JobzbrvCollege inflation is the quiet part
Education costs tend to rise faster than everyday prices. A year of college priced today can cost far more by the time a five-year-old enrols, which is why starting the maths early matters more than starting with a big deposit.
What the calculator does
It grows today’s yearly cost by your inflation figure until the college start age, multiplies by four years and by the number of children, then spreads the total over the months you have left to save.
A worked example
Two kids, the youngest five, college at eighteen, $25,000 a year today, costs rising 5% a year. The yearly price at enrolment becomes about $47,000, four years per child about $188,000, and the family total about $376,000 — roughly $2,400 a month saved over thirteen years.
Saving versus insuring
These are different jobs. Savings build the fund while you are alive; life insurance replaces it if you are not there to finish saving. Many parents do both: a monthly saving plan plus cover for the years until the fund is complete.
What it cannot see
Scholarships, grants, part-time work and choosing a cheaper school all change the real bill. Treat the number as a planning target, not a prediction.
Common questions
Why does the fund look so big?
College inflation runs faster than general inflation, and thirteen years of compounding turns a manageable yearly price into a large total. Starting early spreads it over many small monthly amounts.
What if my child does not go to college?
The fund can be redirected to any large future goal. The maths works the same for trade school, a first home deposit or a wedding.
Should I save or buy more life insurance?
Do both if you can. Savings build the fund while you are alive; insurance makes sure the fund still exists for your children if you die before it is complete.