How much college money do you expect to save?

[TBH]

My goal is to be able to pay for 25 percent of my son's college education out of savings. I expect to take out parent loans for another 25 percent, and hopefully get grants and scholarships for some of it so that my son doesn't have to take out loans for more than 25 percent.

How much are you all expecting to come up with?

[mjrube94]

Re: How much college money do you expect to save?

Personally, I find those "college calculators" to be too overwhelming. My kids are 7 and 5, so there are just too many assumptions I need to make to figure out what I need 11 or 13 years down the road. My approach is to save as much as I feel I can, and increase it when I think I can (e.g., use the tuition for DS preschool when he goes to kindergarten). I save some in 529s in their name, and I have some saved in my name in case I save too much. (fat chance). When they're ready to go to college they have what they have. If they choose to go to a more expensive school, they have to foot the rest. If they choose to go to a cheaper school (or get a scholarship) we'll split the difference.

[PrincessPerky]

Re: How much college money do you expect to save?

Unless something major changes in my financial status I will not be paying one cent into it, sorry. But I will be able to assist them along the way in savings, DS and DD have ING accounts, DS actually knows the money is 'growing' (getting more not bigger, boy was that hard not to laugh when he was discribing a giant quarter!) I also have several preliminary plans for helping them make money while they are younger so that they get into the habit of reaching for goals and making money themselves, since it doesn't grow on trees and I don't have it, I will do the next best thing and help them NOT fall into the trouble DH and I did.

The GPs on DHs side get bonds for every birthday which we lock up and will be ready for use close to college age, and since we home educate they will be ready to take college courses at a rather young age, so they can do it little by little as they feel up to it. Working while going to college is pretty easy if you are 16 and do not feel the rush of getting done in 4 years. (I know cause I did it for a time) Oh they also get bonds for when they are born, We take some of the money given as presents when they are born and get them a bond ourselves too.

One thing I ran into when I was going to college, they figured my family income as both parents and stepparents, whcih was a large amount 4 full time people! (two of which making a LARGE amount of loot) So I can safely (with tounge in cheek) say I will remain married to my DH to help out .

[DivaJen]

Re: How much college money do you expect to save?

Ideally, we'd like to be able to pay for all of it. The reality will probably look more like some of it coming from savings, some from scholarships and some from my paycheck.

We have money that we inherited from DH's great aunt that is earmarked for DD's education, and I have started depositing money monthly into a 529. If we were to come into any more money, it would go towards her schooling as well.

[PFJournal]

Re: How much college money do you expect to save?

I would say minimum $25k (although, it depends where you are going).

[Tree0164]

Re: How much college money do you expect to save?

We put away $150 a month for the 3 kids (6 and 2 3 yr ) into a 529 plan. That amount may get bumped up to $300 a month shortly. They will get that amount The rest will come from scholarhips and them taking out a student loan not me. State colleges will give you a good education for about 1/2 the price of private univerisities.

Kids can take a loan for college, but I can't take a loan out for retirement.

[TBH]

Re: How much college money do you expect to save?

We put away $150 a month for the 3 kids (6 and 2 3 yr ) into a 529 plan. That amount may get bumped up to $300 a month shortly. They will get that amount The rest will come from scholarhips and them taking out a student loan not me. State colleges will give you a good education for about 1/2 the price of private univerisities.

Kids can take a loan for college, but I can't take a loan out for retirement.

Your approach sounds good, Theresa.

This is where my older sister would point out that the younger kids in the family get the better deal, because parents' financial circumstances often get better as they get older and they can save for/help out the younger ones more. It sounds like there will be a bigger nest egg for your two youngest when they go to college than there will be for the oldest. Of course, tuition will have gone up, so the younger ones will need more money.

[ScottO]

Re: How much college money do you expect to save?

Don't forget to calculate in how much you may lose in grant and scholorship money by saving "too much".

There is a line. My sister is 10 years younger than me and my mother really saved up for her college fund. She saved so much that it knocked my sister out of any financial aide (except for loans) that she would have otherwise have received. In fact what she lost out on (since she was an A student) was more than what was saved.

This was almost 15 years ago and things today may be different, but it's something to think about while planning.

[Snoopy2645]

Re: How much college money do you expect to save?

Well I am not saving much now but when the kids are older I plan to work ft & be able to save more I also plan on by that time having a house that is paid for so I wont have that hanging over me I will be able to contribute more to thier college tution. Also because my kids are so far apart I more than likely wont have 2 in college at the same time so that will help me & we also live close to about 5 colleges so they can live at home & drive to school if they choose so that will help too

[34saving]

Re: How much college money do you expect to save?

Princess reminded me of 3 things to reduce college expenses: 1) At least here in MN you can go to college during your last two years of high school and receive both HS and college credit. Best part? You don't even have to pay for books and you can often go to a private school if you want to. 2) AP classes. Take them. I've had several students enter college with junior standing. 3) If you really need to go to an expensive school, start at a community college and get your generals out of the way . . .then transfer and GRADUATE from the expensive one.

As for college savings for dd . . . if Daddy keeps his job she can go for 25% of normal tuition. If Daddy doesn't keep his job let's hope he makes more money in the new one

[ScottO]

Re: How much college money do you expect to save?

Princess reminded me of 3 things to reduce college expenses:

4) Don't forget about CLEP exams. If you have enough knowledge about a subject you can take a CLEP test and receive credit for it as if you have taken the course.

[mccartygirl]

Re: How much college money do you expect to save?

We'll be paying for all DD's college. Undergrad that is. My mom saved up a lot for her before she died, we put $$ into her accounts every month (1 for college, 1 for car/wedding). I put more in every week if I have some left over after bills, get paid weekly. My brother got my mom's pension when she died so he puts money in every month too.She's the only grandbaby in the family. My brother says that she will always be taken care of and not want for anything. I will be opening a 529 account soon since I have Upromise and need to invest that into 529. She's only 1 1/2 now but when she's old enough we'll pay her an allowance and put 1/2 the allowance into savings and the other 1/2 she can do with what she wants, more of a lesson of saving. When in college she'll have to work summers to pay for her books and spending money while at school. When we have another one we'll do the same strategy. They will get undergrad, 1 car and wedding, not one of those $50,000 weddings on Whose Wedding is it or Bridezillas but a nice wedding

[sweeps]

Re: How much college money do you expect to save?

We're currently putting in $100/month into a 529 for my 9-month old son. And any and all cash gifts from friends and family members go in the 529 as well.

My guess is that we'll have saved about half of what he will need. I think it'll be good for him to be responsible for the rest -- earning scholarships, taking out loans, doing work-study, etc.

[dealsaver]

Re: How much college money do you expect to save?

0%. My children will pay for it themselves just like their father and his parents before them. With above average intelligence and/or a good work ethic anyone can get a college degree in this country.