T. Rowe Price Launches New Age-Based Benchmarks to Guide Families in College Savings

New Report Provides Parents with College Savings Roadmap

BALTIMORE, May 28, 2025 – T. Rowe Price, a titan in the global investment management landscape, is releasing its latest Insights report, this time focusing on the ever-critical issue of college savings. Authored by Roger Young, CFP^®, Thought Leadership Director at T. Rowe Price, the report offers a deep dive into the strategies and tools available to families striving to secure their children’s educational futures, a topic that resonates particularly strongly as tuition costs continue their inexorable climb.

The report’s timing couldn’t be more pertinent. With college expenses showing no signs of abating, the emphasis here is clearly on proactive planning and utilizing the right financial instruments to achieve savings goals. A key takeaway? It’s all about building a strategic approach to tackling these important financial goals.

So, what’s inside to help families stay on track? The report highlights:

Age-Based Benchmarks. This is where the report truly shines, providing parents with actionable milestones. For example, the study suggests that by age 10, families aiming to cover half of their child’s college expenses should aim to have saved 1.1 times the current yearly “sticker price” of their chosen school. These benchmarks offer a clear and measurable path, eliminating some of the guesswork and uncertainty for families.
Flexibility is Key. The report doesn’t offer a rigid, one-size-fits-all solution. Instead, it provides guidance on adjusting savings strategies over time—crucial given the unpredictable nature of life. Families can recalibrate their plans based on financial shifts, evolving college preferences, and the ultimate percentage of costs they intend to cover.
The 529 Advantage. The report underscores the power of 529 college savings plans as a cornerstone of any effective education savings strategy. With their potential for portfolio growth, these plans offer tax advantages and a range of investment options designed to help parents – and even grandparents – reach their long-term objectives.

“Saving for college is a significant financial commitment for families,” says Roger Young. “Our report provides a practical framework, using concrete benchmarks to measure progress and stay on course.” He adds, “With our extensive experience managing 529 plans and guiding families through the saving process, we understand the complexities of these strategies. We go beyond the surface, asking insightful questions to help families make well-informed decisions for their children’s future.”

Want the full picture? The complete college savings report is available for download on the T. Rowe Price website. Young will also be a featured speaker during this year’s Savingforcollege.com’s 529 Day Webinar on May 29, 2025, at 1 p.m. ET answering common questions about 529 plans and college savings.

ABOUT T. ROWE PRICE

Founded in 1937, T. Rowe Price (NASDAQ – GS: TROW) has been a long-standing partner in navigating the financial markets. As a global asset management heavyweight, the company is known for its sound investment strategies, focus on retirement planning, and independent research. It is built on a culture of integrity focused on always putting client interests first. Millions of clients across the globe trust the firm with its expertise in areas such as equities, fixed income, and multi-asset investment solutions. T. Rowe Price manages US $1.56 trillion in assets under management as of April 30, 2025, with approximately two-thirds of these assets linked to retirement planning. News and other updates can be found on news and media platforms.

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