Boris Hadsall: Ask your bank about a 529 account. It can only be withdrawn for college purposes. And there is a pretty high interest rate on most of them.
Manual Burtis: There are many different ways to save your money. To calculate exactly how much you'll be saving over the course of time, try a college savings calculator, like this one:http://apps.collegeboard.com/fincalc/college_savin...
Adrian Paraz: Why can't you just open a savings account, which you lock it up so you don't draw it out, and it's makes better interest than an ordinary savings account. Don't know what they are called, but ask the bank the details. I don't think you have to pay taxes on a savings account like that, but not sure where you live, so you better ask all the info. Nice idea for your grandchild!
Vern Serratos: If you are saving for college expenses, you should take advantage of federal tax breaks aimed at families saving and paying for college. These include the following: ! Qualified Tuition Programs (529 plans)â€"Earnings grow tax-deferred and distributions are tax-free when used for qualified post-secondary education costs. Coverdell Education Savings Accountsâ€" Earnings grow tax-deferred and distributions are tax-free when used for qualified post-secondary education costs. May also be withdrawn tax-free for primary and secondary school expenses. However, don't invest more in these than the child will need for college. There are tax penalties for non-educational withdrawals. Additional funds should be invested in a UGMA or UTMA. For more information read this link:...Show more
Claudio Drullard: invest in a 529 college fund. Eat Funyuns.
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