U.S. savings bonds are federally tax-deferred and state tax-free. It's the long-term growth of it that can be tax free. Step 1 - You. . Luckily, other options can help you fund your childs education: If you start early, set goals and look for areas to save, your college fund contributions could eventually have a huge impact. The cost of attending a public community college for one academic year in your own province runs around $2,000-$5,000, while attending a public university could set you back roughly $5,000-$8,000 a year. The most expensive school in the study is Columbia University, with a one-year cost of $55,056. To get you into an apartment. If you're ready to start saving for college, check out the best 529 plans for 2023. A free savings account that earns a strong APY once you meet the $100 opening deposit requirement. Peter Carleton is a writer that covers banking and investing, breaking down what you need to know about where you put your money. Regardless of how you choose to save for college, one of the best things you can do is to save early and save often. The value of retirement accounts is not counted as an asset on the FAFSA. Say you get $150 on average from your birthday, another $100 in gifts from your grandparents, $50 from odd jobs, and $200 in chore money (a total of $500/year). While target-date funds are an easy and popular way to save for retirement, the strategy also helps build college savings. When I was getting geared up towards college shout out to Washington College I had not thought for a moment about going after scholarships under the age of, say, 17. I've been saving up for college but I'm too young for a paying job, any suggestions? Contributions have to be made before the beneficiary turns 18, and the account can only be used until they turn 30. When I looked in November, I found it had squeezed awhopping $509.97 into savings for us! Advertiser Disclosure. MACUs Teen Savings account earns little interest but remains free until your kid turns 26. Mutual funds assets owned by a parent will. Setting Up Bank Account for Baby? You have been successfully subscribed to our email list. If nothing else, it can pay for first year tuition, books, or other expenses.. The amount you should save varies significantly depending on the degree, where you live, your budget, financial aid and other factors. So, if you are maxing out your tax-advantaged accounts, it may be a good idea to have some savings for education in a regular investment or custodial account. Linsey says, I look everywhere! The savings account would allow you, your family members and friends to help your child learn the importance of saving. Earnings and gains are taxed to the minor and subject to the kiddie tax where unearned income over $2,300 for certain children through age 23 is taxed at the marginal rate applicable to trusts and estates (in 2022). (0 to 30) College Start Age. The more credits each year, the less time it takes to finish your degree and the opposite as well. Savings Plan and Future Cost Estimation. The number of times compounding occurs per period. That's why you've got to look at how to pay for your child's college in totality, and not just through savings. Why You Should Consider Small Private Schools. If you are old enough to be thinking about college, you are not too young to have at least a casual, paying job. This straightforward online savings account has no monthly service or account opening fees. FDIC insured up to $250,000. By doing this they earn credit for both the GED and the college degree. In our case, those 15 credits were worth $1,283.85 at the community college my son went to, per quarter, or about $7,700 for 90 credits over six quarters. Because if you're following Fidelity's rule on having $2,000 saved for each year of your child's lifeand you're looking at starting to save for college at 14, well then you are about $28,000 behind (and, actually, further than that because they assume that money is sitting in a 529 investment plan, earning returns). Students are awarded an average of $14,535 a year in grants and tax credits, which could reduce costs by $58,140 over four years. We may also receive compensation if you click on certain links posted on our site. And that's just tuition alone there's also room and board, food, transportation, books, supplies and a myriad of other costs to consider. The Ultimate Guide to Credit Card Travel Rewards, Applying to Colleges? Enjoy no monthly fees and a competitive APY with this online-only savings account. This homeschooling Mama Bear to 6 kids Kylin (age 18), Micah (age 13), Matthias (age 11), Moses (age 9), Marcus (age 6), Manasseh/Manny (age 3) has been entering and winning contests on and off for over 20 years. We try to nurture those gifts and interests early and often, so that they can see what they might like to do when they get older. I start putting $25 each month for each kid into a custodial investing account for them when they are preschool age. The hardest part is knowing where to start. Our community helps people discover and accelerate their path to Financial Independence with the goal of earning more, spending less, and enjoying the journey. Custodial Account (UTMA/UGMA) Another way to save for college is to save money in a custodial account. We may receive compensation from our partners for placement of their products or services. And that $509.97this free toolset aside for us? One particular example is Liberty Online Academy, which has a dual enrollment program for online students to earn both high school and college credits at the same time. This amount, multiplied by 15 or 16 years, will give you a total of 1.8 to 1.92 million. Each is a tax-free account, and other people who want to give to your child's education, like grandparents and uncles, can easily invest, too. To pay for four years of college that costs $50,000 per year including books and fees, parents trying to meet a first-day-of-college deadline need to have a lump sum of $178,594. To review the plans that are available, you can visit www.SavingforCollege.gov, which provides a list of all the plans available, state by state. Get started on your Path to FI. Why You Should Consider Small Private Schools, Duel Enrollment: The Pros And Cons You Need To Know, Mental Wealth & Healing | Rich Jones | Ep 413, Whats In Your Index Fund? Yes. If you begin when your child is 8 years old, you'll have 120 months (10 years, give or take) to save. In this episode; global funds, its not doctrine, index funds, VTSAX, what is in index funds, and the opposite of active investing. Visit reliable websites. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Finder.com is an independent comparison platform and That works out to $20,460 ($10,230 x 4 x 50%), based on today's figures. Not only is she having her children enter 4-6 skill scholarship contests per year (like these youth entrepreneurship competitions), but since these are skill-based contests, they're also complementary to herhomeschooling education (not to mention giving her kids a healthy appetite for entering contests + competing). In others, students take college-level classes at their high school, taught by educators who are certified as required by the state. When you start plugging those numbers into the college savings calculator, suddenly you're supposed to start saving over $500 per month for your child. One day when faced with all of the bills that came at the end of lastyear, I suddenly realized I had some hope. Wrench Icon. % of people told us that this article helped them. Read on to learn more about how the contribution limits and gift tax work. This post may contain affiliate links. With so many college savings options, how do you best choose the right account for your child or grandchilds college education? As a small thank you, wed like to offer you a $30 gift card (valid at GoNift.com). We were just talking about our 529 plan for our two-year old this morning. The campus athletic center can be one of the best perks of being in college. The 529 takes your money and invests it across numerous funds. It is also called concurrent enrollment, and the way it is rolled out varies from state to state. The Workaround to their Low-Interest Earnings. But more specialized products like 529 plans and Coverdell Savings accounts come with tax advantages, higher returns and savings incentives to help you save more. Though its technically designed for retirement savings, you can withdraw contributions from your Roth IRA without penalties. I believe it was around $100 per credit hour instead of the normal cost which was anywhere from $500 to $1,000 per credit hour. Join the movement. Since the money is assured by the U.S. government, savings bonds are seen as a low-risk investment. A summer job is a great way to save for college, though in-person positions will be hard to come by this year. Some courses werent actually part of the GED core requirements, but we were able to get them paid for as electives. Designed for kids age 12 and younger who live in select Utah counties. But when the term is 21.5 years, the investments total $72,346. Can savings bonds be used to pay for college courses offered in public high school as a dual-enrollment course? It depends on the type of account you open. If bond proceeds are not spent on tuition and fees, interest earned will be included in federal income and subject to tax. For a monthly deposit example, deposits are made at the beginning of each month. Lemmata Savings Bank Money Market Account. The average cost of a public, four-year university is $24,300 a year. Also, these classes were cheap. Dual enroll in high school. I'm a Mama Bear. $110,674. Certain types of accounts have low contribution or income limitations that will limit how much you can save for college. Just like the 529 it is post tax money and the interest it earns is tax deferred. For an out-of-state public program, the average cost is. If you can up the course load to almost 40 credits a year, it breaks down into three years and so on. I had no idea, while in college, that you could KEEP applying for scholarships all four years. $100K household; In-state public college Household income: $100K College: Public, in-state Current college savings: $1,000 Rate of return: 7% Child's age: 1 Monthly contribution: $335 And you know what else? Build Long-Term Goals. This is especially true when it comes to dual enrollment and tuition arbitrage. By signing up you are agreeing to receive emails according to our privacy policy. When he was done with his military service, he was able to slide right into his Junior year at the University of Washington. Here's a basic savings formula for how much you should save per month, assuming your money wouldn't be earning any gains or interest: Monthly savings = Total savings goal (Years until college x 12) Let's see how this looks in action: If you have a newborn baby, you'll have 18 years to save for college. Thanks to all authors for creating a page that has been read 39,716 times. The goal would be to save one quarter of the total, $25,000, through regular deposits as the child grows up. It's important when you do this that you don't set yourself up to fail. MyFinancialAdvice.com is another tool that offers financial advice for modest investors. Public (in-state): estimated $210/month. A gym membership can cost anywhere from $20 to $100 a month, so use the school gym and put that money into savings instead. Plus the kids have won small prizes of $20-$50 in the past. The amount you should save varies significantly depending on the degree, where you live, your budget, financial aid and other factors. A 529 plan is a popular type of education savings account that offers both federal and some state tax benefits when funds are used for qualified education expenses. ","anchorName":"#how-much-should-i-save-for-college"},{"label":"Compare accounts to help you save for college","anchorName":"#compare"},{"label":"5 types of college savings accounts","anchorName":"#5-types-of-college-savings-accounts"},{"label":"Compare savings plans","anchorName":"#compare-savings-plans"},{"label":"Can I use a Roth IRA to save for college? So long as the funds are only used. Get involved!. If you don't know, a 529 plan is a college saving investment account that has tax-free withdrawals. I get it. Copyright 2021 Saving for College, LLC. You can also open multiple accounts if youre saving for multiple children. Can I use a college savings account for something other than tuition? This is a good way to get started. Mutual fund earnings are subject to annual income taxes. Based on four years of schooling, these are the essentials the College Board says you should budget for as of 2019: Average tuition: $98,854 Public in state: $41,760 Public out of state: $107,280 That's about $96 less per month than if you didn't invest your money. Here are a few scenarios demonstrating figures that will enable you to save enough money for your child's college education. We may also receive payment if you click on certain links posted on our site. According to U.S. News and World Report, the average tuition and fees at a private university for the 2016-17 school year are $33,635. Earn up to 0.30% APY when you open a My Checking account and set up a $1,000 direct deposit. You may choose to take some community college classes while in high school, or enroll directly into community college after high school graduation. There are many types of 529 plans sponsored by states across the country. The government issues College Savings or Federal Savings bonds as a safe investment vehicle. This article was co-authored by wikiHow Staff. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. You're less likely to forget that way. wikiHow's Content Management Team carefully monitors the work from our editorial staff to ensure that each article is backed by trusted research and meets our high quality standards. a Coverdell Education Savings Account. Where I'm not only telling you that saving for your kid's college education is doable, but also that there's a way I know of to make it painless? Research and consultations were essential to successful credit transfers and building a foundation of prerequisite 100 and 200 courses that would be accepted at the University of Washington. Fidelity Investments has tried to clarify college savings with a new rule of thumb: Multiple your child's age by $2,000 to stay on track to cover half the average cost of a four-year, public . If you're saving for a 4-year-old child, here are your estimated monthly contributions. Only married couples earning less than $214,000 (in 2022) or individuals earning less than $144,000 may contribute the maximum amount. But what would you really miss? Graduate school. The average in-state resident cost at a public university, reported by College Board, is $9,410 for a single year. Heres How (& Savings Plan for Child), Books to Read Your Children When Youre Going through Tough Financial Times. providing them with information and tools to understand the benefits of 529 college savings plans and Michael Bervell, 18, now a freshman at Harvard University majoring in neurology and computer science, raised more than $90,000 . Third, live off the larger income and save the smaller one. I Google for them, sign up for lending institutionnewsletters, and use sites like Petersons and Cappex. 44% of respondents who arent saving say they havent started because they dont have time to research their options. Remember, these numbers only work if you start investing early with a 529 college savings plan. More. In-state expenses at a public school averaged $24,610, of which $9,650 was for tuition. It's called the Asset Protection Allowance, and the age of the oldest parent is what determines how much is protected when calculating financial aid and determining the EFC (Expected Family Contribution). There's end-of-the-year Roth IRA contribution catch-ups to make to ensure we've maxed those out. There is no limit to how much you can invest. The latest articles and tips to help parents stay on track with saving and paying for college, delivered to your inbox every week. If you picked the courses carefully, you could line up a solid curriculum that would count towards an associate degree, which could then be transferred, credit for credit, at the University of Washington. FAFSA considers money transferred from mutual funds to pay for college as income. Our information is based on independent research and may differ from what you see from a financial institution or service provider. Kids change their minds, but homeschooling gives us freedom to not waste time sending kids to college to do things they would hate to do in the real world. Investment bank Fidelity estimates that the average retired couple spends $300,000 on health expenses from age 65 through the end of their lives. Then they'd pay $25,000 out of their current income during the four years of college, with the undergraduate working part-time during the school year and full-time during the summer. USAlliance MyLife Savings for Kids earns 2% APY but only on balances up to $500. In some states, students go to community colleges and state universities for college-level classes that earn them credit for their GED and at the tertiary institution they attend. Wear shirts, drink from mugs, and have even more of our eternal gratitude. A savings account with a higher-than-average rate and minimal fees. If the average course is three credits, then taking 30 credits a year breaks out into a four-year period of time. A traditional savings account is an option for growing your college fund. If you can afford to put away $200 a month from the time your child is born, youll have $43,200 by the time theyre 18 not counting any returns on your investment. how to meet the challenge of increasing college costs. You will find the state office that manages the plans, along with information about how to enroll and begin investing. a prepaid tuition plan. Dual enrollment is the practice of allowing high school students (typically in their junior and senior years) to also be signed up for college level classes. It'll cost an estimated $302,700 to send today's newborns to a four-year private college, according to Wealthfront research. Accounts offered by American Express National Bank, Member FDIC. In fact, we'll start with the benefits there are to getting a late start saving for college. For example, a $50,000 529 plan deposit in 2023 can be applied as $10,000 per year . Thats their business model they save it for you automatically, and they earn the interest. Local and topic groups for community and support. Student aid and scholarships can help pay college expenses, but every bit you can save helps combat student debt. Can I open more than one type of college savings account? Much more information about the AP program, tests and college credits is available at. Big ticket items cars, boats, trailers can pay for a year or more of college . Withdrawals spent on qualified higher education expenses and up to $10,000 per year in K-12 tuition avoid federal income and capital gains tax, and some states offer additional. Simply pay your parents the monthly difference (usually between $15 and $50). For more detailed information on establishing a 529 account, check out Choose a 529 Account. One of the key benefits of dual enrollment is the potential to give high school students a head start in college. Plus, you only need $1 to open. Third Coast Bank High Yield Savings account. There are 16 references cited in this article, which can be found at the bottom of the page. Ask friends, relatives or colleagues for recommendations. New York, NY, 10016. The current average cost $35,720 per student at least offers a reference point in determining how much you aim to save. Linsey Knerl is no stranger to entering contests for money. Check out these tips: The best way to save for college might look different for each family, but one truth remains: its never too early to start. If you have one or more schools in mind where you ultimately would like to attend, make sure that the credits from the community college will be transferable to the program that you want. Start thinking now about ways you can save money while in college. 2. The "just do it" method Not everybody has enough disposable income to add to a college savings fund on a regular basis. And if there's only 4 years left until they go? That was neat. In 2016, the cost for 180 credits over a four-year program at the University of Washington was $36,516. Read the papers. Saving for your kid's college starts with you (that's the parent). It's not likely you'll miss $11.16, or $8.87 every few days (that's why I consider it painless, just like setting asideextra money for our end-of-year expenses last year). How Much You Can Contribute to a 529 Plan in 2023, What to Know About Grad Plus Loans Before Applying, See the best 529 plans, personalized for you, Helping families save for college since 1999. A Roth IRA is a retirement account that lets you contribute after-tax income to earn interest tax-free. When my son was in high school several years ago, it became clear to us that he was headed for a stint as a soldier. Include your email address to get a message when this question is answered. When comparing offers or services, verify relevant information with the institution or provider's site. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Amanda is the founder and CEO of Frugal Confessions, LLC. Here are some questions to ask and corresponding plans that might be a good fit: Do you plan to use the funds only for college expenses? You can also set yourself smaller monthly goals to keep up momentum. Think about how much money you need to make your dream a reality and how much you can realistically save per month while still being able to like, eat and stuff. Smarter people than me have figured out ways to optimize for financial aid and scholarships. 5. The bond gives savers the safety of a U.S. government bond mixed with inflation protection, resulting in a rate that's . I'm bookmarking this. A traditional savings account wont offer the rates or compounding youll need to save adequately for education. Just to recap, her threefold 529 college savings plan strategy includes: Linsey and her husband want their kids to have every opportunity to thrive within the gifts and talents given. The cost to attend a public, in-state college increased an average of 2.3% since the 2018-2019 school year and 3.4% for a private, nonprofit college, according to the College Boards 2019 Trends in College Pricing report. It opens up all kinds of cash flow for you to use for other things, like the next stage in your life (saving for a down payment on a home, starting a business, having a baby, getting married, travelling the worldwhatever it is that you gives you your kicks). To find the prepaid tuition plans available in your state, just search online for prepaid tuition plan and the name of your state. Consider a monthly plan to reach this total. Available to residents in NC, SC, TN, AZ, CA, CO, FL, GA, KS, MD, MO, NM, OK, OR, TX, VA, WA, WV, and WI. Keep reading, and you'll walk away with confidence + a clear strategy for how to teach your kid about money in the way you wish youd gotten growing up. Before the scholarship win, the regular investment accountshad money in them. That steady increase brings the average cost of a four-year degree to $41,760 at a public college and $147,520 if you opt for private education. First, a little background to how I discovered this trick. And college costs continue to increase every year, so the odds are it will be even more expensive by the time your children reach college age. Though you may be on the hook for taxes if the money is used for a family members college expenses. You can invest the money in a number of securities with tax-free earnings growth and tax-free withdrawals when spent on eligible expenses. https://apstudent.collegeboard.org/creditandplacement, http://www.finra.org/investors/saving-college, http://www.usnews.com/education/best-colleges/the-short-list-college/articles/2016-09-13/10-most-least-expensive-private-colleges, http://www.kidzworld.com/article/23639-jobs-for-kids, https://www.irs.gov/businesses/small-businesses-self-employed/frequently-asked-questions-on-gift-taxes#4, http://www.savingforcollege.com/intro_to_529s/name-the-top-7-benefits-of-529-plans.php, http://www.savingforcollege.com/enroll_in_a_529_plan/, http://www.finra.org/investors/529-prepaid-tuition-plans, https://www.treasurydirect.gov/indiv/research/indepth/ebonds/res_e_bonds.htm, http://www.finra.org/investors/coverdells-and-custodial-accounts, http://www.usnews.com/education/blogs/student-loan-ranger/2011/05/18/starting-at-community-college-can-save-thousands, https://www.liberty.edu/onlineacademy/dual-enrollment/, http://www.usnews.com/education/best-colleges/paying-for-college/articles/2013/09/09/consult-high-school-counselors-to-set-college-savings-goals, http://money.usnews.com/money/personal-finance/financial-advisors/articles/2014/02/26/how-to-find-a-financial-advisor-if-youre-not-rich. Withdrawals from accounts owned by someone other than the student or their parent have to be added back to the students income on the following years. Custodial accounts like those under the Uniform Gift to Minors Act and Uniform Transfer to Minors Act hold and protect funds until the beneficiary reaches ages 18 to 21, depending on where you live. For example, if you choose to save with a Coverdell ESA, you can only contribute $2,000 annually and must have income under $110,000 ($220,000 for married couples). Earn one of the nation's top rates. 4 -YR Year College & University. Barclays Online Savings account offers key features that can help you save, including a high-interest rate, no monthly fees, and no minimum deposit. A 4 year degree is estimated to be priced at $442,697.85 for students enrolling in 2040 if tuition increases average 7% per year until . In fact, it's highly unlikely you'll be able to cover your child's college education costs at this point (all of them, I mean). Whole or permanent life insurance policies can protect you and your family, but they can also be used to pay for major expenses. A household making $55,000 a year would need to save $48,000 over 18 years to send their kid to a four-year public university, and $107,000 to pay for a private college. Tips to Complement Your College Savings Watch social media. Saving For College is an unbiased, independent resource for parents and financial professionals, You just need some smart tools and resources thats where I come in. Buy savings bonds for college. One of the key benefits of dual enrollment is the potential to give high school students a head start in college. Bond owners are investing in interest-earning bonds backed by the full faith and credit of the U.S. government. This way I knocked out a whole semester of college. The average financial aid for full-time undergraduate students came to $14,940 for the 2019-2020 school year. You can review the plans, get details on the investment possibilities, and even enroll right there online. Save Up to $90K for College. Married couples earning $214,000 or more are ineligible to contribute ($144,000 for individuals). It's not a lot, but it is automated and it adds up. Notice over the course of 18 years, $67,174 dollars will have been invested to pay for a $120,000 education (8 x 15,000 per semester). Earnings and withdrawals are completely tax-free when you use the money for college. In two months, that free app was able to find an extra $509.97 sitting in our checking account. Yes. This free high-yield savings account earns a competitive rate at 4.05% APY -- 17x higher than the national average. Nowlet's turn back to the task at hand: how to save for kids college in the most painless way possible. Yes, we had to pay 100% of the 16th-20th credit hours (since the 1st 15 credits were paid for by the state), but a savings of $516.90 or 56% was an excellent deal! His winning photo of a colored pencil drawing of farming equipment was included ina calendar for the bank customers and winning families. Save Money in College on Textbooks, Equipment, and Supplies. Save for College | Learn How | CollegeWell The path isn't always clear - but it can be The Ins and Outs of Using a 529 Plan I want to build up enough that they can go to college and not be burdened by debt. Consider this: Take the average published tuition price for a private institution$37,650 per year. | Katie & Alan Donegan | Ep 412, Why You Definitely Want The Southwest Companion Pass, M1 Finance Review 2022: Commission-Free Automated Investing For Everyone, Credit 101: The Ultimate Guide to Credit in 2022, 3 Things Every 18-Year-Old Needs to Know Right Now (And Possibly Ever), Earn More Interest On Your Emergency Fund: CIT Savings Builder Review. The average annual cost to send an Irish student to third level education if living in rented accommodation in Dublin is more than 12,000, and over 11,000 if living in other parts of the country. You will need to provide some confidential identifying information. You have to actively seek it out. If you are still undecided about the best way to save for college, this article provides information about six common accounts you can use and the biggest pros and cons of each. There are more than 10,000 mutual funds available, with a wide variety of investment options. I've curated a list of 17 scholarship opportunities totaling $262,000 for 14 years of age and younger below. So naturally, when thinking about how to get cashfor her kids' college educations, she turned to this same strategy. From there, you will be able to make investments, purchase bonds, and manage your account. Gap years may also help you save more money for a college education because they mean more time to work and saving money in an interest-bearing account. Whatever you can put aside today will lower your childs student debt burden in the future. If you anticipate the need for expenses outside of college, like a car or rent, custodial accounts and mutual funds allow you the flexibility to do so without incurring penalties. Universal Technical Institute . Well, the earlier you start, the less daunting it will be for both you AND your kiddo to get into the habit of applying for scholarship money. There are some downsides compared to a 529. 32 East 31st Street, 4th Floor, Investment strategies available are limited to whats offered by the program. That's because of Linsey's priority to savefor her six kids' college educations. Multiplied by four to six years, your child's college education will come at a very costly price. This high-yield savings account through SaveBetter earns a whopping 3.7% APY -- that's more than 17x the national savings rate average! A 529 is an investment account designed specifically for saving for college. "My goal is to take [families] from a $40,000 to $70,000 sticker price and get it to the low 20s." Just over 86 percent of first-time, full-time college students at 4-year schools accepted financial aid for the 2017-2018 academic year. {"menuItems":[{"label":"How to save for college","anchorName":"#how"},{"label":"5 tips to save for college","anchorName":"#5-tips-to-save-for-college"},{"label":"How much should I save for college? After youve built up enough cash value, you can borrow from your policy. Annual college cost inflation (0% to 10%) Amount saved so far ($) Name. So by the time the child is 14 years old, you should have $28,000 saved. To save before a baby is born, open a 529 plan account with yourself as the account owner and beneficiary, then change the beneficiary to the baby after it is born and has a Social Security. This free online savings account earns a competitive rate at 3.50% APY when you keep at least $1,000 in your account. On a take-home income of 50,000, the amount that goes into your child's education fund each month is 10,000. Enjoy! And the Illinois tax rate is 4.95%, so you can save $1,000. A fee-based adviser will collect a retainer or hourly fee, but then may be more likely to work with a wider range of products. A kids savings account that comes with an ATM card that duals as a debit card. {"smallUrl":"https:\/\/www.wikihow.com\/images\/thumb\/9\/99\/Save-For-College-Step-1-Version-2.jpg\/v4-460px-Save-For-College-Step-1-Version-2.jpg","bigUrl":"\/images\/thumb\/9\/99\/Save-For-College-Step-1-Version-2.jpg\/aid44850-v4-728px-Save-For-College-Step-1-Version-2.jpg","smallWidth":460,"smallHeight":345,"bigWidth":728,"bigHeight":546,"licensing":"