529 Plan Statistics
March 13th, 2008
Question: What is the average parents save for their kids college education?
Many people have 529 plans and have other savings for their kids college.
Any statistics out there on the average parents contribute?
Lets say for a 4 year college education.
Or any statistics on how many kids can go to college without making any student loans?
Or how many parents do not even have $10 to send their kids to college?
Answer: There is no average. Unless the parents have a joint income with AGI well over $100k, they should be MAXing out their retirement account options like 401K’s and Roth IRA’s. People under $100k in income should NOT accumulate college savings. It will hurt their kids chances of getting student aid, as well as hurting their retirement. Saving for kids college is for higher income folks who know their kids can never qualify for financial aid and will likely need a lot of money for private colleges. More ordinary folks can use their Roth IRA contributions, home equity or maybe a 401K loan to help fund their kids college, if all else fails and they need money beyond what the kids can qualify for. Their kids can qualify for student aid if they do not have much savings. Too much savings will kill a good scholarship quicker than anything else.
Daily Vocaloid Rankings #529: 23rd July 2009 (Thursday)
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