Saving money for my sons college

[fezwhy]

I am currently putting away 100 dollars a month for my son college fund.

He is only 8 and I just started putting money away as I have been able to financially.

It is not going into a college specific savings account just a regular savings account through wellsfargo.

 

So far he has about 1000 in his account and by the time he is 18 there should be about at least 12,000 for college.

I had thought about investing it but I really don't want him to lose any money as this is all I can afford.

My other concern is his mom taking his money and spending it as she has done that in the past. Currently all money he acccumulates from allowances, birthdays, etc goes to me and I deposit it into his account. Otherwise his mom borrows it and he never gets any of it back.

His mom won't help at all for college and says it's my responsibility so I am doing the best I can for him.

 

Should I place the money in a specific college savings account or leave it as is?

What is everyone else doing with paying for your childs college?

[CTSoxFan]

I am no expert, but I think just putting it into a savings account while safe, is not maximizing the potential of the money. You should look into 529 plans for college savings.

[RedHairedLady]

I second that about 529 plan. There are tax advantages to those you won't get with a standard savings account.

 

And if you put the funds in a savings account in your son's name, he can go withdraw those funds when he's 18, and spend them on anything he wants, which may or may not be college tuition. If they are in a state 529 plan, you will retain control of the money.

[RedHairedLady]

Plus I believe the FAFSA counts savings in a child's name more heavily, when it comes to determining financial aid, than it does savings in a parent's name.

[RedHairedLady]

http://www.cnbc.com/id/101528173

[fezwhy]

Thank you that link was very helpful. I hadn't thought about financial aid taking that money into account. My other concern is him having it all in his name and his mom or brother borrowing money. I want to be absolutely sure 100 percent of the money goes only to college.

[RedHairedLady]

Thank you that link was very helpful. I hadn't thought about financial aid taking that money into account. My other concern is him having it all in his name and his mom or brother borrowing money. I want to be absolutely sure 100 percent of the money goes only to college.

Then a 529 plan would definitely be a much better option than a regular savings account. What state are you in?

[fezwhy]

I live in Minnesota

[RedHairedLady]

https://www.mnsaves.org/

[fezwhy]

A lot of good info I may have to sign him up for an account.