Starting at what HHI or net worth would you feel comfortable paying $32k private school tuition?

[Anonymous]

Anonymous wrote:We pay about this, plus a 4k mortgage, and it’s ok- but there’s not really room for extras after taking care of retirement savings, emergency funds, etc. We do a $3kish vacation every other year, never more than one car payment at a time, restaurant meals once a year (but we make it a super nice one), plus a tight rein on frivolous-type “lol Target is the $100 store” spending.

I really don’t understand people like you. So not worth it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Pp here. That being said, we will probably be able to cash flow about that amount for college if we need to on 250k. It all depends on your priorities! Our housing costs and other expenses are low.

Check out the price of colleges right now. If you have kids in grade school, it's going up from there. Don't count on cash flowing college on a 250K income.

I’m amazed at the people not thinking about the future and the rapid changes that are happening regarding their money.

It’s clear that many don’t think about inflation nor care. Also, no one is mentioning that decentralized finance is about to disrupt how we manage, think, and use money. So many people on forum still live likes it 2000z

[Anonymous]

Anonymous wrote:

Anonymous wrote:We pay about this, plus a 4k mortgage, and it’s ok- but there’s not really room for extras after taking care of retirement savings, emergency funds, etc. We do a $3kish vacation every other year, never more than one car payment at a time, restaurant meals once a year (but we make it a super nice one), plus a tight rein on frivolous-type “lol Target is the $100 store” spending.

I really don’t understand people like you. So not worth it.

That’s okay. Lots of people have difficulty with empathy. It doesn’t make you a bad person, just different. There’s plenty of resources available online or in your local library and I’m sure, one day, with a bit of hard work and a wee pinch of luck, you’ll be able to over come this sad deficit. Don’t let it get you down.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We pay about this, plus a 4k mortgage, and it’s ok- but there’s not really room for extras after taking care of retirement savings, emergency funds, etc. We do a $3kish vacation every other year, never more than one car payment at a time, restaurant meals once a year (but we make it a super nice one), plus a tight rein on frivolous-type “lol Target is the $100 store” spending.

I really don’t understand people like you. So not worth it.

That’s okay. Lots of people have difficulty with empathy. It doesn’t make you a bad person, just different. There’s plenty of resources available online or in your local library and I’m sure, one day, with a bit of hard work and a wee pinch of luck, you’ll be able to over come this sad deficit. Don’t let it get you down.

We have a $2K mortgage. I don't have empathy for a $4K mortgage.

[Anonymous]

Oh, I’m very aware of inflation and decentralized currency. I’m also aware of the disruption of higher education in the next 20 years. If inflation goes sky high or there is a huge failure with the world banking system, we all have more problems than cash flowing college expenses, lol.

We’re the 250k hhi. We will be able to cash flow college if it exists the way it does now. Will it be a full ride at a private school? Hell no. It very well may be 2 years of community college then 2 years of public in state. But that’s ok. We are setting the expectations now. We also live well below our means. God willing and the creek don’t rise, I sure as shit expect to find an extra 3-4.5k per month for college when our other monthly expenses are only 7k.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Sounds like you live over your means. We make $150K or so and we could comfortably do it. You can very easily do it but may need to reconsider your housing options.

OP here. I don't think that you can afford $32k private school on a $150k gross HHI.

I don't want to have to commute one hour to get to the private school, which is close to my office. So for this reason we would like to live closer by, hence the more expensive house.

I KNOW we can as we've done it for a few years as we have a child with SN and who needed therapies. You don't need to move closer or get a more expensive house, you choose to want it. Need vs. want. We live in a very small, cheapest house in the neighborhood at the time we could find and have aggressively paid the mortgage so in a few years it will be paid off. So, in two years it will be paid off (but we could do it now) and we drive older car/paid off car. Its how you spend/manage your money. Your priority is a house and mortgage so no you cannot but you could if you wanted to.

+1

We are 142k into private school.

During that time, we made less than most you probably.

Our cars and house would not impress you.

We like to spend money on trips to Europe and private school and save a lot for retirement. It’s totally possible on a low salary IF you manage your money’s well. If you have to drive a Tesla and use a Longchamp bag, you will have to earn more.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Sounds like you live over your means. We make $150K or so and we could comfortably do it. You can very easily do it but may need to reconsider your housing options.

OP here. I don't think that you can afford $32k private school on a $150k gross HHI.

I don't want to have to commute one hour to get to the private school, which is close to my office. So for this reason we would like to live closer by, hence the more expensive house.

I KNOW we can as we've done it for a few years as we have a child with SN and who needed therapies. You don't need to move closer or get a more expensive house, you choose to want it. Need vs. want. We live in a very small, cheapest house in the neighborhood at the time we could find and have aggressively paid the mortgage so in a few years it will be paid off. So, in two years it will be paid off (but we could do it now) and we drive older car/paid off car. Its how you spend/manage your money. Your priority is a house and mortgage so no you cannot but you could if you wanted to.

+1

We are 142k into private school.

During that time, we made less than most you probably.

Our cars and house would not impress you.

We like to spend money on trips to Europe and private school and save a lot for retirement. It’s totally possible on a low salary IF you manage your money’s well. If you have to drive a Tesla and use a Longchamp bag, you will have to earn more.

Sorry for the typos. Mobile phone.

[Anonymous]

At $230k and 2 kids, private was not possible from cash flow. Mortgage $3,600 - paid off in 5 years. At $320k, one now in college and that covered from 529 savings over 18 years, covering private for DC #2 with cash and have plenty leftover.

[Anonymous]

Anonymous wrote:At $230k and 2 kids, private was not possible from cash flow. Mortgage $3,600 - paid off in 5 years. At $320k, one now in college and that covered from 529 savings over 18 years, covering private for DC #2 with cash and have plenty leftover.

Your mortgage is very high. Smaller mortgage and it’s easy.

[Anonymous]

OP, I'd say $500k.

[Anonymous]

Anonymous wrote:Hi. I am not sure if we can afford private school tuition of $32k for our only child's dream school (6th grade). Our household income is $300k, but our mortgage payments will be quite high once we purchase a home in the expensive area where the school is located. Current investments: $1m. A part of these investments will be liquidated for the down payment.

Starting at what HHI/NW would you feel comfortable spending $32k per year on private school? Considering that she is still in middle school, we'd be looking at quite a few years.

Thanks.

Is this the 6th graders dream school, or yours? Special needs absolutely would pay for it as long as we still had minimum needs met. Dream school...6th grade...my 6th grader doesn’t even know what’s at the neighboring district schools let alone a dream school.

[Anonymous]

Anonymous wrote:Oh, I’m very aware of inflation and decentralized currency. I’m also aware of the disruption of higher education in the next 20 years. If inflation goes sky high or there is a huge failure with the world banking system, we all have more problems than cash flowing college expenses, lol.

We’re the 250k hhi. We will be able to cash flow college if it exists the way it does now. Will it be a full ride at a private school? Hell no. It very well may be 2 years of community college then 2 years of public in state. But that’s ok. We are setting the expectations now. We also live well below our means. God willing and the creek don’t rise, I sure as shit expect to find an extra 3-4.5k per month for college when our other monthly expenses are only 7k.

So you’re paying for private and you might only save enough to send them to CC to start? No way. If I were religious or had a SN child, I would consider private. Otherwise, my kids will appreciate no college loans, good vacations, living near their school friends, and not feeling poor compared to other private peers when we are nowhere close to poor.

[Anonymous]

I don't think I'd ever be comfortable paying $32K for a private school.

$32K a year gets you an extra $650,000 on your mortgage. Assuming you can afford a $600,000 house (which I hope you could if you're considering spending $32K on private school) there's nowhere in the area you couldn't get a $1.25 million house with great public schools.

And if you can already afford a $1.25 million house, an extra $32K goes a long way for retirement, family vacations, college savings, and other things that I personally think are a much better use of money than private school.

[Anonymous]

We make roughly 250k and send two kids to private. Tuition is way more than I’d like to be spending but our local schools aren’t great. Our mortgage isn’t huge, we drive two 10+ year old cars that are paid off, and have no other debts, so while I’d love to be spending the $60k on other things, we feel like it’s worth it for our kids education.

[Anonymous]

HHI > $1M and $7M net worth.

We have one in a private university and another in an affordable Parochial. We will move her for high school to a $30K-40K tuition school in 2 years. Absolutely worth it to avoid the disaster this pandemic caused. My kids both had in person all year. I imagine they are significantly advantaged academically.