If you have young kids you may not be thinking about their college education just yet. Even though it is hard to focus on college when you are still struggling to get them out of diapers now is the perfect time to start saving. Money may be tight but with an adjustment to your budget and a firm commitment to your children’s education you can build up a college fund on your current income.

If you really want to save for your children’s education you must first pay off your current debts. You will never be able to stash away enough money for their college if you are struggling to make minimum monthly payments each month.

The first step is to stop over spending. You need to make a list of all of your bills and monthly expenses. Decide what you can eliminate in order to put a little extra money towards paying off your debt. You can give up little things like trips to Starbucks or fast food. You will be surprised how quickly these little expenses add up.

Now write a list of all of your debt. Include the balance, interest rate and monthly payment. Now go down the list. Choose the one with the highest interest and pay as much extra on it as you can until it is paid off. Then move on to the next one. Remember to continue making the minimum monthly payments on all of your cards while you pay them off one by one.

When your credit cards are paid off you can start putting that money into savings for your children’s college education. You will most likely be amazed by how quickly you can become debt free and then build up a sizeable savings.

In order to save up to the amount your children will need for college it is a good idea to find out what the average cost of a four year college degree will cost when they are ready. Many schools will be able to give you a rough idea if you call the administration office and ask. Once you have a goal calculate how much you need to put into each savings account every month so that each of your children will have enough money when the time comes.

It takes commitment and dedication but a good budget can get you where you want to go. If you pay off your debts and start saving now you will be more than ready when the time comes. If you need help with all of these complicated calculations you can use an online financial calculator at www.personalfinanceissues.com. As you make sacrifices to your budget and your life just remembers, someday they will thank you for it.