Saving for college can feel overwhelming, but one mom, Sarah, says the smartest approach is surprisingly simple: start early and be consistent.

“I didn’t understand the power of compound interest when I was younger,” Sarah explains. “Now, seeing my daughter’s college fund grow, even with small contributions, I realize it’s a game-changer.”

Sarah started saving for her daughter’s education when she was just a baby. She opened a 529 plan, a tax-advantaged savings plan specifically for education expenses, and contributed a small amount each month.

“I know it can be hard to find extra money, especially when you’re raising a family,” she admits. “But even $50 a month adds up over time. And if you can manage more, even better!”

Sarah also emphasizes the importance of investing wisely. The 529 plan allows for different investment options, and choosing a mix that aligns with your risk tolerance and time horizon is crucial.

“We opted for a more conservative approach, with a mix of stocks and bonds,” she says. “I wanted to ensure our money grows steadily, not gamble on the market.”

Beyond financial strategies, Sarah believes teaching her daughter about money management is just as important.

“We talk about saving, budgeting, and the importance of education,” she says. “I want her to understand the value of her college fund and appreciate the sacrifices we’re making.”

Sarah’s approach is a testament to the power of long-term planning and consistent saving. While there are various strategies for college savings, starting early, investing wisely, and teaching financial responsibility are cornerstones of success, regardless of your family’s financial situation.