumptions. Cost inflation and investment return pull in opposite directions, which is why they are shown together rather than one at a time.
Scroll the table sideways on a narrow screen to see every column.
| Year | Phase | Starting savings | Projected cost | Paid from savings | Contributions | Growth | Shortfall | Ending savings |
|---|---|---|---|---|---|---|---|---|
| Year 1 | Saving | $15,000 | $0 | $0 | $4,800 | $1,031 | $0 | $20,831 |
| Year 2 | Saving | $20,831 | $0 | $0 | $4,800 | $1,380 | $0 | $27,011 |
| Year 3 | Saving | $27,011 | $0 | $0 | $4,800 | $1,751 | $0 | $33,562 |
| Year 4 | Saving | $33,562 | $0 | $0 | $4,800 | $2,144 | $0 | $40,507 |
| Year 5 | Saving | $40,507 | $0 | $0 | $4,800 | $2,561 | $0 | $47,868 |
| Year 6 | Saving | $47,868 | $0 | $0 | $4,800 | $3,003 | $0 | $55,670 |
| Year 7 | Saving | $55,670 | $0 | $0 | $4,800 | $3,471 | $0 | $63,941 |
| Year 8 | Saving | $63,941 | $0 | $0 | $4,800 | $3,967 | $0 | $72,708 |
| Year 9 | Saving | $72,708 | $0 | $0 | $4,800 | $4,493 | $0 | $82,001 |
| Year 10 | Saving | $82,001 | $0 | $0 | $4,800 | $5,051 | $0 | $91,852 |
| College year 1 | College | $91,852 | $39,093 | $39,093 | $0 | $3,166 | $0 | $55,924 |
| College year 2 | College | $55,924 | $41,048 | $41,048 | $0 | $893 | $0 | $15,769 |
| College year 3 | College | $15,769 | $43,101 | $15,769 | $0 | $0 | $27,332 | $0 |
| College year 4 | College | $0 | $45,256 | $0 | $0 | $0 | $45,256 | $0 |
During college the bill is settled at the start of each academic year, and only the remaining balance earns a return for that year.
Scroll the table sideways on a narrow screen to see every column.