Are there specific vehicles designed especially for college savings?

Yes, there are several. 529 Savings Plans, Coverdell Education Savings Accounts and Revocable Educational Trusts are specifically set up for college savings, by students, parents, grandparents or other loved ones. Each are setup to reduce tax liabilities for contributions, capital gains and distributions. Key differences in contribution methodology and limits allow for a multitude of applicable plans.
For more information on the best ways to save for college, check out our new article tomorrow.