Comments on: How much to save for a baby’s college education?

By: * Dave Ramsey’s Baby Steps Explained

* Dave Ramsey’s Baby Steps Explained — Wed, 08 Apr 2009 02:06:52 +0000

[...] 5 Baby Step 5 at Dave RamseyDave Ramsey Baby Step 5 – College Funding For Children at My Two DollarsHow much to save for a baby’s college education? at Sense to SaveSaving Money for College- Education Savings Accounts and 529 Plans at Think Your [...]

By: Jorge

Jorge — Thu, 05 Mar 2009 12:04:51 +0000

This is a tough one, because you also have to decide if you have an extra dollar, would you put it towards retirement savings or college fund. Would you rather pay their way through school, but be a financial burden later because you didn't save enough? I think the scales are tipped towards savings as much as you need for retirement and then if you have extra put some away to help out for college. Let me tell you, with two kids, one age 8 and one age 6, the little we set aside each month for their education is a big chunk of money! Jorge's last blog post..Independent Minded

By: Jenna

Jenna — Wed, 04 Mar 2009 05:11:50 +0000

In addition. You can borrow money for a child’s college education, it is almost impossible to borrow that same amount for you and your spouses retirement. Every dollar you spend during working years not saved towards retirement is one less you will have to live on when income stops. (Just a thought)

By: Jenna

Jenna — Wed, 04 Mar 2009 05:09:18 +0000

By the time our children were old enough for college it was clear we could afford to send them anywhere they wanted to go and still foot the entire bill. Yes, we were blessed. It also was a fact in our home to not spoil the children as they were growing up and due to this fact they were all very independent by the time it came time for college. The formula I followed was this. First they all got scholarships, they all applied for the FAFSA and they all applied to be resident leaders for free room. I took one year cost at their school divided it by 3 (the number of children we have) That is the amount we set aside to help them out each year. The oldest went over and ended up signing a loan with us. The middle child was under and had a bonus upon graduation to get set up in an apartment. The youngest came out almmost even to the dollar. When asked later if they felt they had enough, the answer all three gave is that they were given more than enough. Including the child whose spending went over and now repays the loan with intrest.

By: How Will Your Kids Pay for College? : Bizzia

How Will Your Kids Pay for College? : Bizzia — Tue, 03 Mar 2009 22:47:07 +0000

[...] can help. You can start now, setting aside money for your kids’ college education. In fact, many folks start setting aside money before they even have children. With [...]

By: Fabulously Broke

Fabulously Broke — Tue, 03 Mar 2009 15:03:26 +0000

Even if I could afford it, I wouldn’t pay for my future kids’ education.

I’d pay 25% or 50% maximum, for each child, and until upon graduation, would I assess whether they deserve the rest of the 100% or not.

I don’t know, I still have to work this out in my head, because I don’t want to compromise my retirement but I also don’t want my kids to struggle the way I did when I left school.

Great topic for though. $375 eh?.. Wow. Imagine if you have 3 kids, that’s almost a grand for REGULAR schooling.

Fabulously Broke’s last blog post..Think you’re in a career rut?

By: Miranda

Miranda — Tue, 03 Mar 2009 14:22:51 +0000

We plan to help him with his housing and food expenses. He will be responsible (through scholarships, grants, loans or a job) for his tuition. My husband and I both had part-time jobs during college to help with "fun" on top of our scholarships. I had modest student loans as well (but I'd redo that, since I didn't technically need them). I graduated summa and he graduated magna. It is possible to get a good education, have some fun and keep good grades. We both knew we would need to get scholarships, since our parents wouldn't be able to pay for everything. It taught us quite a lot about hard work, and taking responsibility. We both had some help from our parents in terms of housing, and we thought that was a good compromise to strike with our son. So we are setting a little aside every month to help pay for his housing down the road. Miranda's last blog post..Yielding Wealth Looking for Guest Posters

By: Cathy @ Chief Family Officer

Cathy @ Chief Family Officer — Tue, 03 Mar 2009 04:50:17 +0000

Ah, this is a topic I’ve gone round and round on. We haven’t decided how much we’ll contribute – it will really depend on what we can comfortably afford. If we can afford to pay for their entire education, we will – we both benefited from generous parents and turned out fine :) I agree that the numbers are staggering. I estimated that if the kids went to a private university, they’d need $400,000 each for tuition, room and board. (They’re ages 4 and 2 now.) For the time being, we are saving what we can. Of course, their Coverdells, which I started when they were born, are down nearly 50% – ugh!

By: Adam

Adam — Tue, 03 Mar 2009 03:57:00 +0000

My wife and I have ESA's for both of our kids. The amounts we are currently investing will in not come close covering 100% of their tuition bills, but it will provide a good start. If in the future we can sock more into these accounts then we will. I worked my way thru college and graduate school, so I know it can be done. That being said, I will contribute as much as possible to their education. Adam's last blog post..Money Folders 1.5.0.10

By: megscole64

megscole64 — Tue, 03 Mar 2009 02:42:48 +0000

I have no intention of paying for all or even most of my child's college. I worked full time, got one small scholarship, and paid my way. I took it way more seriously than my brother who ended up dropping out with $45k in debt (some of which my mom co-signed for him and is on the hook for). If my kid wants to go that badly they can work, join the military, or start at Jr College and work. megscole64's last blog post..Slowing Down, but Not Out