529 College Savings Calculator
Compare a projected 529 balance with your entered future college costs. See contributed capital, assumed growth and the remaining funding gap.
Rule year: 2026 · USD · Sources checked
Projected 529 balance when college starts
529 savings-plan illustration, not prepaid tuition. Constant hypothetical net return, month-end deposits, annual education inflation and a full nominal college-bill reserve at entry. No return during college, financial aid, scholarships, state deduction, investment forecast, gift-tax calculation, withdrawal eligibility or credit coordination.
Education savings milestones
Hypothetical effective annual return after fees. The target reserves nominal bills for every entered college year at the start; no investment return during college or state tax benefit is assumed.
| Saving year | Contributed capital | Projected balance |
|---|---|---|
| 0 | $10,000.00 | $10,000.00 |
| 1 | $16,000.00 | $16,636.29 |
| 2 | $22,000.00 | $23,604.39 |
| 3 | $28,000.00 | $30,920.90 |
| 4 | $34,000.00 | $38,603.23 |
| 5 | $40,000.00 | $46,669.68 |
For informational purposes only. This estimate is not financial advice, a tax return, a payroll calculation or a lender decision. See the supported circumstances and exclusions below.
How this calculator works
A 529 savings account can help fund qualified education expenses, but its return is not guaranteed and it is not a prepaid-tuition contract. This model projects an existing balance and end-of-month deposits at an effective annual return after fees. It increases the annual college bill through the saving period and each entered college year, then compares the balance at college entry with a reserve for all those nominal bills. No investment return is assumed during college. The required monthly deposit solves that same reserve target. Federal contribution deductibility is not assumed; state benefits and qualified-expense eligibility must be checked separately.
Formula and rules
Projected balance = initial × (1 + monthly return)^months + deposit × monthly annuity factor. Education reserve = sum of today's annual cost × (1 + cost inflation)^(saving years + college-year offset). Required deposit solves projected balance = reserve.
Assumptions and limitations
529 savings-plan illustration, not prepaid tuition. Constant hypothetical net return, month-end deposits, annual education inflation and a full nominal college-bill reserve at entry. No return during college, financial aid, scholarships, state deduction, investment forecast, gift-tax calculation, withdrawal eligibility or credit coordination.
Worked example
With $10,000 already saved, $500 deposited each month for five years and zero return, the fund reaches $40,000. Four college years at $10,000 with no cost inflation also total $40,000, leaving no funding gap and requiring the same $500 monthly deposit.
- Projected 529 balance when college starts
- $40,000.00
- Reserve for entered future college bills
- $40,000.00
- Projected reserve shortfall
- $0.00
- Monthly deposit needed under these assumptions
- $500.00
Official sources and review
Reviewed against the sources below on 2026-10-07. Rates are held in versioned rule modules. Versioned rules, official source review and year-specific calculation tests.
- IRS: Qualified tuition programs ↗
529 savings plans differ from prepaid tuition. Contributions are not federally deductible; qualified distributions can exclude earnings from federal tax.
Common questions
Are 529 contributions federally tax-deductible?
Generally no. Qualified distributions can exclude earnings from federal income tax, while contribution incentives vary by state. This projection does not calculate those incentives.
Why reserve every college bill at the start?
It is a transparent conservative timing assumption: the account earns no modeled return during college. The target adds nominal future bills rather than discounting later withdrawals.
Does the target decide which expenses qualify?
No. Establish qualified costs and any coordination with education credits under IRS and plan rules before using a projected balance as a withdrawal plan.