CHILD EDU FUND (CEF)
Starting Point
Ideally, the best time to start a college fund is when your child is born. With compound interest and regular investments made monthly or yearly, the funds have an opportunity to grow over a longer period of time, and you don’t need to put aside as much each month or year to reach your savings goal.
Savings
Your funding can be modest, and many parents find they can afford $25–$100 from each paycheck, automatically deposited into the college savings plan of their choice. If you get a raise or bonus, that money (or a portion) can also be allocated toward college savings.
Choosing a Pathway
First, it’s important to choose the investment vehicle that meets your needs. There are several fund types to choose from, all with their own rules and tax consequences. You can even have more than one account, depending on how your finances change over time.