Anyone else spending $7000 oer month (or more) on tuition from earned income?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What are you smoking OP?! $200k isn't enough for college and grad school! You'll need 2x that and your kids are old!!!! You don't have that much time to save! Get on that, pronto.

Honestly wondering: Are you joking?

Assuming, no FA, no scholarship...

Instate public Us run about 25k/year (tuition, room and board)
Privates run about 60-65k/year (tuition, room and board)

Still going up every year.

- NP

OP here. We still have 5 years before our rising 8th grader will start college. Although college costs will go up between now and 2021, we are pretty sure the investments in the 529 will grow too. So we think we've got enough saved for college with $200,000 per kid.

:/ My 8 yo has the same amount as your 8th grader. I don't think you are doing as well as you think you are.

You really think you need $400,000/kid for college? If that's the case, this country is doomed. Who in the world except the top 2% of people in the United States could afford that? That is crazy.

Based on current projections, that estimate is about right for four years of private college, yes.

Your question partially answers itself though. Only the very top percentage of income earners will be able to afford it, so only they will pay sticker price. The top 1% will effectively be heavily subsidizing scholarship packages for everyone else.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What are you smoking OP?! $200k isn't enough for college and grad school! You'll need 2x that and your kids are old!!!! You don't have that much time to save! Get on that, pronto.

Honestly wondering: Are you joking?

Assuming, no FA, no scholarship...

Instate public Us run about 25k/year (tuition, room and board)
Privates run about 60-65k/year (tuition, room and board)

Still going up every year.

- NP

OP here. We still have 5 years before our rising 8th grader will start college. Although college costs will go up between now and 2021, we are pretty sure the investments in the 529 will grow too. So we think we've got enough saved for college with $200,000 per kid.

:/ My 8 yo has the same amount as your 8th grader. I don't think you are doing as well as you think you are.

You really think you need $400,000/kid for college? If that's the case, this country is doomed. Who in the world except the top 2% of people in the United States could afford that? That is crazy.

Based on current projections, that estimate is about right for four years of private college, yes.

Your question partially answers itself though. Only the very top percentage of income earners will be able to afford it, so only they will pay sticker price. The top 1% will effectively be heavily subsidizing scholarship packages for everyone else.

anyone with full pay - whether you are talking private ES/MS/HS or colleges - you are subsidizing kids getting FA. it's always been that way.

[Anonymous]

Anonymous wrote:Np here. I thought we were well covered for my two kids college with an inheritance I recieved from my father. Met with a financial planner, and honestly it was eye-opening to see what tuitions are for private colleges and even state ones. They've gone up way faster than inflation and continue to rise. That $200k per kid won't go as far as you think it will. I'd recommend checking out some of those college-savings calculators and see where you stand.

From my perspective, it seems a little nutty to spend so much on private elementary and high school, and then not be able to afford private for college.

OP here. We're not spending money for private elementary school -- we are using MCPS for K to 5.

Also, my DH and I are fine with our kids attending good state universities. We are ourselves grads of good state universities, and have been successful. We think that the preparation and education in the early years (grades 6-12) will give them a good foundation to succeed in college. We are OK with private college, but don't see it as essential by any means.

[Anonymous]

No, people are conflating secondary private school aid (free money) with college aid (loans). People who can't afford college don't just get free money. They get loans they have to pay back for years and years, or they get to go to crappier schools.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What are you smoking OP?! $200k isn't enough for college and grad school! You'll need 2x that and your kids are old!!!! You don't have that much time to save! Get on that, pronto.

Honestly wondering: Are you joking?

Assuming, no FA, no scholarship...

Instate public Us run about 25k/year (tuition, room and board)
Privates run about 60-65k/year (tuition, room and board)

Still going up every year.

- NP

OP here. We still have 5 years before our rising 8th grader will start college. Although college costs will go up between now and 2021, we are pretty sure the investments in the 529 will grow too. So we think we've got enough saved for college with $200,000 per kid.

:/ My 8 yo has the same amount as your 8th grader. I don't think you are doing as well as you think you are.

You really think you need $400,000/kid for college? If that's the case, this country is doomed. Who in the world except the top 2% of people in the United States could afford that? That is crazy.

Based on current projections, that estimate is about right for four years of private college, yes.

Your question partially answers itself though. Only the very top percentage of income earners will be able to afford it, so only they will pay sticker price. The top 1% will effectively be heavily subsidizing scholarship packages for everyone else.

That just makes me sad in terms of who will be able to enjoy a college education. Only the most elite families can send their kids to a private college? That doesn't bode well for the work force - or for liberal arts.

[Anonymous]

Anonymous wrote:No, people are conflating secondary private school aid (free money) with college aid (loans). People who can't afford college don't just get free money. They get loans they have to pay back for years and years, or they get to go to crappier schools.

FAid money in college is "free money"

Loan is separate from FAid from the school

[Anonymous]

NP. Are we in here talking about spending $70k a year on private k-12 or not? Then I don't think it is illogical to assume the OP would ALSO like to pay for private college (and grad school) as well. That's where all this is leading up to, right?

[Anonymous]

Anonymous wrote:NP. Are we in here talking about spending $70k a year on private k-12 or not? Then I don't think it is illogical to assume the OP would ALSO like to pay for private college (and grad school) as well. That's where all this is leading up to, right?

OP here. This thread has gone slightly off course because it has become a debate about whether $200,000 per kid in a current 529 will be enough by the time our kids start college in 2021 and 2023. (We think it will be enough by then (in part because it will grow), but others disagree.)

The original question referred to how we're spending $7000/month to pay for grades 6 and 8 right now. I was curious if others are paying that amount out of earned income, or out of investments. I hope others will weigh in. Thank you.

[Anonymous]

Anonymous wrote:NP. Are we in here talking about spending $70k a year on private k-12 or not? Then I don't think it is illogical to assume the OP would ALSO like to pay for private college (and grad school) as well. That's where all this is leading up to, right?

Its not illogical but I pay for private K-12 and would be very happy with my kids going to UMD - no interest in paying for private.

[Anonymous]

OP - We have grandparents paying that amount for private school. Otherwise, I don't think it's worth it at all, at least not for people at our SES (we make about $400k).

[Anonymous]

Anonymous wrote:

Anonymous wrote:NP. Are we in here talking about spending $70k a year on private k-12 or not? Then I don't think it is illogical to assume the OP would ALSO like to pay for private college (and grad school) as well. That's where all this is leading up to, right?

Its not illogical but I pay for private K-12 and would be very happy with my kids going to UMD - no interest in paying for private.

Why do you pay for private K-12?

[Anonymous]

OP here. I really wasn't asking if we can afford it. (I know that if I posted this question in the DCUM Money Forum, people would think we were 100 percent crazy to spend $7000/month on tuition, and would say we cannot afford it.) Instead, I was mainly curious if many other people pay this large sum out of current earned income, as I'm guessing a fair number may pay it out of investments. I figured that would be best done on this Private/Independent School Forum. Thank you.

We spend more than this on tuition, and do it out of earned income/529s funded by earned income. Two in private colleges, two in (very expensive) private schools. It's actually a relief when our kids reach college because that comes out of the money we already saved in the 529 plans.

[Anonymous]

Anonymous wrote:OP - We have grandparents paying that amount for private school. Otherwise, I don't think it's worth it at all, at least not for people at our SES (we make about $400k).

Good God. YOu make 400k and still get grandparents help??

[Anonymous]

OP here. This thread has gone slightly off course because it has become a debate about whether $200,000 per kid in a current 529 will be enough by the time our kids start college in 2021 and 2023. (We think it will be enough by then (in part because it will grow), but others disagree.)

The original question referred to how we're spending $7000/month to pay for grades 6 and 8 right now. I was curious if others are paying that amount out of earned income, or out of investments. I hope others will weigh in. Thank you.

We pay for one kid from earned income, making a third less than you- paying $2500. We will add another tuition in 2017-2018 calendar year....not sure what the plan for that is yet.

[Anonymous]

Anonymous wrote:

Anonymous wrote:OP - We have grandparents paying that amount for private school. Otherwise, I don't think it's worth it at all, at least not for people at our SES (we make about $400k).

Good God. YOu make 400k and still get grandparents help??

They're into it because they're more of the old school types who think that their grandkids are "too good" for public schools. That's basically what it boils down to. So, if they really insist, why fight it?

I'm just saying that we would never in a million years be willing to pay these tuition rates if it were coming out of our own pocket.