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

[MELSMICE]

Thought some of you might get a laugh out of this...............DH & I are still crunching the numbers & trying to help our DD's figure out their best choice for a school.

As I was also perusing the web looking for additional car discounts for our upcoming WDW trip asked me if there were any codes on Mousesavers for college that we could just plug in for a tuition discount!!!

 

[mjkacmom]

When I hear mid six figures I think $150K not $500K, which I know doesn't make sense.

Not sure what the pp meant, but I can't imagine a 35 year old making $500K unless they are a partner.

My cousin is 43 and is a partner with one of the big 4 (or 6 - can't remember), makes about $500,000 a year, and went to a small college in Kentucky on a full golf scholarship.

 

[SFD998]

I just figure we would win the lotto and all my problems would be solved including college tuition

 

[prncess674]

Yes, that is why I said OUTSIDE the Big 4. Do you have a serious reading comprehension problem?

And I know what I was offered by three big 4 firms as a CPA eligible starting accountant with a 3.97 GPA from a state school (but a Six Sigma Blackbelt, certified PMP, with 20 years of IT, including audit and compliance) under me, and it wasn't $75k. Nor does the data. Do a Google search for "starting salary accountants" and see if you can support your assertion. I can not.

I am really confused. First you state you are a recent grad, but then you state you are Six Sigma IT professional with 20 years experience. Which is it? We regularly offer recent grads from target schools $75K. Personally if you really are a 20 year IT professional I have no idea why you are even applying for this job.

I know about these offers because I have seen them first hand.

Glad you enjoy what you do.

I have a college sophomore that started out in Accounting and decided he absolutely hated it (although enjoyed it in high school).

While he would have done well financially with that degree, he would have been miserable for the rest of his life. Now he is a happy history major and is planning on being a teacher - he loves mentoring other students and has scholarships in that area that is currently paying his college tuition and books.

He will never be rich, but I pray that he finds happiness in his life.

Accounting as taught in school is a boring yawn fest. I know I didn't go in for the excitement of accounting. I went in knowing it was a lucrative 4 year degree.

I give major props to teachers. My sister and BIL are both teachers and I am exhausted whenever I visit their schools. It is low pay and a lot of thankless hours.

Mentoring is great and it is part of my personal career goals. I mentor and train those below me. I also love training clients on new procedures and systems. Training and mentoring is very fulfilling and regardless of profession we should all strive to be mentors.

 

[dizkids]

As I was also perusing the web looking for additional car discounts for our upcoming WDW trip asked me if there were any codes on Mousesavers for college that we could just plug in for a tuition discount!!!

Oh please share when you find said code!

 

[Ka' eo]

Wow, this is an interesting thread. We have gone a different route regarding saving for our kids college. While we do a monthly savings of $200 per child, we bought land before they were born. It is now worth about $100k and could be worth more. We've got 8 more years before our oldest starts college. We will look at selling this land (which we paid cash for 10plus years ago) several years before he starts.

Like another poster or two, my dh works at a college and our kids have 50% tuition paid anywhere in the country or 100% if they chose to apply and get in to his college.

We feel very lucky. We are not fully funded for our retirement. We are also in education and so, money is not abundant like some people here.

For the record, I had a $45k student loan for graduate school and paid it off in 8 years on a social workers salary. So, I truly believe that if kids have to come out of school with a loan, they have a good chance of paying it off, IF they manage their money correctly.

 

[crisi]

I am really confused. First you state you are a recent grad, but then you state you are Six Sigma IT professional with 20 years experience. Which is it? We regularly offer recent grads from target schools $75K. Personally if you really are a 20 year IT professional I have no idea why you are even applying for this job.

Both. People do go back and decide to switch professions late in life. Particularly when their exisiting industry is busy offshoring.

 

[Leajess99]

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.

Just wondering but did he not consider doing deferments?? No, you can't defer them forever but it is an option as well as forebearance.

 

[Tiana]

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[crisi]

Just wondering but did he not consider doing deferments?? No, you can't defer them forever but it is an option as well as forebearance.

He did deferments, he ran out. The late 80s were a miserable time for college grads - at least here.

 

[allison443]

We don't put any money away for College, and we don't plan to. DS5 will be going to an AWESOME Private school that costs about $1000 a month; so there isn't much more room to put away for College. Plus, savings will hurt them when it comes time for grant/scholarship money.

DH and I (and our 5 siblings) are getting degrees without our parents having saved up for it; so that's what DS will have to do. We are using our resources to give him the best possible foundation, b/c we feel that is more beneficial for him in the long run.

DH and I got our free ride by joining the military (GI Bill). My sister took out loans for a 2 yr. medical asst. degree and now her job is paying for her to go back to school to become a nurse. Other sisters paid for their own by using grants, scholarships, loans, etc. and one even got a free ride b/c of soccer scholarship. None of them have high or unmanageable debt from it.

A College degree is important, but it's not EVERYTHING. DH hasn't even started on his yet and he makes a 6 figure salary; and we aren't even 30 yet! It's all b/c of the special military training/clearance that he has. I have the same thing, but halfway through my degree; IF I choose to go back to work, I'll start out at $80K, minimum. DH works with people who have PhD's, and are 10-15 years older than he is... but have no military background, and so, will never go as high as he can. I always tell people to join the Military if they can; and choose a job that isn't very common, and requires a special not-so-easy to aquire skill. For us it was linguistics and other "stuff".

Unfortunately, there are MANY people out there right now with College degrees and no job. Or, low paying jobs. Just think of how it might be by the time our kids are grown. A LOT can change it 12 years! If EVERYONE is focusing on College now, then, theoretically, they aren't going to be as valuable in the future. People should start thinking outside the box and encourage their kids to pick up special skills while they are young; like foreign languages (NOT Spanish), military training, etc. Just a thought There are SO MANY different jobs out there than the average lawyer, doctor, accountant, teacher, engineer, nurse stuff that most people ar going out for these days.

I will only address your first paragraph, where you state that if you saved now it would affect your child's eligibility for financial aid..it appears your child wouldn't be eligible for financial aid anyway, even if you have no "college savings", because of the high incomes you mention you and your dh have. So I wouldn't count on him getting need-based financial aid...anyway it's many years away so who knows if the whole system will change by then! Of course, you might consider still paying the same amount you are paying for his private elementary/high school.

 

[Tiana]

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[allison443]

That's right, he wouldn't receive any aid based on our salaries.... I guess we're darned if we do, darned if we don't!

I guess I should have added that yes, we will still consider helping out while he's in college, if he doesn't get a free ride by some other means. I guess we are partly hoping that he would follow in our foot steps and join the military!

But basically, yes, that is my whole point -that I would rather spend the money NOW to give him the best foundation possible; one of the reasons being we have NO idea what things will be like 12 years down the road. Heck! The world might not make it past 2012, LOL!!

I'm just not really worried about it [money for college] and coming from a family that DID have to worry about money, I know that we are lucky. But, it's not ALL about luck. We CHOSE the military, we CHOSE what path to take in the military, and we CHOSE to take advantage of the training we were given... and it was lucky for us that we made the right decisions!

I just try to show others that there are other ways to get what you want! You don't always have to do what everyone else is doing, or says you should be doing, and you should teach your kids that as well

I agree...there are so many ways to handle this and every family has to figure out what works best for them!! (lol about 2012!!)

 

[jmpellet]

Easy solution - work at a college and get it paid for!

 

[Tiana]

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[leebee]

Unfortunately with the rising costs of everything, one of the employee benefits being cut at many schools is the tuition waiver. Both DH and I worked at Universities that started with a free ride for employee's dependents and are now down to only covering 1/2 tuition. Yes, half is better than nothing, but it's not free.

 

[Ka' eo]

Unfortunately with the rising costs of everything, one of the employee benefits being cut at many schools is the tuition waiver. Both DH and I worked at Universities that started with a free ride for employee's dependents and are now down to only covering 1/2 tuition. Yes, half is better than nothing, but it's not free.

You are right. My dh is vested at his school for full tuition for our kids, but I know new faculty/staff get half or less. This is not a sure thing anymore. This changed years ago and full tuition hasn't been offered at our college for quite some time, but it's a small, private liberal arts school. Given the hit endowments have taken in this economy, I'm grateful they aren't cutting this perk out altogether!

Nevertheless, we've had the comfort of knowing our 3 kids (who are all a year apart and so we'll have 3 kids in school at once for several years) will have at least half their tuition paid.

We will expect them to contribute something, probably ask them to work in the summer and put some of that towards it starting at age 16. This is just to keep them vested in the process. At least this is our thought.

 

[ShannonMB]

Ah, the whole college tuition thing, yet another reason I'm glad DD is an only child! I just got done reading this whole thread, and I must say, it has been an education! And man, do I feel poor!

When the time comes for DD to go to college (and I fully expect her to do so), we are going to have some serious talks. I understand what a life-enriching thing going away to school can be, living on campus, the lifelong friends you make, etc. But I am going to use all my powers of persuasion to convince DD that 2 years at our local community college while living at home is the way to start. Then, when the time comes to transfer to Ohio State rolleyes1 well, there ARE other schools, but it's so close to home! and she can be a Buckeye!), she is going to have a REAL, realistic employment goal (degree = decent paying job in the field) for me to agree to contribute. None of this degree in political science or British lit so she can go to work at an entry level job for an insurance company after graduation.

I graduated from college with a BS in nursing in my early 30s. And I owe a LOT of money in loans. Luckily, my degree allowed me to get a decent job right out of school and my loan payments are doable. I *hope* to have them paid off before DD starts college. But before I went back to school, I worked at that insurance company I mentioned and for awhile for a telecom company alongside many people who were making the same money I was, with thousands of dollars in loans to pay off for those basically unusable degrees. I do absolutely understand the value of an education as a stand-alone asset -- a more well-rounded person, etc. But based on my life experience and our family's financial situation, I will do everything in my power to make my DD understand that there is no use in going to college and racking up those kinds of loans in these times unless what you are studying is going to = a real job based on what you learned there. I also really like the posts from the lady who has a career in the military -- thinking outside the box

Like I said at the beginning of the thread, this has been an education for me! And I see that so many families are in such different situations and priorities are different for everyone. I'm just giving input into my situation and my hopes for my DD. Best of luck to everyone!!!

 

[dunbarfamily]

We don't save anything for our kids' college. They have loans and scholarships for that. We have four children. My husband worked his way through college in the summers and paid off his loans before he was 27. Our kids can do the same.

We contribute a lot to our retirement, as there is no such thing as a retirement loan (besides a reverse mortage, but not really a good option!).

 

[lucigo]

I haven't put anything away for my kids college, but the 2 I have in college now both live at home. My 22yo gets an average of $3000 plus tuition paid every semester. She has paid off her car and pays her own insurance. I pay her room, board, cell phone. She has $4K in the bank that she has saved from scholarship money. My 18yo is getting around $3K in scholarships plus tuition paid every semester. I co-signed his car loan and I'm still paying for his car ins., gas, room and board and cell phone.

There are lots of scholarship opportunities out there. Mine have gotten Bright Futures (FL lottery money), pell grant, school based scholarships, work based scholarships (Whataburger), and military dependent scholarships.