Q: What are easy ways parents can start saving for college early, and why is it important?
A: “Any conversation about reducing college costs has to have a discussion about savings,” says Tim Gorrell, executive director of Ohio Tuition Trust Authority/CollegeAdvantage. “Every dollar that’s been saved is one that doesn’t have to be borrowed or come from somewhere else. What we encourage people to do is just start [a savings fund] and make recurring contributions to that fund. It may start off very modestly with a lower dollar amount. But as life events happen, there may be opportunities to increase those contributions. For instance, a very simple one is when a child comes out of diapers — a lot of families or parents regard that as a bit of a pay raise. If there are child care expenses before a child goes to kindergarten, once that’s not an expense anymore, consider whether you can increase — modestly or a lot — contributions to [a college savings fund].”