Post by georgeharrison on Aug 16, 2022 8:04:18 GMT -5
Special answer: my grandma started a 529 that would cover about half of in-state college (room and board included). We were going to try to cover the rest, but it looks like my kid is going to go into the reserves, do his boot camp right after graduation, and then start college spring semester using the GI bill.
I helped where I could, but he is paying most of it. He went to a local college and lived at home for undergrad, so that helped. I usually just gave him money for books, parking and gas and he received scholarships and grants for a good portion of his tuition. He came out of undergrad with about $16k in loans. He learned some good financial planning lessons being responsible for his own tuition. He is very good with his finances.
Medical school he is 100% paying himself. I did help with certain apps and programs that he needed to have for school. I also paid for his applications and testing to get into school/board exams and gave him money for half of his car payment, paid for his insurance and his phone.
It was easier for me to pay for the 'extras' that go along with school or living expenses when he moved out while still going to school. He's in residency now, so he's paying all of his own bills at this point.
I raised him as a single mom and had no other financial help, so my situation was probably different than others who have 2 incomes. If had been financially able, I would have set up a fund to save for his schooling.
She had a 529 and she got the $ from the college portion of my tax return since it made more sense for me to file w/ her as a dependent even if she didn't live at home. I was a single mom so really didn't have the means to help too much but I did when I could. The rest, she got grants for and came out of private university with $0 debt.
I did the same thing with filing taxes. I gave him whatever benefit I got by me filing versus him filing.
Post by ellipses84 on Aug 16, 2022 10:04:57 GMT -5
I would pay for 💯 if I could, tuition and living expenses. If they want extra spending money they can get a part time job. I’d expect them to work during summer breaks unless there was a good reason not to. I was the first person in my family to go from high school directly to university. It was a life changing experience, including living in the dorms and studying abroad, but it’s saddled me with debt my entire adult life, which prevented me from saving a lot for the kids’ college. Paying for college is a step towards generational wealth. In reality, we don’t have enough savings for them and will bankroll what we can, but they may need student loans.
I would LOVE to be able to pay for my kids college in full but that really isn't a possibility as I'm still paying for my own education (forgiveness is forthcoming hopefully). I divorced early this year and the kids are both in much better spots with us divorced than they were if we had stayed married. The divorce decree stipulates that each child will split the costs to attend the more expensive of the two state schools at the time they get to school - each paying a third.
I used to work at a university and if there is a position that is open at the time of their enrollment that won't derail my retirement anymore than it already is, then I would make the jump to save them more funding on their college experiences.
I'm hoping they are better consumers of their education than I and my ex were.
Our parents paid for our college tuition/room/board allowing us to be loan free, which is an incredible privilege. We have just one child so we plan to do the same. I work in higher ed and get tuition remission if DS11 ends up going to a private school; in-state tuition is actually lower than his current school fees if he goes to state school.
One thing to keep in mind for people whose parents paid for their college but who might not be able to do the same for their kids is that college in general has become much more expensive in our generation. I would also say as someone who works in higher ed 1) check the discount rate for the school that interests your child 2) ALWAYS file the FAFSA even if you make "too much" and 3) unless your child has a particular program where ranking matters, the "fit" is more important than the reputation. My H and his sister went to Ivy League schools and I went to a state school. They have connections, I won't lie, especially as they are 10 years older than me and more of the people from their cohort become players in politics and business, but IMO it's not worth the stress on the student or the $$$. I also don't think those old school old money games are going to be relevant as millennials and Gen Z enter the workforce. They just aren't as impressed by the my dad and my dad's dad went to Harvard bullshit.
My H went to an Ivy and his fellow alumni trip over themselves trying to game the system to get their kids in, assuming them being alums is not enough. But Biff Jr needs to start tennis lessons at age 3! He's already behind! Do we go with the private school that's closer or the one that's top ranked in our area, but 40 minutes away?
I told my H that they aren't asking the right questions. In the long run, it just doesn't matter.
We would like to pay for a portion of their education, supplemented with scholarships and loans. But we also think travel is important and want to encourage a gap year during which they work and travel and save money.
It’s highly unlikely we can pay for their college in entirety, though.
Yeah, I gradated a semester early to save money, and honestly, it's BS. I'll encourage my kids to take all the time they need before going out into the real world.
Our oldest(only?) will have a November birthday, and with a 9/1 cut off date in our current state, will be 18 well before they graduate from high school. But still. Nothing wrong with taking a year off as long as you're disciplined enough to eventually get back on track, whatever that means (college, trade school, etc).
We would like to pay for a portion of their education, supplemented with scholarships and loans. But we also think travel is important and want to encourage a gap year during which they work and travel and save money.
It’s highly unlikely we can pay for their college in entirety, though.
Yeah, I gradated a semester early to save money, and honestly, it's BS. I'll encourage my kids to take all the time they need before going out into the real world.
Our oldest(only?) will have a November birthday, and with a 9/1 cut off date in our current state, will be 18 well before they graduate from high school. But still. Nothing wrong with taking a year off as long as you're disciplined enough to eventually get back on track, whatever that means (college, trade school, etc).
I started college and was not ready. I took two years off and worked full time and it was the best thing I could have done for myself. I wish I had traveled some during that time, but when I went back to college, I was ready.
We will let our kids drive the decision, but I think taking a year to travel and explore and get work experience is absolutely a great decision for many.
Also I feel obligated to say, if I hadn't become a beneficiary to a trust I would not have had enough money to pay my kid's way through college. We would have helped. We had 529 plans set up. But no way would we have been capable of just writing a check and not having them take on some debt. I know this board skews more towards upper class so I wanted to say I was gifted money and that is the only way we will be able to do it.
Post by icedcoffee on Aug 16, 2022 11:57:17 GMT -5
We will pay. We both were lucky enough to have college paid for and it gives you such a step up. I'm not sure right this moment HOW we will pay, but hopefully I will figure it out in the next 12 or so years.
I'll also encourage our state school as it's a GREAT school and much more affordable, but I went private and it honestly changed my life so I'll do that for my kids as best I can if it's the road they choose.
Post by DotAndBuzz on Aug 16, 2022 18:31:16 GMT -5
We plan on paying. But like others have said, it’s generational wealth/SUBSTANTIALLY lower college costs for when we attended that is allowing us to do that. Both of us graduated with no debt (he comes from $$, but my parents were able, as teachers, to fully save/pre-pay for me to attend a state school with no debt). That’s not possible anymore. The program literally doesn’t exist because cost shot up so high that the programs investments couldn’t keep up.
But us having no student loans* has been a massive gift that has allowed us to make different financial choices than if we had been carrying that debt. We’re saving, and have 529s for both our girls, but we still are planning on paying on top of that when the time comes. We’re viewing the 529s as buffering the hit when tuition comes due. But we recognize how much it helped us, and want to be able to do the same for our kids if we’re able.
*I had loans from my second 15 month undergrad BSN program, but they were minimal. Around $10k total, so not *nothing* but nowhere close to what 4 year undergrad costs now.
Also I feel obligated to say, if I hadn't become a beneficiary to a trust I would not have had enough money to pay my kid's way through college. We would have helped. We had 529 plans set up. But no way would we have been capable of just writing a check and not having them take on some debt. I know this board skews more towards upper class so I wanted to say I was gifted money and that is the only way we will be able to do it.
Thanks generational wealth.
QFT
We were on track to pay half but then my mom gave some for the boys education =(
We plan on paying for all of college for my two kids—with stipulations. They can study whatever they want at an in-state school; however, if they decide they want to go into teaching, I will not pay $60k/yr for that. If they wanted to go into a top engineering program or other more lucrative career field, I may feel differently. As of now my daughter is focused on going the pediatrician route, so I know med school isn’t cheap. My son wants to be a pilot and if that continues, we will consider the Air Force route. I will add, my children will not know that we will be paying for their school and will need to find/earn scholarships and work to save for it. My mom paid for my out of state school and I could have done much more to contribute.
I voted "pay for it all", but there are conditions. He would have to go in-state. We were talking the other day about going to a state school in another state (where we have family); if he wanted to go that route, I would recommend living in said state for a year (and work) in order to be eligible for IST. My grandfather left E an inheritance, and E's portion will pay for the first year (maybe a year and a half) of school.
I also think there's a big benefit of going to a CC to do pre-reqs and general courses, and we've been talking that up. He can live at home if he chooses CC.
I will retire from my local government job the same year he graduates from HS. I will receive a full pension. Assuming I remain in good health, I will continue to work, and that $ can contribute towards his college expenses.
Sadly this may not be the case - the University I work at would still consider this "moved here to go to school" and would charge out of state rates. I think it's a crock but they look at anyone with an out of state high school transcript VERY closely.
We plan to pay for a substantial amount of college. I do anticipate requiring DS to work in some fashion while in school, even if it is just enough for spending money. With rising tuition costs I don't anticipate him being able to make a substantial dent in the tuition, but I would want him to contribute something.
We plan on paying for all of college for my two kids—with stipulations. They can study whatever they want at an in-state school; however, if they decide they want to go into teaching, I will not pay $60k/yr for that. If they wanted to go into a top engineering program or other more lucrative career field, I may feel differently. As of now my daughter is focused on going the pediatrician route, so I know med school isn’t cheap. My son wants to be a pilot and if that continues, we will consider the Air Force route. I will add, my children will not know that we will be paying for their school and will need to find/earn scholarships and work to save for it. My mom paid for my out of state school and I could have done much more to contribute.
Uhhhh... I get not wanting to pay out of state tuition but this statement is making me feel some kind of way.
Post by dreamcrisp1 on Aug 17, 2022 19:38:02 GMT -5
Yes. Ideally, they will choose to go to school either here (probably wouldn’t cost more than €5000) or Canada (max of $15000) excluding accommodations. All their birthday and Christmas money goes into savings (they just got $1400 for their birthday presents 😳) and we also contribute yearly from our bonuses.
But I won’t pay for grad school. That’s on them. My parents paid for undergrad and I paid for grad school.
We plan on paying for all of college for my two kids—with stipulations. They can study whatever they want at an in-state school; however, if they decide they want to go into teaching, I will not pay $60k/yr for that. If they wanted to go into a top engineering program or other more lucrative career field, I may feel differently. As of now my daughter is focused on going the pediatrician route, so I know med school isn’t cheap. My son wants to be a pilot and if that continues, we will consider the Air Force route. I will add, my children will not know that we will be paying for their school and will need to find/earn scholarships and work to save for it. My mom paid for my out of state school and I could have done much more to contribute.
Uhhhh... I get not wanting to pay out of state tuition but this statement is making me feel some kind of way.
I can understand the statement purely from a financial perspective. Taking on hundreds of thousands in student loans for a degree that does not earn enough to pay them back without a degree of difficulty does not make financial sense. I know it’s not a popular opinion and all degrees contribute to society and are important, but so is making sure your 17 or 18 year old understands the financial piece before they commit to loans that big.
Paying for your child’s tuition so that they aren’t saddled with loans therefore giving them a leg up as they start their adult life is a luxury for most people. Being realistic about cost and Job prospects is another way to do something similar.
Those of you who want your kids to take a gap year and travel the world, are you funding that?
I hope to fund them with a set amount maybe the equivalent of 10-15k in today’s money. Not a blank check, but not so little they couldn’t spend sometime finding themselves and figuring out a bit about life.
DS is a junior and this is constantly on my mind now. We’ve been contributing a little to a 529 for a while and have $13k now. MIL has $50k for him. Im in multiple Paying for College FB groups trying to understand the system because it’s so much different than when I went to college. And student loans now are capped at $5500/year Freshman year and they got up a little each year, maxing out at $27k total. We’ve toured some schools this summer and I think we will end up around $20k/year in tuition, hopefully less. We should be able to cash flow what’s not covered by the 529. If it wasn’t for MIL, it’d be a lot more difficult.
No one helped me when I went to college and my ILs helped DH like we want to for DS and we want to make sure he doesn’t start life bogged down with loans or quits school because he can’t afford it or has to work so much during college he can’t focus on his classes or take internships. He’ll most likely end up majoring in some sort of engineering and the schedule and classes are rigorous. We want to set him up for success and not be a like my mom and refuse to give me $1 (she had money) or help with the fafsa and show up at financial aid trying to weasel her way out of submitting her income info. I had to work full time during the day and take classes at night and all summer long just to get through it and support myself. I don’t want DS to struggle like that, so we’ll help as much as we can, but if he has to take the $5500 fed loans, he will and we’ll help him pay them off later.
We plan on paying for all of college for my two kids—with stipulations. They can study whatever they want at an in-state school; however, if they decide they want to go into teaching, I will not pay $60k/yr for that. If they wanted to go into a top engineering program or other more lucrative career field, I may feel differently. As of now my daughter is focused on going the pediatrician route, so I know med school isn’t cheap. My son wants to be a pilot and if that continues, we will consider the Air Force route. I will add, my children will not know that we will be paying for their school and will need to find/earn scholarships and work to save for it. My mom paid for my out of state school and I could have done much more to contribute.
Uhhhh... I get not wanting to pay out of state tuition but this statement is making me feel some kind of way.
We actually agree with is too. Only bc we think it would be wasteful to pay for an expensive private school when there’s state schools right in our back yard that have excellent reputations for education (West Chester Univ. for example). I mean, it’s not a hard and fast rule, it’s just a discussion point.
My parents insisted I had to go to college no matter what. They paid for it, but honestly, they wasted their money. (Although I did get a lifelong friend family from it.) I will encourage my kids to pursue whatever career path they want and we will work together to figure out how best to pursue it, but I don't see it including college in the traditional sense.
Those of you who want your kids to take a gap year and travel the world, are you funding that?
I didn’t mention specifically wanting them to take a gap year to travel, but that I would certainly support things outside of college (assuming they are responsible). So yes if I had the money (which would be much cheaper than college!) I would give them some support monthly if they were traveling, working part time, etc. Obviously depending on all the details is how I would figure out how much I could support.
I’m so so thankful that my parents supported me financially in different ways over the years through my "non traditional" path. It’s def a privilege that I hope I can pay forward.
He has a 529 with a decent amount in it at age 6. My husband also works for a university that has a free tuition exchange with 600 additional universities. Between those and cash flowing college we should be able to pay for it all. Will probably not pay for grad school but help with loan repayment.
Uhhhh... I get not wanting to pay out of state tuition but this statement is making me feel some kind of way.
I can understand the statement purely from a financial perspective. Taking on hundreds of thousands in student loans for a degree that does not earn enough to pay them back without a degree of difficulty does not make financial sense. I know it’s not a popular opinion and all degrees contribute to society and are important, but so is making sure your 17 or 18 year old understands the financial piece before they commit to loans that big.
Paying for your child’s tuition so that they aren’t saddled with loans therefore giving them a leg up as they start their adult life is a luxury for most people. Being realistic about cost and Job prospects is another way to do something similar.
Sure, but to say you can study whatever you want except teaching seems pretty rough if your child wants to be a teacher. We need good teachers, and one doesn’t have to pay $60k to get a degree in education.
You can have a frank discussion about the cost of college, have your child go to a less expensive school, have them start in CC and transfer, but to say you won’t pay for a teaching degree but anything else is ok?
Edit: maybe I’m reading the post wrong and she’s saying she’d pay for in-state school for whatever (including teaching) but out of state for only STEM fields?
I can understand the statement purely from a financial perspective. Taking on hundreds of thousands in student loans for a degree that does not earn enough to pay them back without a degree of difficulty does not make financial sense. I know it’s not a popular opinion and all degrees contribute to society and are important, but so is making sure your 17 or 18 year old understands the financial piece before they commit to loans that big.
Paying for your child’s tuition so that they aren’t saddled with loans therefore giving them a leg up as they start their adult life is a luxury for most people. Being realistic about cost and Job prospects is another way to do something similar.
Sure, but to say you can study whatever you want except teaching seems pretty rough if your child wants to be a teacher. We need good teachers, and one doesn’t have to pay $60k to get a degree in education.
You can have a frank discussion about the cost of college, have your child go to a less expensive school, have them start in CC and transfer, but to say you won’t pay for a teaching degree but anything else is ok?
Edit: maybe I’m reading the post wrong and she’s saying she’d pay for in-state school for whatever (including teaching) but out of state for only STEM fields?
I interpreted it some kind of way too, because I don't want to pay $60k a year for an engineering degree either lol.
I'm adamant about CUNY/SUNY for my kids because the one thing I wish I had after college was the flexibility to explore what I really want to do as a career, and not be afraid to make a change down the road if that career is no longer satisfying. I never had that option because of my loans. Even though I graduated with a social science degree that many would find useless, I make good money in my field. But if I wanted to scale back, I really don't have that flexibility. They can get engineering degrees or other "lucrative" STEM degrees from CUNY/SUNY too. Then they can decide if they want to actually be an engineer or if suddenly they discover they want to go into social work.
It's crazy how we still somehow expect 18-22-year-olds to know exactly what they want to do in life, and to stick with that decision forever. Basically, me paying for in-state public college for my kids means I want them to explore their interests pressure-free, both in college and after they've graduated. ETA: And if we can't pay for all or for anything at all, I would still tell them how valuable having the flexibility post-college without a ton of loans or any would be, so if that means they live at home for college, go to CC and then go away, etc., they will appreciate not being handcuffed to certain careers/jobs for money reasons.
Post by wanderingback on Aug 18, 2022 12:28:33 GMT -5
Yeah I definitely disagree with parents who "force" their kids to do a certain degree so they’ll pay for school. One of my friends from college her parents were like that. Her dad was a doctor so they made her be a biology major. She was definitely not gonna be a doctor! Her grades weren’t great. I don’t remember if she ended up switching her degree. She ultimately ended up playing pro soccer overseas for awhile and then became a firefighter.
I’m so glad my parents didn’t care about my degree as long as I was getting good grades and not taking 6 years to finish.
One could go on to med school and then become a pediatrician which is one of the lowest paying specialties and only make 120k per year with tons of med school debt (400k plus). Or one could go on to be a teacher and make 90k in some places (yes I know teacher pay is shitty many places, but not everywhere) and not have gone through 4 years of med school and 3 years of residency and be behind on retirement, etc. Not everything is black and white.