Investigate what type of financial vehicle you wish to use to save for your child's college education. State 529 plans are very popular as you can control the aggressiveness of the investment and they offer tax breaks, however there are a variety of other options.
Meet with a financial adviser who can give you an overview of the pros and cons of different types of college trust funds. This adviser can walk you through tax benefits, penalties, growth potential and and other important considerations.
Open an account in the child's name by sending an initial deposit to the group that will be managing the fund. The amount of money necessary to open such a trust fund will vary depending on the vehicle you choose. In all cases, the personal information of the parent and the child will be necessary to establish the account.
Decide how much to contribute to the fund each month. Financial advisers have tools that help you figure out how much college will cost when your child is grown and how much you need to save regularly to meet your goals.
Set up a direct deposit to be made into the college fund each month. Increase the amount as you are able. Consider investing more aggressively when your child is young and then moving into a less volatile investment strategy as college draws near.
Invite family members to contribute to the college trust fund as often as possible. Most funds do not have any restrictions regarding who can give money.