The latest “How America Saves for College” survey has found, surprisingly enough, that millennial parents are saving more for their kids' college than boomer parents, by an average of $20,155 to $18,323 for the boomers. They're also well ahead of Generation X parents, who reported setting aside an average of $12,428.
The survey defined millennials as 35 years old and younger, Gen Xers as 36 to 51, and baby boomers as ages 52 to 70. Millennial parents’ attitudes on several college savings questions reflected greater optimism than either of the older generations, including having a plan to pay for college, and showing a greater willingness to ask family members and others outside of the family to contribute money to the college kitty.
The survey also found that the number of parents using 529 state-sponsored college investment accounts reached its highest level since the study began. For the first time since Sallie Mae began the study in 2009, the percentage of parents creating a college savings plan exceeded 50 percent.