Saving for College
No matter how old your students are now, each school year probably has you thinking about how college is getting closer, and your college cost anxiety may be starting to kick in. We have some resources and tips that can relieve some of that anxiety and help you make a plan for Saving for a Brainy Day and financing your students’ post-secondary education!
Student Loan Debt
Have you seen this information about Millennials (Generation Y) and student loan debt? Saving for a brainy day can help reduce the amount of debt a college student has after graduation. To see the full infographic, click on the image below.
College Cost Inflation
If you think college seems a lot more expensive now than when you were college age, you’re right! During the 1997-98 school year, a public four-year college (including tuition, fees and room and board) cost approximately $11,390 in 2017 dollars. For the 2017-2018 school year, that type of college cost approximately $20,770. That’s an increase of almost $10,000 over 20 years! Learn more about college cost inflation.
College Cost Calculator
Speaking of inflation, have you thought about what college is going to cost when your kids graduate from high school in 5, 10 or even 15 years? Check out this calculator from CollegeBoard to get an estimate.
When to Start Saving
We’re sure you’ve heard that it is never too soon to start saving for your child’s college education. But how much should you be saving for a brainy day each month? CollegeBoard’s college savings calculator can estimate it for you! You can also check out this article for some guidance about how much of the cost you should plan on covering from savings.
When and How to Talk to Kids about College Costs
Looking at college cost numbers is overwhelming for adults, much less teens, but some sources say you can start having conversations about college costs and saving for a brainy day as early as middle school. This infographic has some ideas for what points you should cover. For the full-size infographic, click on the image below. For more information about talking about each point, check out this article.
College Savings Tools
There are many different ways you can save for a brainy day, from 529 accounts to college savings accounts to CDs. At Lake City Bank, we offer a CD designed for college savings!