Savings for your child’s college

[Fether]

I hear about this concept all the time on TV and Dave Ramsey has it part of his total money make over, but I have never met anyone whose parents saved for their college not any parent that had a college fund for their children.

Do people save money for their children’s college? Is that a good idea? 

[Guest MormonGator]

27 minutes ago, Fether said:

I hear about this concept all the time on TV and Dave Ramsey has it part of his total money make over, but I have never met anyone whose parents saved for their college not any parent that had a college fund for their children.

Do people save money for their children’s college? Is that a good idea? 

You haven't? It's pretty standard for a parent to save money for their kid to go to college. 

[Sunday21]

Most people that I know who have children have started a savings scheme. 

[zil]

I'm sure some parents do.  My parents helped me pay for college (along with my money from working, and a scholarship).  Whether it's a good idea depends, I suppose, on your philosophy about these things.  Personally, if it's an option, I think it's wise.  And if you're going to do it, the sooner you start, the better.  Utah, as I recall, has some sort of savings plan for this purpose.  Whether it's any good, I have no idea.

[Overwatch]

29 minutes ago, Fether said:

I hear about this concept all the time on TV and Dave Ramsey has it part of his total money make over, but I have never met anyone whose parents saved for their college not any parent that had a college fund for their children.

Do people save money for their children’s college? Is that a good idea? 

My parent didn't pay for our college/University but we all have degrees or certs, I think except the youngest two. I don't hate them for not paying for my schooling. It really helped me that Queen's parents paid for hers cash. When we got married I quickly paid off my debt and that was that. I think it just depends on the relationship you have with your children. Do you think they are worth the investment? Will the favor be returned? (not getting put in a nursing home against your will down the road) Just depends I suppose. 

It is pretty standard for middle class and above families to help their children pay for school. 

[Fether]

17 minutes ago, MormonGator said:

You haven't? It's pretty standard for a parent to save money for their kid to go to college. 

Ya, me and every room mate I have ever had paid for our own college. My wife’s too, neither of us can think of anyone whose parents paid for their children to go to school 

[Backroads]

My parents helped, though I don't think any of my siblings had college fully paid for parents.

I like the idea of being able to do that for my kids, though I won't feel bad if it doesn't happen.

I have heard of situations where college was paid for if the offspring went for the parents' choice of major and career. Not my cup of herbal tea, but I think it can make sense for very close-knit families that have the whole extended family working together to support each other.

[Grunt]

57 minutes ago, Fether said:

I hear about this concept all the time on TV and Dave Ramsey has it part of his total money make over, but I have never met anyone whose parents saved for their college not any parent that had a college fund for their children.

Do people save money for their children’s college? Is that a good idea? 

My kids' college is pretty much paid for.  They're 7.

Edited June 30, 2018 by Grunt

[Guest MormonGator]

16 minutes ago, Fether said:

Ya, me and every room mate I have ever had paid for our own college. My wife’s too, neither of us can think of anyone whose parents paid for their children to go to school 

And I'm the opposite. The majority of my friends had their parents pay for college. 

[Manners Matter]

I think it  depends on your situation. If you think you'll be in a position down the road to help, don't worry about it now but if you don't think the prospects will be there, you may want to consider setting something aside sooner than later. That said, I don't think it hurts to expect kids to cover a good portion of the cost. Hopefully, they'd take their education more seriously if they had to work and save for it themselves.

[Fether]

1 hour ago, Grunt said:

My kids' college is pretty much paid for.  They're 7.

 

1 hour ago, MormonGator said:

And I'm the opposite. The majority of my friends had their parents pay for college. 

This is so mind blowing to me! XD

[BeccaKirstyn]

My parents paid for the first year for myself and my siblings, then the rest was up to us. Although they did allow us to live at home if we chose to go to our hometown university. 

[Overwatch]

17 minutes ago, BeccaKirstyn said:

My parents paid for the first year for myself and my siblings, then the rest was up to us. Although they did allow us to live at home if we chose to go to our hometown university. 

Your parents sound awesome. I am going to let me kids do the same thing. I pretty much only want them to leave once they get married. In the meantime they'll have us to be there if they need something.

Edited June 30, 2018 by Overwatch

[BeccaKirstyn]

5 minutes ago, Overwatch said:

You parents sound awesome. I am going to let me kids do the same thing. I pretty much only want them to leave once they get married. In the meantime they'll have us to be there if they need something.

Yeah they're pretty cool! I appreciated learning what it meant to earn money for something like tuition. Making those payments every semester was not easy, so it really put things into perspective. I did go to a fairly inexpensive university (about on par with BYU's tuition), so obviously that was manageable. 

[Fether]

52 minutes ago, Manners Matter said:

I think it  depends on your situation. If you think you'll be in a position down the road to help, don't worry about it now but if you don't think the prospects will be there, you may want to consider setting something aside sooner than later. That said, I don't think it hurts to expect kids to cover a good portion of the cost. Hopefully, they'd take their education more seriously if they had to work and save for it themselves.

Welcome to the forum!

My motivation was a little different. It was all about doing awesome in highschool so I didn’t have to pay for college. Which worked cause I get $1500 handed to me every semester for school scholarships I have

Edited June 30, 2018 by Fether

[zil]

Welcome, @Manners Matter!

[VelvetShadow]

3 hours ago, Fether said:

I hear about this concept all the time on TV and Dave Ramsey has it part of his total money make over, but I have never met anyone whose parents saved for their college not any parent that had a college fund for their children.

Do people save money for their children’s college? Is that a good idea? 

I paid for my Childs tertiary education (and the car he needed), I didn't want him to start his working life with a debt, I could afford to pay for it, so I did.  I understand not every family has the means to do so.  The most important thing is to help your child achieve their dreams the best way you can.

[NeuroTypical]

Tax free 529 plans all the way baby!  Anything that keeps $$ out of the hands of government is a good idea!

[seashmore]

My mom losing her job and taking a paycut to make a paycheck my junior year of high school really helped get us some good locked interest rates on loans, if that counts.

My college roommate's degree was paid for on the condition that any of the bonuses she earned her first few years as a nurse would be turned over to her parents.  She was able to buy a house in late 2008.

I think it's one of those things where you should if you can, but don't break your back over it.  And don't pay for all of it if they aren't going to be grateful or responsible.

4 hours ago, NeuroTypical said:

Tax free 529 plans all the way baby!  Anything that keeps $$ out of the hands of government is a good idea!

Legitimate question: what happens to the money if the kid decides not to go to school?  Or dies before graduating high school?  Do you get the money back and pay taxes on it as income?

[mirkwood]

My parents paid for my first year.  After that I paid for the rest.

[Pressing Forward]

Yep 529 with TRowPrice.   Parents never paid a dime of my college, but my inlaws paid some of my brides.   

[mrmarklin]

On 6/30/2018 at 12:27 PM, Fether said:

I hear about this concept all the time on TV and Dave Ramsey has it part of his total money make over, but I have never met anyone whose parents saved for their college not any parent that had a college fund for their children.

Do people save money for their children’s college? Is that a good idea? 

It’s a good idea to help your kids. I did not do this sufficiently as I put myself through school with minimal debt.  I figured my kids could do the same  

It was a mistake. The biggest of my life  

Times have changed, and once the federal government got involved in education costs skyrocketed. So yes. You should do this. 

[Guest MormonGator]

12 hours ago, mirkwood said:

  After that I paid for the rest.

Hey, those degrees offered in the back of Rolling Stone magazine are expensive! 

[zil]

On 6/30/2018 at 1:27 PM, Fether said:

Do people save money for their children’s college?

Why would you be sending your child to a college that can't save its own money?  I mean, if they haven't mastered basic accounting practices, do you really want to trust them to educate your kid?

[Guest MormonGator]

4 minutes ago, zil said:

Why would you be sending your child to a college that can't save its own money?  I mean, if they haven't mastered basic accounting practices, do you really want to trust them to educate your kid?

:: ahem ::

Miss @zil, you barely graduated from high school and declared bankruptcy twice. You are the LAST person who should be giving advice on financial or education matters!