How much do you put away for child's college?

[neatokimmo]

In Florida you would not be guaranteed to get into an upper tier state school with a 3.0.

A B average will qualify her for admission in a local state school that offers everything except law & engineering.

I lived in FL for two years while finishing up one of my degrees. The entrance requirements were very low.

 

[2manypets]

We saved up $20,000 for each child, any amount above that is interest added. If DD wants to go to an expensive college, she know that she has to make the grades for scholarships, or she can work part-time. DH & I both put ourselves through college and I feel that our children will value the experience more if they work for it.

 

[Kika]

The entrance requirements were very low.

For a community college in FL, yes. However, the upper tier schools here (University of Florida and Florida State) and even a school that is not a top tier school, University of Central Florida, have higher admissions standards as of late. Much of that is due to the popularity of the FL prepaid plan.

Acceptance rates have declined a lot over the last few years and are at less than 50% for the schools mentioned above. I think UCF's median GPA for accepted students was about 3.8.

So the previous poster is correct that a B average may very well not cut it anymore in FL, unless you want to start out at a community college (not that there's anything wrong with that).

 

[tiredsigh]

We are in the process of paying off my law school student loans. That will be 2-3 years (better than the 27 years currently left )

Since our 11 year old will be heading closer to college age without a large college fund, we fully expect to put away a lot of money for college and pay the difference when she gets there. Our 2 year old will be a different story. We won't have to put away as much since he has more time for the investment to grow. We will pay any differences for him as well.

I don't want my kids to have student loans like I do Graduating from school with $100K is direct loans is So they will be taken care of. I know it is a personal decision whether or not parents pay for any or all of their child's college. *I* just know the additional stress it can cause to take on that level of debt.

But I was a single parent through college and law school. You can't work full-time in law school. You can barely work while in law school. BUT, I now have a well paying job and an understanding DH who is working with me to get it paid off early.

 

[MickeyMom:)]

My daughter choose the communicty college route first. She was not ready to leave her home and even less start at an upper learning school right out of high school. Needless to say this was the best thing that she could of even done. She was accepted into the honor program at the college and the opportunities that she has had in this program are amazing.....Fastforward 2 years she walks on May 1 and is now ready to move on to the next level. Going to a local community college shouldn't be looked at as a Plan B, rather an equal choice made by the student....

 

[bettymae1121]

We saved up $20,000 for each child, any amount above that is interest added. If DD wants to go to an expensive college, she know that she has to make the grades for scholarships, or she can work part-time. DH & I both put ourselves through college and I feel that our children will value the experience more if they work for it.

I'm not sure that will be possible by the time your kids are going off to school. My older brother had a deal with my parents that he had to pay his tuition and they would pay for his room and and board (worked out to about a 40/60 split at the time). He worked part time during the school year and as many hours as he could pack in on breaks and over the summer. Didn't spend a lot on "fun", saved around 95% of what he made.

His senior year, he couldn't come up with enough money for his share. He worked like a dog but just couldn't scrape up enough cash. He told my parents he was going to take a semester off to work full time to get the remaining money. They were affraid he may not go back and finish, so they loaned him what he was short and let him pay them back after he got his degree.

This was in the early '90s, and if a hard working young man couldn't scrape up enough cash to pay just in-state tuition (not even room/board) then I'm guessing it's all but impossible now. A student that has parents that cannot or will not foot the bill will almost have to take out loans. And scholarships are fiercly competted over. Your kid could have a 4.0 and fantastic essays and activites resume, and still not get much in the way of scholarships.

My plan with my own future children (should I have any) is that I will pay for tuition and room/board. That's it. No books, no lab fees, no car insurance, clothes, dorm supplies, beer money, or any other "nickle and dime" fee or expense. That they need to take care of on their own as their contribution to "the cause". And that's if they go to an in-state school. If they go out of state or to a private school, I'll give them the equivilent in-state tuition/board and they are on their own for the rest. In addition, I only write next semesters tuition check IF, and only if, I see their report card and I'm happy with it. No kid is going to party and let their grades slide on my dime.

IMO, this makes them responsible for at least some of their expenses while not making them work a ton of hours when their main focus should be school, and puts them on notice that if they come to me with a 1.5 average, the money dries up and they either leave school or start taking out loans.

Every family needs to do what they think will work best for them, and a lot of families may just flat out not have the money to help with school. But I think if parents have the money to spare, helping their kids with college can take a huge burden off their kids, and there are ways to do it so the kids don't take advantage of the situation.

 

[prncess674]

My parents funded mine. My husband had loans. We didn't marry until we were almost thirty, but we knew each other in college and post college. The difference in a head start between me, without loans, and him, with them, was incredible. I was able to start my 401k, buy a house.....he ended up in bankruptcy.

Sounds like your husband was a poor money manager. I took out loans for my degree and repaid them all myself. I am 35, have a 401K with $150,000, put $80,000 down on a condo two years ago, paid cash for a luxury car and still have $100,000 in the bank. Don't blame taking out student loans for poor planning. My parents helped me out with small expenses in college but tuition, books, room, board were all part of my loans.

My loans were paid off in six years. Another thing to consider is what you are getting a degree in. While it is noble to want to study such things as basket weaving and English literature these degrees do nothing towards advancing your prospects for a good paying job in the future. My parents helped with filling out all the load paperwork but we had a very grave discussion about these loans are mine and every year that I wandered in school "finding myself" was costing me money. Each time a loan document came we added it to the running total so that I was VERY aware how much college was costing me. College students are adults, I don't understand why parents think of them as little kids running off to kindergarten. If your child can't understand student loans then maybe they need to work a low paying job or join the military and gain a little maturity.

 

[crisi]

Sounds like your husband was a poor money manager. I took out loans for my degree and repaid them all myself. I am 35, have a 401K with $150,000, put $80,000 down on a condo two years ago, paid cash for a luxury car and still have $100,000 in the bank. Don't blame taking out student loans for poor planning. My parents helped me out with small expenses in college but tuition, books, room, board were all part of my loans.

My husband graduated into a recession and poured coffee 60 hours a week at a coffee shop starting at 5am for $3.35 an hour for three years after having gone to one of the most expensive private schools in the country. He didn't make enough to pay off his loans and feed himself and keep a roof over his head.

It wasn't poor planning. It was bad timing. Same as people getting out of college now with a lot of debt over their head. You can plan all you want, but if the labor market goes through a huge contraction when you get out, those loans can do you in.

 

[prncess674]

one of the most expensive private schools in the country. He didn't make enough to pay off his loans and feed himself and keep a roof over his head.

It wasn't poor planning. It was bad timing.

Knowing that he was going to one of the most expensive schools in the country I hope he got a very important and unique degree that wasn't obtainable at any state school and also one that would put him in a career that earned a hefty salary. College is not a right and the cost of obtaining that degree should be a factor when picking a school.

To bring this back on topic. No parent is required to pay for a student's college education and if they choose to they should do so only to the point that they can reasonably afford. Getting school loans is a lesson in growing up.

 

[magik]

A student that has parents that cannot or will not foot the bill will almost have to take out loans. And scholarships are fiercly competted over.

I took out student loans, had on-campus work study, full-time summer jobs, academic scholarships, and my parents contributed; it probably worked out to 50/50 my contributions (loans/work/scholarships) versus my parents. I also finished school as quickly as I could (3 years thanks to AP credits, transferring a couple summer school courses that I took at the local community college for much less cost, and testing out of some classes). Student loans are not the end of the world. I don't feel like my parents did me any disservice by not paying for everything.

It's great if a parent can pay for a child's entire education, but I don't see it as the end of the world if they can't. I certainly would have a much harder time if I'd had to foot the entire college bill by myself (bigger loans, another part-time job during the semester, maybe two semesters at community college and then transfer, etc.), but I think I could have done it, and in the end, I'd still be in the same financial boat that I am in now.

 

[crisi]

Knowing that he was going to one of the most expensive schools in the country I hope he got a very important and unique degree that wasn't obtainable at any state school and also one that would put him in a career that earned a hefty salary. College is not a right and the cost of obtaining that degree should be a factor when picking a school.

To bring this back on topic. No parent is required to pay for a student's college education and if they choose to they should do so only to the point that they can reasonably afford. Getting school loans is a lesson in growing up.

Yeah, he makes mid-six figures now. Its not the unique degree, its the contacts from his expensive school.

 

[prncess674]

Yeah, he makes mid-six figures now. Its not the unique degree, its the contacts from his expensive school.

You are funny. You don't need a ivy degree to make contacts. Join organizations, support and volunteer for charities, etc. As someone who went to a state school and didn't go to a school that costs $200K I worked every other angle and managed to JUST fine. Besides just because it is a down economy if you really did have a pedigree degree there is always some lesser tier firm/corporation in your desired field that will hire.

As stated before it was his choice to spend ridiculous sums of $$$ on an undergrad degree. There are plenty of state school degrees that will get you a high paying job. We are paying undergrads straight of school $75-$90K depending on location in the country and rapid advances in salary with experience.

I seriously love to know what job your husband has that it required shelling out bankruptcy style dollars to obtain his job. There isn't a job I can think of that only hires ivy leaguers.

 

[punkin]

You are funny. You don't need a ivy degree to make contacts. Join organizations, support and volunteer for charities, etc. As someone who went to a state school and didn't go to a school that costs $200K I worked every other angle and managed to JUST fine. Besides just because it is a down economy if you really did have a pedigree degree there is always some lesser tier firm/corporation in your desired field that will hire.

As stated before it was his choice to spend ridiculous sums of $$$ on an undergrad degree. There are plenty of state school degrees that will get you a high paying job. We are paying undergrads straight of school $75-$90K depending on location in the country and rapid advances in salary with experience.

I seriously love to know what job your husband has that it required shelling out bankruptcy style dollars to obtain his job. There isn't a job I can think of that only hires ivy leaguers.

I am very happy for you. I am also extremely happy with my very expensive private university degree. It has opened many doors for me. Of course back in the old days when I attended, no school cost $200K.

 

[DVCLiz]

You are funny. You don't need a ivy degree to make contacts. Join organizations, support and volunteer for charities, etc. As someone who went to a state school and didn't go to a school that costs $200K I worked every other angle and managed to JUST fine. Besides just because it is a down economy if you really did have a pedigree degree there is always some lesser tier firm/corporation in your desired field that will hire.

As stated before it was his choice to spend ridiculous sums of $$$ on an undergrad degree. There are plenty of state school degrees that will get you a high paying job. We are paying undergrads straight of school $75-$90K depending on location in the country and rapid advances in salary with experience.

I seriously love to know what job your husband has that it required shelling out bankruptcy style dollars to obtain his job. There isn't a job I can think of that only hires ivy leaguers.

Hey, where are those 75 - 90K straight out of school jobs? My daughter is graduating in three months and she'd like one, please.

 

[Longsx3]

FSU 2009 3.5-4.1 academic GPA; 25-29 ACT composite; 1700-1930 SAT total

USF Fall average GPA: 3.80, average SAT: 1185, mid-range SAT: 1090-1270

UF's 2008 class had an average 4.06 GPA and 1963 (out of 2400) SAT score

UCF Freshmen enrolled in Fall 2009 posted average SAT scores of 1225, ACT scores of 27 and average high school GPAs of 3.8

Florida schools have become quite competitive.

A B average will qualify her for admission in a local state school that offers everything except law & engineering.

I lived in FL for two years while finishing up one of my degrees. The entrance requirements were very low.

 

[gymboqueenkaylee]

I put 50.00 per week or about 200 per month in her account for college. I do not want her to have to worry about college money like I did. I know 200.00 isn't a lot these days per month but....maybe after I finally finish college for the third time (and last time!!) I will be able to put more into her account.

 

[prncess674]

I am very happy for you. I am also extremely happy with my very expensive private university degree. It has opened many doors for me. Of course back in the old days when I attended, no school cost $200K.

The point is, sure a pedigree degree can open doors but realize it isn't the only way to open the door, nor is it a guarantee to opening any door. There are also lots of pedigree degree people waiting tables because they got a uselss degree. Please don't assume that pedigree degree = opens the door to untold riches and fame.

The other point I am trying to make is parents who have fully funded their retirement and have the means to send their kids to college, then yay for those kids, but I am disturbed by the amount of people are socking away money for a kid's college education but are neglecting themselves. I would feel terrible amounts of guilt if my parents had mortgaged the house and spent their retirement money to send me to school. I can finance school, but they sure can't finance retirement. My parents are living nicely in a paid off house and have a good retirement funds.

Hey, where are those 75 - 90K straight out of school jobs? My daughter is graduating in three months and she'd like one, please.

Get a 5 year accounting degree or MIS degree (ie. CPA ready) then get a job at a large consulting or accounting firm. Examples: PriceWaterhouseCoopers, McKinsey, Bain, Ernst & Young, Deloitte, KMPG, etc. We are hiring! Just had a call where they are asking us about anyone we konw at competing firms who would like a change of scenery.

 

[DVCLiz]

Get a 5 year accounting degree or MIS degree (ie. CPA ready) then get a job at a large consulting or accounting firm. Examples: PriceWaterhouseCoopers, McKinsey, Bain, Ernst & Young, Deloitte, KMPG, etc. We are hiring! Just had a call where they are asking us about anyone we konw at competing firms who would like a change of scenery.

Rats - doesn't sound like a double English/Spanish major can snag that!!!

 

[SunnyP4Disney]

We have the Florida Prepaid College Program for DS (he's 11). We've had him enrolled since he was 2 and we pay about 78 dollars a month for the 4 year university tuition program. We also have my husband's GI Bill transferrable to us (thanks to the new legislation Post 9/11 GI Bill) so my son and I can tap into it (it will pay up to three years of college in full).

I believe college is very important and would never want my child to have to take out loans in order to go so we made his education a high priority in our overall savings plan.

 

[bethy]

The point is, sure a pedigree degree can open doors but realize it isn't the only way to open the door, nor is it a guarantee to opening any door. There are also lots of pedigree degree people waiting tables because they got a uselss degree. Please don't assume that pedigree degree = opens the door to untold riches and fame.

The other point I am trying to make is parents who have fully funded their retirement and have the means to send their kids to college, then yay for those kids, but I am disturbed by the amount of people are socking away money for a kid's college education but are neglecting themselves. I would feel terrible amounts of guilt if my parents had mortgaged the house and spent their retirement money to send me to school. I can finance school, but they sure can't finance retirement. My parents are living nicely in a paid off house and have a good retirement funds.

Get a 5 year accounting degree or MIS degree (ie. CPA ready) then get a job at a large consulting or accounting firm. Examples: PriceWaterhouseCoopers, McKinsey, Bain, Ernst & Young, Deloitte, KMPG, etc. We are hiring! Just had a call where they are asking us about anyone we konw at competing firms who would like a change of scenery.

My DH works at one of those firms and at a pretty high level. You don't get into the "mid six figures" in this profession until you generally are at least 20 years in - at least not in our market. (I guess maybe in certain markets like NYC it would be different.) And that's only if you are in the tiny percentage of folks who make partner (or who even want to make partner) and after you've worked your life away at 60-70 hours per week nearly year round. And that rarely stops once you make partner.

This is a particular tough time of year so I'm a bit bitter. Sigh.

Anyway, I totally agree with Crisi that there is an executive class in existence that has everything to do with who you know and who you socialize with and who you went to school with. There is rarely any way to break into that very top level unless you are a part of that old money world. There are exceptions but partners at Big 4 public accounting firms are rarely in that world - maybe on the east coast they are but not around here. I really think that there are some avenues you just can't take unless you have a lifetime of networking invested with the right people.

That said, networking with "normal" professionals and working very hard in a lucrative field can get you very, very far in your career. Most folks don't need to be in the top 1% of earners to live very happy and fulfilling financially secure lives.