Here’s a summary of financial aid expert Mark Kantrowitz’s advice for parents about saving for college, as described in this Washington Post article.
Pay off credit card debt. Create an emergency savings account (three to six months of salary) and don’t touch it. Create a college saving account (he recommends 529 college savings plans rather than prepaid tuition plans) and have your contribution automatically deducted from your paycheck so you don’t have temptation to spend it.”