Poll

What percentage of your children's education will you pay?

0% (no free loaders here)
10%
20%
30%
40%
50%
60%
70%
80%
90%
100% (I don't want my kids to struggle like I did)

Author Topic: What percentage of your children's education will you pay?  (Read 19686 times)

Cranky

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Re: What percentage of your children's education will you pay?
« Reply #100 on: October 25, 2016, 11:43:02 AM »
I didn't get the impression people feel 'duty bound', more that by starting with a clean slate and getting a good education sets a young person up for success.

I absolutely agree that a good education is a valuable thing to have in your experience bank.  Another thing that I think is valuable to have in there is the sense of accomplishment and self-sufficiency derived from contributing to that experience.  It means less if someone just hands it to you on a silver platter.  Part of the college experience is learning to be an adult, and part of becoming an adult is learning to deal with stress and bills and deadlines and conflicts. 

I know too many college grads who are basically still high school kids.  If mommy and daddy do everything for you, how are you ever supposed to grow up?  I would never handicap my kids by paying for 100% of their college experience.

This must explain my tragic life. ;-0

My grandparents paid for my mom's college education - in the 1940's. (My dad went to college after the war.)

My parents paid for my college education, and for my sister's, and my in-laws paid for most of my dh's. (He did work summers.)

I've never felt we were handicapped in any way by this. Indeed, because my parents and in-laws were generous with us when we were young, I have been very happy to be similarly generous with my own young adult children.

drp

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Re: What percentage of your children's education will you pay?
« Reply #101 on: October 25, 2016, 04:58:41 PM »
I put 0%, but I suppose that's not entirely true.

As long as DH and I are doing okay, I don't mind pitching in here or there, as long as I see my (grown) child is working their butt off (both at a real job to pay their bills AND at school to do their best). I'm not paying for no slacker partying up at college (and I'm sincerely praying neither of my kids will be such!).

I will let them continue to live with us rent free, though (while pursing a degree full time), but only if they pull their weight/help out. I'm not gonna be folding no 20 year old's undies.

Davids

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Re: What percentage of your children's education will you pay?
« Reply #102 on: October 25, 2016, 05:02:29 PM »
My intent is to be able fund 100% of my child's undergrad education at a state university. If he wants an expensive private university then he needs to make up the difference on his own and he is on his own for grad school.

MrsPete

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Re: What percentage of your children's education will you pay?
« Reply #103 on: November 01, 2016, 12:34:58 PM »
Why put "I don't want them to struggle like I did?" on the 100% option?

My parents paid my school in full and I will always be grateful for it. There was always a requirement attached to it though; I needed to maintain honour roll.

If I ever decide to get married and have kids I would do the same. However, I do live in Canada so paying for school isn't the headache it is in the USA.

So I'd pay 100% as long as grades are maintained.

Because most people graduate with significant debt.  See this Canadian story that references the average student debt is $25,000. 

http://www.cbc.ca/news/canada/average-student-debt-difficult-to-pay-off-delays-life-milestones-1.2534974
No, I agree with the other poster -- it's not about whether you graduate with debt. It's about your attitude towards it. Two possible thoughts that a grad might have:

- I'm paying for everything because I had to struggle, and it was awful.  I don't want my kids to go through that. 
- I'm paying for everything because my parents did that for me, and it was wonderful.  Their sacrifice made my life easier, and I want to do the same for my kids. 

And you might find mid-points between these two extremes. 

MrsPete

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Re: What percentage of your children's education will you pay?
« Reply #104 on: November 01, 2016, 12:37:12 PM »
Even if I wanted to pay 100% of college expenses for my kids, I would still have them take out loans and work study and THEN pay everything off for them after they graduated.  I just don't see any advantages to fronting the full cost.
Well, dealing with loans -- especially government loans -- can be a headache.  You'd save time and aggravation by simply paying up front. 

dunhamjr

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Re: What percentage of your children's education will you pay?
« Reply #105 on: November 05, 2016, 12:00:14 AM »
Most likely none up front. Or at least very little. We don't even any clue what percent it would be. My plan is to help after the fact if needed.

Wife and I both got loans, grants, and scholarships. Our kids can do the same.

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Goldielocks

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Re: What percentage of your children's education will you pay?
« Reply #106 on: November 05, 2016, 12:48:31 AM »
Why put "I don't want them to struggle like I did?" on the 100% option?

My parents paid my school in full and I will always be grateful for it. There was always a requirement attached to it though; I needed to maintain honour roll.

If I ever decide to get married and have kids I would do the same. However, I do live in Canada so paying for school isn't the headache it is in the USA.

So I'd pay 100% as long as grades are maintained.

Because most people graduate with significant debt.  See this Canadian story that references the average student debt is $25,000. 

http://www.cbc.ca/news/canada/average-student-debt-difficult-to-pay-off-delays-life-milestones-1.2534974

Ah,  I think the stats are misleading.

Yes, the average student loan debt is approximately $25k for students with debt.  In canada, because quite a few students can not get loans (other than line of credit type loans through the bank, signed by their parents), and because tuition is not too high if you live at home, many students do not have loans.

In BC, in 2014, there were 145k FT canadian students, and only 60,000 Canada Student Loans issued.  So let's imagine about half of the students get loans.  The average CSL is $5k per year, but only for 2 years...   we can guess that the senior years get most the loans, once kids come off of dependent status after age 21.

  Truth is, many students graduate with ZERO loans.

So the average reported in the news not only has the highest borrowers skewing it by at least 25% high, but also does not average the loans across the whole student population, including the zero borrowers.


Goldielocks

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Re: What percentage of your children's education will you pay?
« Reply #107 on: November 05, 2016, 01:08:14 AM »
On a separate note, I am realizing that my DD will be 17 when she goes into university.   Now that the time has come, I can honestly say that I feel full responsible for her through age 18 at the minimum, 19 more likely.

Yes, she needs to work to make money to contribute, but she will have one (or more) years less than other students, and if she did NOTHING next year, she would be under 18, and I would feed, cloth, and house her.

FIRE_at_45

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Re: What percentage of your children's education will you pay?
« Reply #108 on: November 05, 2016, 11:35:38 AM »
Why put "I don't want them to struggle like I did?" on the 100% option?

My parents paid my school in full and I will always be grateful for it. There was always a requirement attached to it though; I needed to maintain honour roll.

If I ever decide to get married and have kids I would do the same. However, I do live in Canada so paying for school isn't the headache it is in the USA.

So I'd pay 100% as long as grades are maintained.

Because most people graduate with significant debt.  See this Canadian story that references the average student debt is $25,000. 

http://www.cbc.ca/news/canada/average-student-debt-difficult-to-pay-off-delays-life-milestones-1.2534974

Ah,  I think the stats are misleading.

Yes, the average student loan debt is approximately $25k for students with debt.  In canada, because quite a few students can not get loans (other than line of credit type loans through the bank, signed by their parents), and because tuition is not too high if you live at home, many students do not have loans.

In BC, in 2014, there were 145k FT canadian students, and only 60,000 Canada Student Loans issued.  So let's imagine about half of the students get loans.  The average CSL is $5k per year, but only for 2 years...   we can guess that the senior years get most the loans, once kids come off of dependent status after age 21.

  Truth is, many students graduate with ZERO loans.

So the average reported in the news not only has the highest borrowers skewing it by at least 25% high, but also does not average the loans across the whole student population, including the zero borrowers.

That's probably all true.  The more I read mainstream stuff the more I think it's all crap.  I just read another story about how it's impossible to retire. 

I plan on doing a lot of research about how to get them through university efficiently....we will all be further ahead. 

BuffaloStache

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Re: What percentage of your children's education will you pay?
« Reply #109 on: November 05, 2016, 12:55:41 PM »
My parents paid for about 50-75% of my undergraduate university education (in the USA), and I think that was a good metric to live by. Unfortunately, my parents never really taught me the importance of personal finance skills (they were solidly in the "work hard and money will never be an issue" camp until recently), and encouraged me to take out loans to pay for the remainder. Even though that ~$28k of debt was painful to pay off (EMERGENCY! My head was on fire!), it really gave me a lot of valuable money lessons that my parents never taught me.

Additionally, I was able to get grants/scholarships to fully cover the cost of my graduate schooling. I firmly believe in the mantra that "A graduate degree isn't worth it unless it's debt free", and even moreso encourage friends to find free ways to go for these degrees (employer paying for it, grants, scholarships, etc.)



sol

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Re: What percentage of your children's education will you pay?
« Reply #110 on: November 05, 2016, 01:26:24 PM »
I firmly believe in the mantra that "A graduate degree isn't worth it unless it's debt free"

I'm not sure a graduate degree is ever worth it, in terms of dollars.  Sure, I make more money with my PhD than I would with my BS, but I also gave up seven extra years of salaried income to get it.

When comparing my lifetime earnings to those of my coworkers with less education, I have to work a looooong time at my higher income before the PhD pays for itself. 


FIRE_at_45

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Re: What percentage of your children's education will you pay?
« Reply #111 on: November 05, 2016, 01:37:08 PM »
I firmly believe in the mantra that "A graduate degree isn't worth it unless it's debt free"

I'm not sure a graduate degree is ever worth it, in terms of dollars.  Sure, I make more money with my PhD than I would with my BS, but I also gave up seven extra years of salaried income to get it.

When comparing my lifetime earnings to those of my coworkers with less education, I have to work a looooong time at my higher income before the PhD pays for itself.

I agree with what you are saying Sol.  I have even considered the costs of getting a trade (2 years) compared to 4 or 5 for an undergraduate degree.  I grew up in Ontario, Canada.  We went to school until we were 18 turning 19 at that time (grade 13).  Then I did a co-operative education undergraduate degree that took 4.5 years to complete.  The remaining semester I worked a low paying job.  I was a full 3 years behind someone with a trade and for about half my career (maybe more) we would be earning the same thing.  I ended up doing the equivalent of a masters while working (paid by company) and that is the best way to advance your education without taking the risk of no money.




Goldielocks

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Re: What percentage of your children's education will you pay?
« Reply #112 on: November 05, 2016, 03:11:32 PM »
Why put "I don't want them to struggle like I did?" on the 100% option?

My parents paid my school in full and I will always be grateful for it. There was always a requirement attached to it though; I needed to maintain honour roll.

If I ever decide to get married and have kids I would do the same. However, I do live in Canada so paying for school isn't the headache it is in the USA.

So I'd pay 100% as long as grades are maintained.

Because most people graduate with significant debt.  See this Canadian story that references the average student debt is $25,000. 

http://www.cbc.ca/news/canada/average-student-debt-difficult-to-pay-off-delays-life-milestones-1.2534974

Ah,  I think the stats are misleading.

Yes, the average student loan debt is approximately $25k for students with debt.  In canada, because quite a few students can not get loans (other than line of credit type loans through the bank, signed by their parents), and because tuition is not too high if you live at home, many students do not have loans.

In BC, in 2014, there were 145k FT canadian students, and only 60,000 Canada Student Loans issued.  So let's imagine about half of the students get loans.  The average CSL is $5k per year, but only for 2 years...   we can guess that the senior years get most the loans, once kids come off of dependent status after age 21.

  Truth is, many students graduate with ZERO loans.

So the average reported in the news not only has the highest borrowers skewing it by at least 25% high, but also does not average the loans across the whole student population, including the zero borrowers.

That's probably all true.  The more I read mainstream stuff the more I think it's all crap.  I just read another story about how it's impossible to retire. 

I plan on doing a lot of research about how to get them through university efficiently....we will all be further ahead.

I'm giving a two night seminar on "Secret Money Tricks for funding Post Secondary Education" in February... in Delta through the school district's continuing education ..  Let me know if you are interested in the deck or attending..

I am still developing the presentation...  focused on defining the amount needed, through savings (RESP) through loans an other revenues.

BuffaloStache

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Re: What percentage of your children's education will you pay?
« Reply #113 on: November 05, 2016, 09:49:20 PM »
I'm not sure a graduate degree is ever worth it, in terms of dollars.  Sure, I make more money with my PhD than I would with my BS, but I also gave up seven extra years of salaried income to get it.

When comparing my lifetime earnings to those of my coworkers with less education, I have to work a looooong time at my higher income before the PhD pays for itself.

Good point Sol. That's why I really encourage people that seem hell-bent on getting an advanced degree to find free ways to go for them. Having an employer pay for part-time schooling while you get a full salary, or obtaining enough grants/scholarships to earn a partial salary while getting it seem to be the best options. Although I agree you'll have to work for a while to make it worthwhile in earned income.

pirate_wench

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Re: What percentage of your children's education will you pay?
« Reply #114 on: November 06, 2016, 05:47:09 PM »
I want to pay 100% but not because I "don't want them to struggle like I did" but because it's tradition in my family. My mother paid for my and my brothers' education, her father paid for her undergrad degree, and I want to do the same for my son. I believe not having student load debt is extremely important and key to my financial success, and I want to pay it forward.