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Planning for college so money will be available.
Son will start college in 5 years. Expect college to cost $10,000 per quater, each quaters cost will be payable in advance, and he will attend college all year long. Expect him to complete college in 5 years (20 quarters). Interest rates will be 8% per annum during the time he is in college.
Save for 5 years on a monthly basis, with equal monthly savings payments, at the end of each month. Expect interest rates to be 7% for 5 years of saving.
How much do I need to save each month to have enough money to pay for college without making further payments while he is in college?
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