Appropriate Allowance for Freshman in College

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Nothing. I saved every dime either of them got for holidays/birthdays/baptism/etc. They added to it with summer jobs. Each one had/has upwards of $25k. If they spend all of it, that’s over $600 a month per school month if they add nothing else to it for 4 years plus they still get $ from various relatives for birthdays and Christmas.

My parents did the same thing and I was told from an early age that it was for everything tuition, room, and board wouldn’t cover…so school books, food out, movies, beer, etc. I left for college with $15k and graduated with $12k. I was able to buy my first car (used) with that which I needed for grad school and put down security and first month’s rent on my apartment.

So, the answer isn’t “nothing,” it’s $25,000. If we had saved every dime my kid had ever received as a gift, plus summer job $$, there’s no way it would be close to $25k. You have a generous family. Good for you.

Sure, my family is generous but I don’t think overly so. They benefitted greatly from several years of good returns since I invested their money for them. Even just the $25/kid/holiday and birthday from birth to 18 from 2 aunts, an uncle, and 2 godparents was $4500 alone, they worked 3 full summers, and had odd jobs babysitting and such before that. Conservatively I’d say each kid banked $12k from jobs, then the birthday and holiday money gets you to nearly $17k. Then returns and one off gifts for baptism, first communion, high school graduation, etc. It added up.

You're still clueless. "Even just" cash gifts from at least 5 people for every birthday and event from birth? You do realize that many families don't give cash gifts at all?

And either you gave your kids an allowance or you paid for everything because they spent nothing from their savings before they went to college?

The money still had to come from somewhere. You just changed the definition and called it "their" money.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What do your kids do in the summers prior to going to college? My kid easily made $4K last summer as a 16 yr old. He saved around half of that. He will probably make the same this summer and next so by the time he starts college, he will have $6K or more saved. I'm not giving him an allowance. He is not 6 yrs old unable to make his own money. I had to use my summer earnings to pay for my books and as my fun money and he will do the same.

What exactly did he do in 8 weeks to make $4,000? 🤨

np. why so incredulous? my kid, incoming HS senior, is working part time (about 25-30 hours/week) as an entry level crew member a national fast casual chain (think chipotle etc.) this summer, so not exactly some high end place with tips, an amazing hourly wage, or a lot of hours, but he'll make probably somewhere around $4k by the end of the summer. $16 an hour x 27 hours per week x 10 weeks of summer...$4320.

math. it's a beautiful thing.

No withholding and FICA?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What do your kids do in the summers prior to going to college? My kid easily made $4K last summer as a 16 yr old. He saved around half of that. He will probably make the same this summer and next so by the time he starts college, he will have $6K or more saved. I'm not giving him an allowance. He is not 6 yrs old unable to make his own money. I had to use my summer earnings to pay for my books and as my fun money and he will do the same.

What exactly did he do in 8 weeks to make $4,000? 🤨

He worked part-time at the pool cafe at the country club down the street. He could’ve made a lot more than that if he worked FT. Those jobs went to the college kids. Also, he worked from Memorial Day to Labor Day so it was more than 8 weeks. Most pools are open then.

Most schools are back in session in early August now. A lot of kids are lucky if they can get in 8 weeks, and that assumes zero family travel.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:My kids saved their money from summer jobs to use for play money and school supplies during the year. That was the expectation. We gave them a little bit here and there if needed but the majority of their fun money was money they earned themselves. No allowance

Same with ours and what was great was that they used their own money wisely. If you send your kid $500 a month they are going to party and piss away your money. Then they graduate and hope that the $6000/year subsidy will continue.

NP here. I got 1k to cover rent for off campus housing, utilities, food, and all other expenses. My parents definitely screwed up since I have a terminal degree and a solid career. They screwed up so much that I learned to budget and save. Totally sucked. I will do the same for my kids.

I'll say it again -- if my kid earns a college degree and can't get a job that allows them to spend $500 a month after paying their rent, there's definitely a much bigger problem. And it won't be because my kid got an allowance in college.

Besides -- almost every one of these "they have to earn it all themselves" posts is full of caveats -- "we gave them a little bit here and there," "they buy toiletries, etc from my Amazon account," "I send them with a stock of snacks," "I buy all their clothes," etc etc. These parents are subsidizing the lives of these students, they're just not doing it in a set monthly amount. How is that better? I'd rather give my kid a set amount of money and let him figure out how much things like clothes, toiletries and snacks really cost and learn to budget and make choices.

[Anonymous]

Anonymous wrote:Depends. How much beer and weed do you want to buy for them?

Pretty much. Luckily for OP, prices for weed are much cheaper in many states with so many having legalized, so her dollar will go further.

[Anonymous]

2k/month before rush dues

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We never gave our kids allowances when they were in college. That’s why they had summer jobs! They graduated debt free thanks to us. We didn’t subsidize them upon graduation either. They got jobs and made their own way and they are doing very well.

So, either your kids made enough money to cover college costs, in which case your example is extremely out of date and not relevant, or you paid for your kids' tuition and board, in which case you certainly can't say they "made their own way."

Either way, your info is dated or irrelevant.

To be clear, we paid tuition, room, board and books which allowed them to graduate debt free. No allowance in college or any subsidy after college which is when they made their own way.

This is our plan. We've made it clear we're paying for school and room & board (including a meal plan (and help with things like clothes/shoes), but the kids have to get jobs in order to have spending money. I worked in college for spending money (in addition to having to take out student loans).

[Anonymous]

We thought we will be full pay @ a private college (350k HHI), but kid is going on full tuition on merit in in-state flagship. All in all, it’s gonna cost us a few thousand a year for incidentals and meals. What allowance we will give our kid? I guess up to 1K will be the limit.

What will we pay for?
- new car, insurance, gas, maintainence
- clothes, gear
- tutoring or counseling help
- vacations and trips abroad
- meals, supplies
- socializing, entertainment, transportation
- access to Amazon, Costco, Uber, Starbucks, PayPal, Kohls, Macys accounts.
- on our medical insurance, electronic subscriptions, data plan, Loyalty programs etc

There are a few reasons for why we are funding him in this manner…
- kid is responsible, STEM nerd, bright, frugal and driven
- family culture is supportive, close knit and functional so the kid is similar.
- friends are also similar and while they seek out new experiences these are responsible kids
- we are not incurring large college expense thanks to the hard work this kid put in and earned merit aid
- kid does not have any destructive habits and is careful in who he hangs out with. He has a tribe and they are really good kids with bright future.
- we can afford a lot more than what we are giving this kid.

I am sure that not every kid is like this, but there are many kids who make good decisions and do not have angst. If parents can afford to give them extras, why not? We are not parents who have bribed colleges to take our kids. They have gotten in through their own hard work and they are intelligent enough to understand what is at stake in their college life. We are here to support them and within reason we are willing to ease their way through material support.

Yes, they are being rewarded primarily for theirgood choices, good goals and good character…AND because we can afford to do so.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What do your kids do in the summers prior to going to college? My kid easily made $4K last summer as a 16 yr old. He saved around half of that. He will probably make the same this summer and next so by the time he starts college, he will have $6K or more saved. I'm not giving him an allowance. He is not 6 yrs old unable to make his own money. I had to use my summer earnings to pay for my books and as my fun money and he will do the same.

What exactly did he do in 8 weeks to make $4,000? 🤨

NP - my nephew caddied at a high end club last summer and made a lot more than that. He was making $800-$1000 a week. Crazy money.

My kids have real internships that help them get real jobs one day. My oldest just finished up one with chuck Schumers office. Definitely didn’t make money, but had a great experience.

I’ll continue to give my kids spending money so they can focus on school and securing good internships. My oldest works at McKinsey and definitely wouldn’t have loaded her 6 figure job one year out of college being the beer girl at a golf course

[Anonymous]

I'm probably more modest income than some in this thread, and ds was the first in immediate family to go to 4 year college.

So, he worked summers and that money went towards tuition. During school, he had an on campus job and I sent $100/mo and my parents sent $50 (this was a decade ago). I didn't want him to work too many hours the first year as he got used to college so the limited hours of the campus job was good.

After freshman year, he did work more (in things related to his field) so I didn't send $ but still paid for occasional things (his asthma meds, cell phone since he was on my plan, winter coat since it was really cold there, gas money to drive home for holidays). My parents still sent the $50 mo though which was so sweet!

He was at a private school though and had some stories about the spending of some of the kids, like the sons of Saudi princes and tech millionaires!

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What do your kids do in the summers prior to going to college? My kid easily made $4K last summer as a 16 yr old. He saved around half of that. He will probably make the same this summer and next so by the time he starts college, he will have $6K or more saved. I'm not giving him an allowance. He is not 6 yrs old unable to make his own money. I had to use my summer earnings to pay for my books and as my fun money and he will do the same.

What exactly did he do in 8 weeks to make $4,000? 🤨

He worked part-time at the pool cafe at the country club down the street. He could’ve made a lot more than that if he worked FT. Those jobs went to the college kids. Also, he worked from Memorial Day to Labor Day so it was more than 8 weeks. Most pools are open then.

Most schools are back in session in early August now. A lot of kids are lucky if they can get in 8 weeks, and that assumes zero family travel.

Oh no, no family travel? You sound like a diva. I feel sorry for your kids. Most kids would be embarrassed that their parents give them an allowance in college when they are completely capable of earning money themselves.

[Anonymous]

Allowance? Allowances are for little kids who probably have no other way to make money because they are too young. Most college students have a few summers when they can work before they go to college so they don’t need an allowance. I’m paying for tuition, room and board as well as other things I would normally pay for like shampoo, etc. My kid will be helping out by paying for his books and supplies as well as any entertainment and extra food. He probably has at least $5,000 in savings from his summer jobs so he will be good to go by the time he heads off to school.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:My kids saved their money from summer jobs to use for play money and school supplies during the year. That was the expectation. We gave them a little bit here and there if needed but the majority of their fun money was money they earned themselves. No allowance

Same with ours and what was great was that they used their own money wisely. If you send your kid $500 a month they are going to party and piss away your money. Then they graduate and hope that the $6000/year subsidy will continue.

NP here. I got 1k to cover rent for off campus housing, utilities, food, and all other expenses. My parents definitely screwed up since I have a terminal degree and a solid career. They screwed up so much that I learned to budget and save. Totally sucked. I will do the same for my kids.

I'll say it again -- if my kid earns a college degree and can't get a job that allows them to spend $500 a month after paying their rent, there's definitely a much bigger problem. And it won't be because my kid got an allowance in college.

Besides -- almost every one of these "they have to earn it all themselves" posts is full of caveats -- "we gave them a little bit here and there," "they buy toiletries, etc from my Amazon account," "I send them with a stock of snacks," "I buy all their clothes," etc etc. These parents are subsidizing the lives of these students, they're just not doing it in a set monthly amount. How is that better? I'd rather give my kid a set amount of money and let him figure out how much things like clothes, toiletries and snacks really cost and learn to budget and make choices.

Pp here. Your last sentence proved my point and tells you that you don't get budgeting:

Rent 350
Utilities you set up yourself 150
Groceries 200
Spending: 250 (clothes, toiletries, entertainment)
Savings: 50

Where is the spoiled kid here? This was ages ago but I went to an affordable school with cheaper off campus housing. I learned how to set up my own utilities and interact with a landlord. It was thr nest gift. So you all can crow about how you will put your kids in dorms with their full meal plan but they are just being coddled since they don't have to plan much.i always had money at the end of the month, so really learned to budget and save.

[Anonymous]

Anonymous wrote:My kids have real internships that help them get real jobs one day. My oldest just finished up one with chuck Schumers office. Definitely didn’t make money, but had a great experience.

I’ll continue to give my kids spending money so they can focus on school and securing good internships. My oldest works at McKinsey and definitely wouldn’t have loaded her 6 figure job one year out of college being the beer girl at a golf course

OP here - I agree with this. Allowance will be theirs to manage everything outside of tuition, housing, and books (paid by parents). They’re “required” to intern over the summer or work at jobs that will help them when they’re ready to enter the workforce.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:My kids saved their money from summer jobs to use for play money and school supplies during the year. That was the expectation. We gave them a little bit here and there if needed but the majority of their fun money was money they earned themselves. No allowance

Same with ours and what was great was that they used their own money wisely. If you send your kid $500 a month they are going to party and piss away your money. Then they graduate and hope that the $6000/year subsidy will continue.

NP here. I got 1k to cover rent for off campus housing, utilities, food, and all other expenses. My parents definitely screwed up since I have a terminal degree and a solid career. They screwed up so much that I learned to budget and save. Totally sucked. I will do the same for my kids.

I'll say it again -- if my kid earns a college degree and can't get a job that allows them to spend $500 a month after paying their rent, there's definitely a much bigger problem. And it won't be because my kid got an allowance in college.

Besides -- almost every one of these "they have to earn it all themselves" posts is full of caveats -- "we gave them a little bit here and there," "they buy toiletries, etc from my Amazon account," "I send them with a stock of snacks," "I buy all their clothes," etc etc. These parents are subsidizing the lives of these students, they're just not doing it in a set monthly amount. How is that better? I'd rather give my kid a set amount of money and let him figure out how much things like clothes, toiletries and snacks really cost and learn to budget and make choices.

Pp here. Your last sentence proved my point and tells you that you don't get budgeting:

Rent 350
Utilities you set up yourself 150
Groceries 200
Spending: 250 (clothes, toiletries, entertainment)
Savings: 50

Where is the spoiled kid here? This was ages ago but I went to an affordable school with cheaper off campus housing. I learned how to set up my own utilities and interact with a landlord. It was thr nest gift. So you all can crow about how you will put your kids in dorms with their full meal plan but they are just being coddled since they don't have to plan much.i always had money at the end of the month, so really learned to budget and save.

DP here. Many schools require on campus dorms and a meal plan for freshmen if they are not living at home with parents. This is why this discussion is targeted at freshmen. None of this precludes the kid from developing their own financial management skills. Using that as an excuse to not provide kids with an allowance is irrational.