6 reasons not to save for college — The Bump
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6 reasons not to save for college

Re: 6 reasons not to save for college

  • This is so true--My MIL helped pay for college for her 3 kids, and bought them all cars in high school.  She did not save for retirement at all and now it's killing all of us, because her kids and grandchildren have to foot the bill for her living expenses.

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  • Maykat, this is the same story as my DH's family. They spent their entire life savings for their 3 sons to get a US education (all at private schools - MIT & Rochester) and now they're completely destitute. It sucks having to support them financially. We can't afford it and they (well, before FIL passed) feel so badly for being a burden. And the lack of college money is what is really keeping DH from wanting a third child which I've always thought was ridiculous. I know that if kids want to go to college, they'll get there and as long as the parents are there for support and guidance, even if they have no monetary contributions, they'll find a way.

    Can you tell we're not saving for college?? ;)

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  • Neither my DH or I had our colleges paid for.  My mom is still unable to pay for all her expenses and we support her monthly now (it's not a lot yet, but we are worried about that).  We both have student loans and worked and I don't think there is anything wrong with that.  We are still setting aside money for Danielle/baby #2 future...we have not done a 529 beacuse we aren't sure exactly what it will go to, piano prodigy lesson (just kidding), car, college, wedding, just stuff she may need if we get in a bind.  We are thinking of also opening up a 529 specifically for college, but it's not our intention to foot the bill entirely.  We have to worry more about our retirement, so I totally agree with this article!

  • Dh is very firm about not saving for college unless all our retirement funds are being fully funded. Dh went through UGA on HOPE and worked to help pay for his living expenses. We don't want to be a burden on our kids later in life but if we do have extra money we'll help them out but not fully fund their college.

     

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  • I should add we are also max funding 401K and some other retirement investments as well. 
  • My IL's have a college fund set up for all 3 grandkids.  I've joked about it before but really I'm not kidding, I'd rather spend that money on private school tuition now than Emma end up a freaking Elementary School drop out and never make it to college anyway!  Somedays that really feel like the direction we're headed.

  • um, I'm sorry, but that's just kind of ridiculous.  everyone should be saving for both their retirement and their kids college educations and at a rate that they can afford, not one that should make them completely poor for the rest of their lives.  if its important to you to help send them to college than you may not be able to fully fund their educations or fund an education to harvard but something but I do agree that it shouldn't be at the expense of your retirement.
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  • We are putting our retirement first right now. ? Its scary watching our 401k accounts taking such a hit right now, but they should be recovered in 35 years. ?You would think anyhow.?

    Nico's parents have started an account for Evie in Austria for her education. ? And we keep talking about starting one for her, but I STILL haven't gotten her SS Card. ?So I can't even open a bank account for her. ? Bad mommy!?

  • I think we're the opposite of this.  DH and I fully fund our retirement and other savings, but we're also planning on paying for our kids' college educations.  Both our parents paid for ours...I don't see that it is wrong as long as you are smart about saving for yourself as well.
  • you don't need their SSN to start an account for them, you can start one with your name as the beneficiary until you get the SSN and then change it over, that's what we did.  we max out our retirements and have seperate money market and emmigrant direct accounts and we started a 529 for Finn while we were pregnant and same now for deuce.  even if your kids don't go to college you can get the money back but with a penalty of course.
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  • You know, i had to pay for my own college and I think that's why I was motivated to get out in 3 years, so I wouldn't have to pay for another. If I could only talk my husband into not saving for kate's college. Ha. That will never happen!
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  • I don't think they're saying there's anything wrong with paying for your child's education if that's something you can do. But if a college fund is taking away from you contributing fully to your own retirement, then that's an issue. I don't know anyone that wants to be taken care of by their kids. And what if your child dies before you do?
  • We do plan on helping our kids pay for college, but I'm not sure that I'm going to communicate that to them right away.  I don't want them to take it for granted. 

    Also, if DH or I lost our job and couldn't contribute to our retirement, the contribution to the college fund would be the first thing to go.

    We have a fund set up for Alec that was created by my parents in our names.  They don't want Alec knowing about it until he starts college and there will be stipulations tied to it. The same will be done for Aerin.  We put all $$ that Alec receives as a gift right into the fund too.

     

  • DH and I both had our private college education paid for by our parents. I cannot thank them enough! We never took it for granted. I can't imaging trying to get by with undergrad student debt ?on top of everything else. We will certainly be saving for DD's college.

    That being said, we'll highly encourage her to choose a state university. By the time she graduates college, a B.S. won't be thought of as anything more than a H.S diploma is nowadays. There's no point in spending more for a private school name, when a state school will get her the same piece of paper. She'll need the extra money for med school, law school, or a PhD program.....lol. ?We don't want her supporting us into our old age either.

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