The cost of a college degree continues to rise, and for many families, the cost can feel overwhelming. According to the College Board’s 2024-2025 data, the average annual tuition and fees are about $11,600 for in-state students at public universities, nearly $30,800 for out-of-state students, and close to $43,350 for private colleges. Multiply that by four years, then add in housing, food, books, and other living expenses, and the total can easily surpass six figures.

The good news? With the right strategies and a head start, you can make college costs more manageable. Here are some practical ways to begin:

Every dollar you put away today is a dollar less you will need to borrow tomorrow. More importantly, starting early gives compound interest time to work in your favor. Even small, consistent monthly contributions can add up to a significant amount over 15 to 18 years.

If you are not sure where to begin, try using a college savings calculator. It can help you test different savings amounts and see how your money might grow over time.

A 529 plan is one of the most powerful tools for college savings. It is a plan operated by a state or educational institution with tax-advantages to make it easier to save for college or other qualified educational programs.

Many states also sweeten the deal with tax breaks for contributions. You can typically contribute large amounts (often over $300,000 per account) while still maintaining control of the funds. If your child does not use all of the money, you can transfer it to another family member’s education expenses. For more details, visit the IRS’s 529 Plans: Questions and Answers. 

Loved ones often want to help with a child’s future. Instead of toys or clothes, ask grandparents, aunts, uncles, or family friends to contribute to a college fund for birthdays or holidays. This is a great way to get everyone involved in your child’s future success while giving a meaningful and long-lasting gift. 

Consistency is key when it comes to saving. By setting up automatic transfers from your checking account into your college savings account each month, you treat college savings like any other bill.

Start with an amount that fits your budget, and increase contributions when you get a raise, bonus, or tax refund. Over time, this “set it and forget it” approach makes saving second nature.

Your investment strategy should evolve as college draws closer. When your child is young, you may want to take on more growth-oriented investments. As enrollment nears, shifting to more conservative options can help protect your savings. Many 529 plans offer age-based portfolios that automatically adjust as your child gets older.

Free College Application Week is a new statewide program that allows Texas residents to apply to public colleges and universities without paying application fees. It requires all public institutions to waive fees for undergraduate applications submitted through ApplyTexas. The first Free College Application Week will be held October 13–19, 2025, and afterward it will take place annually during the second full week of October. Eligible participants include Texas residents applying as first-time college students or transfer students, as long as they submit their applications through ApplyTexas by the deadline. You can learn more about this program here. 

Saving for college can feel daunting, but with a clear plan, it is absolutely achievable. Start as early as possible, take advantage of tax-friendly accounts like 529 plans, involve your family, and commit to consistent contributions.

The sooner you begin, the more options and peace of mind you will have when that first tuition bill arrives. If you are ready to start building your savings, visit our website or your closest branch to explore your options.