Thursday, June 11, 2009

"What to Expect before You're Expecting"

Here's an interesting portion of an article from Yahoo! Finance today:


"Then there’s planning for the future -- specifically college savings. “If they want to fund a college education for their kids, the numbers are sobering,” says Farrell. “If you consider a basic, in-state tuition of say $15,000 a year, with education inflation running at a conservative assumption of 5 percent, and your investments returning 7 percent over 18 years, you would need to save about $300 per month per child.” Parents can open a 529 college savings plan in one of their names before a child is born and then simply switch the beneficiary. Check out your state plan first, which may offer a tax deduction."

Doesn't $300 a month sound like a lot?

4 comments:

christy said...

Yes. Yes it does.

Mike and Becka said...

crap.

Doreen T. said...

Whether it's $300/month or whatever amount you put aside for your kids' education, it will be the best investment you will ever make. (Look what it did for you and Erik!!) Start saving today....

Stacy said...

Yikes. So 50 cents a week isn't gonig to cut it?