Anyone considering universities abroad?

[Anonymous]

Cross-posting because no response in money and finances forum

We are wondering if other families are considering universities abroad, and how this affects your 529 contributions. DH is from South America, but also has European citizenship (I am American), and DD also has U.S and European passports, as well as for her dad's home country. DD is 12, but for a number of reasons, we have been unable to make serious contributions to a 529 plan up to now, and we probably would not qualify for financial aid so that's not an option. Because European and South American schools are much cheaper, and because DH prefers that daughter go to university abroad to have a more international background, we are thinking of not amping up our 529 contributions even though we now can (and several of the schools we're looking at in Europe/SA) are not on the 529 international list.

for those in similar situations....

what are some potential downsides we should be aware of in planning to send DD to europe for university (apart from flight expenses and not having her close)?
in my field, a good degree from europe (sciences po, insead, oxford etc) has as much respect as a johns hopkins or similar school. but if DD goes to an average european school (like university of milan), will this be a strike against her?
will we be kicking ourselves if DD at 17 decides she only wants to go to an american school, and we have no 529 savings for this? Will we have to tap into our retirement savings?
Where should we be saving money for schools if not in a 529?

would love to hear from others who are also thinking about this, and how you are planning.

[Anonymous]

No, not considering, don't see any reasons to do it, not a single compelling one. We don't do 529.

[Anonymous]

Many foreign schools are eligible. Here's a list that the federal Department of Education has deemed eligible:

http://www.savingforcollege.com/eligible_institutions/index.php?federal_school_code=&school=&state=FC&year=2017-2018&order_by=school&go=Submit&mode=search

[Anonymous]

Considering Canada, if that counts as "abroad"

[Anonymous]

Yes, considering uk.

[Anonymous]

Keep in mind that tuition status is determined not just by nationality, but residency as well.

[Anonymous]

My neighbor is American and her husband is also from south America but because his parents were from Spain he has the EU passport. Their oldest son was sent to study to a university in Madrid. It is free from what I understand, but they still need to rent an apartment for him which is pretty pricey plus the food. He will come back to the states after he finishes his undergrad so he can do his masters here.

[Anonymous]

Frequently you need to be ordinarily resident in the EU for 3 of the 5 years prior to starting University to benefit from best tuition. Not always but do not assume passport will get you best tuition.

[Anonymous]

Anonymous wrote:Considering Canada, if that counts as "abroad"

Not many of the Canadian universities are on the 520 list. How do you save money for Canadian universities if not in a 529?

[Anonymous]

Anonymous wrote:

Anonymous wrote:Considering Canada, if that counts as "abroad"

Not many of the Canadian universities are on the 520 list. How do you save money for Canadian universities if not in a 529?

It does not matter. The 529 will allow you to take the money out for education and if there is a query, you pay the "penalty" and use it anyway. Also we are not putting ALL our savings into 529 only part of them.

[Anonymous]

Considering Germany

[Anonymous]

Anonymous wrote:Cross-posting because no response in money and finances forum

We are wondering if other families are considering universities abroad, and how this affects your 529 contributions. DH is from South America, but also has European citizenship (I am American), and DD also has U.S and European passports, as well as for her dad's home country. DD is 12, but for a number of reasons, we have been unable to make serious contributions to a 529 plan up to now, and we probably would not qualify for financial aid so that's not an option. Because European and South American schools are much cheaper, and because DH prefers that daughter go to university abroad to have a more international background, we are thinking of not amping up our 529 contributions even though we now can (and several of the schools we're looking at in Europe/SA) are not on the 529 international list.

for those in similar situations....

what are some potential downsides we should be aware of in planning to send DD to europe for university (apart from flight expenses and not having her close)?
in my field, a good degree from europe (sciences po, insead, oxford etc) has as much respect as a johns hopkins or similar school. but if DD goes to an average european school (like university of milan), will this be a strike against her?
will we be kicking ourselves if DD at 17 decides she only wants to go to an american school, and we have no 529 savings for this? Will we have to tap into our retirement savings?
Where should we be saving money for schools if not in a 529?

would love to hear from others who are also thinking about this, and how you are planning.

Canadian and European schools are top of DD's list, and that's fine with us as costs are cheaper and we can apply 529 funds.

What's the question again?

[Anonymous]

The downsides: kids don't always do what you expect and they don't always turn out to be who you expect.

We are thinking of sending out kid aboard. We read the websites and made direct inquiries at all schools we were considering. We got answers specific to my son's situation.

The schools you list in the US are fairly elite. Life doesn't always work out like that, so don't put all your eggs in that basket.

[Anonymous]

OP here. Thanks for the responses. I am also wondering why more parents, even those without passports or family in other countries, do not consider university abroad given the astronomical costs of American universities, even factoring in extra flight costs for foreign schools. Is it because people are just more comfortable having kids close? Because US universities are better (not saying that is true)?

[Anonymous]

Anonymous wrote:OP here. Thanks for the responses. I am also wondering why more parents, even those without passports or family in other countries, do not consider university abroad given the astronomical costs of American universities, even factoring in extra flight costs for foreign schools. Is it because people are just more comfortable having kids close? Because US universities are better (not saying that is true)?

Dear OP - the British system of higher education is very different than our own. By the time a young adult settles in at Oxbridge, they have had more years of education than a high-school graduate in the U.S. It is assumed that you are well-educated and can write very well. That's why the coursework is mostly tutorial or socratic discussion with the professor and reading. I know some Rhodes Scholars who said they just couldn't compete and were ostracized (Americans are usually not well-received). Read extensively on the differences in systems. I liken it to a Masters program here, but 3 years. When reading, realize that "public school" in England means private. The only person I know who went directly from a U.S. high school to Oxford had perfect grades, scores and 16 AP courses under their belt. It's very difficult to get in to Oxbridge, less so with St. Andrews.