financing children's college?

[DaveS]

It's that time of year again...

What are your thoughts on financing your kids college?

[Ed62]

There's all kinds of monetary help out there. You just have to spend the time to find out where it is. Even if it's a small amount, they add up when you get enough of them.

Ed

[LCHIEN]

when I was getting ready to go to college my father told me that he would pay for almost everything, not to worry about what it cost. I contributed a few thou that I earned during summers, but basically he told me it was his responsibility to put me thru school and in return it was my responsibility to put my kids thru school.

My youngest still has one more year to go. I saved some money, lived within my means, and my father also gave them a tax-free bond or two when they were young.

[Jeffrey Schronce]

I'm down for co-signing loans (if needed). Federal loans are dirt cheap right now.

I have the position that I will pay for college education as I see fit. I am not paying for my kid to go to local Elizabethtown College at $30k per year when Millersville U is closer and 25% of the cost. On the other hand, if my children want to go to U of Penn Biz School I would pay for that. I would not pay for my kids to go to U of Penn, Harvard, Duke, etc so they can get a BA in Political Science. I'd have to see the value in the major as relative to the schools strength.

I would strongly prefer to see my children utilize a strong state school for undergrad and then spend the big bucks on grad school.

I paid 100% of my education working as a new and used car salesman. Tough gig and it wasn't all that fun. I dont know how I worked full time, school full time, had 3.9 and was in a social fraternity. I don't want my kids to have to do that but at the same time I feel they need to understand the value of education as well as the initial cost of education.

[dkhoward]

My last one of two graduated from the local state university in December. I paid for the whole ride. She did buy her books the last two years. I provided a place to live, a car and meals. She bought her own clothes and accessories and paid for her entertainment. I ended up with about $15,000 in education debit which was erased when I sold a rent house.

I paid for the undergrad degrees. Grad school is their responsibility.

[blame]

i chose give them the money if i could

even though my kids are 6,3 and 17 months i still think about planning for there future and feel it is my job to provide the best i can for them

i feel that is what my responsibility to them is as there father. shoot they need everything they can get to get ahead in there lives. my parents didnt give me anything as far as structure to build on for my future. i have 2 brothers and 1 sister and they had to find there own means to pay for there own education.
my parents were sick with cancer and MS while i was growing up and chose to drop out of school to help them. i dont want my children to suffer the same way i have. this world is a tough place its hard to survive even with a good job these days. but it all boils down to the education you can provide for your children and i for one will do almost anything to provide that for them.

blame

[vaking]

I am prepared to help with money for college but not a full amount. It does not matter how much it costs or whether it is easy for me or not, the important part is the kid must contribute to it. Without personal contribution the kid does not put enough effort, does not want to do the work.

[cwsmith]

When Patty and I got married back in 1967 we immediately started saving for college, as neither of us had that opportunity. I'm a bit "Victorian", so even though she worked for the first year and a half of our marriage, we lived only on my meager salary (I think that averaged about $3 an hour back then) and we saved every dime that she made. By the time our son was born (1969) we had both a college fund underway as well as some money for the downpayment on our first home.

We decided that Patty should be a "stay-at-home" mom and as the years passed, we found that no matter what the challenges were, we always managed to contribute something to the college fund.

By the time college came into the schedule we were able provide what was necessary. He managed to pick up some scholarships, and therefore some of the fund could go for an apartment, a car, and living expenses. With two years at the local community college and then two years at Cornell, we managed quite nicely and even managed to give him a bit of a start with furniture and apartment assistance when he landed his first job.

Personally, I think its nice to be able to start a career without having years of college loans to pay off and we're pretty happy that we were able to do that for him.

CWS

[dlminehart]

I told my daughters that we'd split the cost of college with them. However, being unemployed for a year, and underemployed for 2-1/2 years, depleted all my savings. Grandma stepped in to split the costs of freshman year for the oldest daughter, and financial aid plus campus job plus government-subsidized loan covered the other half. This was going to result in my daughter's having a $80,000 debt for her undergrad education, and my having to borrow about $40,000. And a second daughter ready to start in a couple years.

So, first daughter reconsidered after freshman year, decided to attend the local state college, for 10% the cost of the admittedly good private college. She'll live at home, pay toward her food, utilities, and cover her own clothes, entertainment, car expenses for the old car I gave her, etc. She'll pay her way as she goes, saving the big borrowing for grad school, if necessary.

College costs are rising about 10% per year, meaning they'll double in about 7 years, quadruple in 14 years. Professional schools are raising prices much faster; the UC system is raising its law and business school tuition by about 65% this coming year to about $40,000.

With the dollar continuing to fall in value, foreigners get a relatively decent bargain here compared to us. I used to think Canada would be an option for less expensive higher education, but the Canadian dollar is on a par now with ours, and likely to continue upward. Read my lips: budget deficits.

[scorrpio]

A poll option missing: investing in college fund already. Children is our future, and there is nothing more important than assuring their proper education. Not only on financial front - but on personal front as well, by being teacher #1.

If my daughter is able to secure her own college financing, the college fund savings will still make an excellent boost, potentially becoming a downpayment on her first house.

[thrytis]

I definitely want to help fund my daughter's education, but i also want her to have to pay a fair amount of her education, either through a job, loans, or merit scholarships. I don't want her to view it as a four year vacation courtesy of mom and dad.

[DaveS]

For those of you that picked "give them the money if I could", would you put a yearly/total limit on it?

Say, something like "we'll pay $[insert amount] per year, anything above that is up to you to find", or would you pay the whole thing, regardless of the cost? Have that amount be room and board plus a little extra, for a good state school?

I am really leaning toward the "lend them the money", and then forgive the loan when they graduate. Of course, they wouldn't know about the forgive part until after graduation. Also, 0% interest, of course.

I feel that many kids do no take college seriously if they are not on the hook for the money in some way.

[gsmittle]

I have a comprehensive plan for financing my kid's college education. All I have to do is hit the lottery.

Seriously, I would do whatever it takes to help them with their college expenses. Until they flunk out, in which case I have an indentured servant for a couple years....

I paid my own way through undergrad and grad school, and I'm still paying off the loans. I hope my offspring will have a little better time of it.

Jeff, I hear ya about the working. For a while I worked three jobs, including delivering pizzas until 4am. We were able to do it because we were MUCH younger and wanted it badly enough....

g.

[thiggy]

What about high school education? My wife took two of the grandchildren to register for the upcoming school year (public school) and it she paid over $300 in fees for them. So much for the myth of free public education. That does not even include the expenses for my grandson who is on the varsity football team. That will be another $500 or so.

[Copper]

My vote is with Scorrpio (invest before they get there). We started investing in a 529 plan before my daughter was even born. Hopefully, it won't be as difficult when she's college age.