Kid's College Education (spouse, depression, fighting, retired)

[StealthRabbit]

Originally Posted by FiveLoaves

There's a thread over on an Early Retirement site I frequent. Posters are putting up their thoughts about paying for their Children's College Education. I'm shocked, Shocked I say, ...

If you're not ready and willing to give your Kids the advantage of a College Education.....you are NOT ready to Retire Early.

your perspective ONLY ^^^^

Weird bird here..(I feel kid's that pay 100% of their higher ed are a better contributor to society / college / future employer / and far more prepared for the much more challenging barriers in life...). YMMV

1) I paid ZERO for my kid's higher education (as they had been informed from day one...'be prepared')
2) I feel by them PAYING for it themselves they held themselves and their institutions and instructors to a much higher performance expectation, and walked away with a far superior edu and valuable life learning experience.
3) They stuck with it in their chosen majors (decided by age 15, started college before age 16, compliments of State https://en.wikipedia.org/wiki/Running_Start) FREE FT college INSTEAD of HS.
4) Each had $20k in their Roths by time they exited college @ age 20 (I matched 100% of their earned income since age 12 - age 18) They were GREAT investors by age 18.
5) Each had $80k in home equity at age 18 (They designed and built their own homes during Jr High) with a LOT of guidance / teaching from parents and friends.
6) FAFSA didn't touch a penny of the above assets held by my kids , NONE of it was considered an 'eligible college contribution' (tho all qualified as such)
7) Kid's got 100% College loans (interest deferred until graduation).
8) Paying LATER for costs can be an advantage to kids and parents. Depreciated dollars + earning opportunities. (Each kid made 300%+ on investment growth of 'equivalent funds' during college. (unlawful to 'invest' college loan proceeds))
9) Did not harm the kids... (from my perspective). All graduated with the 'gold cords' and great jobs
10 ) 12+ yrs later... none of the kids has 'rebelled' fallen off course. All are involved in community / giving to others, managing people and money (lots of money of their bosses).

Worse yet

100% of our assets have been designated to charity (since age 39)... the kids get to manage our perpetual gifting, but they will get ZERO $$$ inheritance.

As always... they just need to make their own way through life, HOPEFULLY well equipped to do so (our goal / objective).

We live very cheap... $35 car... $100 / month food / entertainment budget... so... the kids were well prepared for dealing with such a minor financial challenge as college funding. Trivial.


Many other options...
Even Walmart pays / reimburses employees for higher EDU.
My company paid 100% for (5) degrees
Military
Scholarships / Grants / Need based funding
Working Gov / community service jobs to repay college
J-O-B (my kids did 'high risk' summer employment.. ~$30-40k for 6 weeks)

BTW:... I considered my 'kids' 'retired' before I did! when I was age 49.

They have had a GREAT QoL since they were age 0
Ski and golf instructors during HS, Perpetual travel before and after and during college...

[rocafeller05]

^^ OP Im sure you are the type that thinks little Jonny or Mary should get a participation trophy for everything they do too. Give me a break!

Many parents out there cant afford 4 years of college education for their kids. And neither did mine.

[ddm2k]

What about the kids getting a full time job (even an entry level one) at an employer that offers tuition reimbursement? The loan would pay the tuition by the due date, and after the classes were completed with passing grades, the child could pay that year's loan off before payments even began.

You may not have your bachelor's by exactly 22, but it would be paid for, and you'd have 4 years of work experience.

I don't see why more rising freshmen don't try that route.

[Williepaws]

Originally Posted by rocafeller05

^^ OP Im sure you are the type that thinks little Jonny or Mary should get a participation trophy for everything they do too. Give me a break!

Many parents out there cant afford 4 years of college education for their kids. And neither did mine.

But there are alot of parents that can and instead saddle their kids with huge debt on advice from the financial planning industry. And no I dont believe in trophys for everyone but I do believe in taking care of the kids you bring into the world.

[rocafeller05]

Ddm2k you mean actually make Jr. work while in college? Omg the horror!!

I mean how would these kids even survive if they did that?


I guess it’s better for the parents to pay full rides for 3-4 kids and work till they are 70...only to fall over and die a few years later.

[FiveLoaves]

Originally Posted by rocafeller05

Ddm2k you mean actually make Jr. work while in college? Omg the horror!!

I mean how would these kids even survive if they did that?


I guess it’s better for the parents to pay full rides for 3-4 kids and work till they are 70...only to fall over and die a few years later.

^^ OP Im sure you are the type that thinks little Jonny or Mary should get a participation trophy for everything they do too. Give me a break!

Oh, you're sure of that, are you ?? Here's your participation trophy.

I made the small sacrifice, and we all managed to survive. If you're waiting til senior year in high school to instill this "appreciation" of education....that ship has already sailed.

[SportyandMisty]

For some of us, we not only have to fund our own retirement and help our kids get started, but we have to help our own parents.

[blueherons]

Fortunately, my very well off parents paid not only 100% of mine and my siblings education but that of me and my siblings kids.

I think every situation is different but if you have a very bright, responsible kid, you should pay some of their higher education before you retire.

[MadManofBethesda]

Originally Posted by FiveLoaves

Because College Loans have usury Interest Rates and some kids never dig their way out of debt because of it.

What's your definition of a usurious interest rate? My understanding is that government-backed student loans range from about 4.5% to roughly 8% Is that correct? If so, those are far from usurious. I paid 12% interest on a mortgage for years and was thrilled when I was able to refinance it to 9.5%.

I have a hard time thinking of any single-digit interest rate as usurious. (Especially when credit cards charge up to 29.9%.)

[seeriously]

It's a personal thing as in.. I like thin pizza and maybe you like deep dish pizza.

We paid for 5 years of private HS and 4 years of college and I didn't need to bounce it off of anyone. We just did. This said, he's 43 now and makes really crazy good money but he currently doesn't speak to us. The big baby blames us for his poor choices, a la his own marriage choices. Would I do it again? Yuh, probably. I'm wired that way. But I see a lot of kids who struggle through and treat their parents a hell of a lot better. Just saying..