This seems to be one of the few safe spaces on the internet because the Personal Finance blogs are looney with people saying if you don't invest 90% of your income you'll be living in a van down by the river.
I have a one-year old. I think it's safe to say as several of you have shared your kids are in the journey selecting their college to attend, or are already there, that we have similar expectations. Most of us are pro Public State School, since we're on an MSU forum. Most of us will say, Ann Arbor is HIGHLY Discouraged, I'd rather eat the private school payments than send you there
. But if you can make a case that you must, we'll chat, but the answers likely no (I jest, but seriously).
These 529 calculators though are absurd. They're advocating that I save $350k because college will cost a generations worth of payments to send a kid to school in 2040. Am I the only one who thinks this is absolutely absurd? I realize colleges got away with murder over the past 20 years just raising rates with no regard, but isn't it also safe that with the student loan crisis, and with current political trends (Not trying to bring Politics Into this, but it's reasonable to say their is political pressure out there to push colleges down in price) that I probably won't need $350k saved to fund my kids college fund?
Anyone have a practical piece of advice here? He's one. The balance is $3,200 right now. A couple of commission check dumps got it there. I've always said I won't "Guarantee" I'm paying for college, I'll save what I can as responsibly as I can, and he and I will have an open conversation about what is saved when he is old enough to comprehend the numbers. Get a full ride? The money is yours for the future. Barely get in? You'll be using the 529, paying as you go as you'll have a job, and taking on some loans.
I guess I just feel like I started at Age 0, I'm hopeful compounding interest does something here, and I'm feeling pretty overwhelmed by these damn calculators pretending I need $350k for my kid to get a bachelors degree in General Studies lol.
Anyone have a short practical tip for a newer Dad?
I have a one-year old. I think it's safe to say as several of you have shared your kids are in the journey selecting their college to attend, or are already there, that we have similar expectations. Most of us are pro Public State School, since we're on an MSU forum. Most of us will say, Ann Arbor is HIGHLY Discouraged, I'd rather eat the private school payments than send you there
. But if you can make a case that you must, we'll chat, but the answers likely no (I jest, but seriously).These 529 calculators though are absurd. They're advocating that I save $350k because college will cost a generations worth of payments to send a kid to school in 2040. Am I the only one who thinks this is absolutely absurd? I realize colleges got away with murder over the past 20 years just raising rates with no regard, but isn't it also safe that with the student loan crisis, and with current political trends (Not trying to bring Politics Into this, but it's reasonable to say their is political pressure out there to push colleges down in price) that I probably won't need $350k saved to fund my kids college fund?
Anyone have a practical piece of advice here? He's one. The balance is $3,200 right now. A couple of commission check dumps got it there. I've always said I won't "Guarantee" I'm paying for college, I'll save what I can as responsibly as I can, and he and I will have an open conversation about what is saved when he is old enough to comprehend the numbers. Get a full ride? The money is yours for the future. Barely get in? You'll be using the 529, paying as you go as you'll have a job, and taking on some loans.
I guess I just feel like I started at Age 0, I'm hopeful compounding interest does something here, and I'm feeling pretty overwhelmed by these damn calculators pretending I need $350k for my kid to get a bachelors degree in General Studies lol.
Anyone have a short practical tip for a newer Dad?
