8 Best Ways to Save for a Child’s Higher Education

By Our Editorial Team | Published July 29, 2020

Expert Verified

Our editorial team verifies all financial and lifestyle information for accuracy and relevance to senior living.

Start a Roth IRA

Roth IRAs are typically used in order to save money for retirement, but the truth is you don’t actually have to stick to just this purpose! These accounts are extremely beneficial since they allow you to invest after-tax dollars. When you withdraw from them, you don’t have to worry about taxes anymore.

Here’s why you should seriously consider this. If you save money but your child decides not to pursue higher education, you can still use those funds for your retirement. That being said, don’t bank on them not wanting to attend college or university. You should already start working on your retirement funds and use the money from your Roth IRA as a little boost, a supplement.

A downside to using a Roth IRA for education is that other relatives won’t be able to contribute with any funds, as opposed to a 529.