Two Planning Variables Beyond Your Control
Like other types of financial planning, the success of your college saving plan is dependent upon two very important variables that are beyond your control:
- The percentage return on your investments (savings rate)
- The inflation rate (rising college costs)
Unfortunately fluctuations in these two dependent variables are impossible to predict with any certainty. Therefore all you can do when creating your initial college savings plan is to base your predictions on recent average college costs and savings rates (best guesses). After that you must continually revise your plan based on any unforeseeable changes in the dependent variables.
If you are serious about successfully funding college educations for your children I recommend you bookmark this page so you can revisit the college planning calculator on an annual basis and revise your plan based on what actually happened versus what you had planned would happen. I will do my best to keep the calculator updated with the most recent average college costs.