The holiday season is upon us again. Families across the US will brave long lines, or in some cases, artificial ‘black markets’ on sites like eBay, to grab one of the newest, hottest toys of 2016 for their loved ones. This December scramble is becoming somewhat of a holiday tradition, yet most gift givers know that these presents, while they bring joy and smiles in the moment, are usually only played with for a few months before they’re old news.
So the question becomes, is there a better alternative to these ‘soon to be in the back of the closet’ gifts? The answer these days seems quite obvious. With college costs increasing at nearly double the cost of healthcare over the past 30 years, putting the money into a college savings fund is something that should be on every parent and grandparent’s mind this holiday season.
But how much could the price of one toy impact a child’s future college costs? Is it really worth doing the ‘prudent’ thing and putting the money into a 529 college savings plan? Let’s take a look at the 25 of the most sought after gifts this holiday season, and how much you could potentially save by making an annual contribution to a 529 plan instead. Simply click the item’s MSRP to reveal how much that yearly contribution can add up to over time!
1. Hatchimals
Age 2: $1,665 Age 6: $1,114 Age 10: $678
2. Nerf N-Strike Elite Terrascout Remote Control Drone Blaster
Age 2: $5,643 Age 6: $3,776 Age 10: $2,298
3. DreamWorks Trolls ‘Hug Time’ Poppy
Age 2: $1,141 Age 6: $944 Age 10: $575
4. Sky Viper V2400 HD Streaming Drone With FPV Headset
Age 2: $3,668 Age 6: $2,455 Age 10: $1,494
5. FurReal Friends Torch ‘My Blazin’ Dragon’
Age 2: $1,947 Age 6: $1,303 Age 10: $793
6. Furby Connect
Age 2: $2,539 Age 6: $1,699 Age 10: $1,034
7. Cozmo the Toy Robot by Anki
Age 2: $5,078 Age 6: $3,399 Age 10: $2,068
8. Playstation VR Headset for Sony PS4
Age 2: $11,257 Age 6: $7,554 Age 10: $4,585
9. Diamondback Lustre 20″ Bike
Age 2: $7,589 Age 6: $5,079 Age 10: $3,091
10. Play All Day Elmo
Age 2: $1,129 Age 6: $755 Age 10: $460
11. Yvolution Y Glider Deluxe Scooter
Age 2: $1,693 Age 6: $1,133 Age 10: $689
12. iPod Touch (16GB)
Age 2: $5,360 Age 6: $3,588 Age 10: $2,183
13. Step2 Upscale Party Time Kitchen
Age 2: $3,386 Age 6: $2,266 Age 10: $1,379
14. Interactive Remote Control R2 D2
Age 2: $2,821 Age 6: $1,888 Age 10: $1,149
15. Asus – Flip Touch-Screen Chromebook
Age 2: $7,025 Age 6: $4,702 Age 10: $2,861
16. Marvel Remote Control Hulk Smash Vehicle
Age 2: $1,975 Age 6: $1,322 Age 10: $804
17. Magformers Magnetic Building Construction Set
Age 2: $2,229 Age 6: $1,492 Age 10: $908
18. Power Wheels Wild Thing 12 Volt Battery
Age 2: $9,282 Age 6: $6,212 Age 10: $3,781
19. Imaginarium Metro Line Train Table
Age 2: $4,486 Age 6: $3,002 Age 10: $1,827
20. Xbox One S
Age 2: $8,464 Age 6: $5,664 Age 10: $3,447
21. LEGO Star Wars Resistance X-Wing Fighter
Age 2: $2,106 Age 6: $1,410 Age 10: $858
22. Powerup FPV
Age 2: $5,642 Age 6: $3,776 Age 10: $2,298
23. Hot Wheels AI
Age 2: $2,652 Age 6: $1,775 Age 10: $1,080
24. Nintendo Mario Kart 8 Quadcopter Drone
Age 2: $3,639 Age 6: $2,436 Age 10: $1,482
25. PS4 Pro
Age 2: $11,285 Age 6: $7,553 Age 10: $4,596
It’s really amazing how just a little bit of sacrifice can really add up over time. Sure, there may be a slight amount of disappointment at first, but as they say, they’ll thank you later.
*Click on the MSRP price to disclose growth of yearly contributions. All calculations assume yearly contributions of the item’s MSRP every year until 18 with a 6% rate of return.