For full-pay families: how much do you ask your DC to pay for?

[Anonymous]

Anonymous wrote:We're financially equipped to pay for all expenses but want our kid to have a little skin in the game for college, like allocating some portion of her summer earnings to contribute to college expenses. Anyone have an approach they like? Set a lump sum amount? DC pays for books or monthly allowance at college out of summer earnings? She is also planning to get an on-campus job at school. TIA

We paid for everything college related. They paid for their spending money.

[Anonymous]

I find it interesting that people think their kids have to have “skin in the game” to succeed in college. So weird to me. We pay for everything.

[Anonymous]

Nothing. We worked hard for a reason. He pays for all of his personal expenses (eating out, ubers, bars, whatnot)

[Anonymous]

Anonymous wrote:Nothing. We worked hard for a reason. He pays for all of his personal expenses (eating out, ubers, bars, whatnot)

This, they know their parents value education and saved for it.

[Anonymous]

We give DS $250 a month to do as he pleases. His school’s food is notoriously awful. Ubers and medical/school expenses we handle.

[Anonymous]

Anonymous wrote:I find it interesting that people think their kids have to have “skin in the game” to succeed in college. So weird to me. We pay for everything.

Right? Their future is their skin in the game. I don't get it. We also pay for everything.

[Anonymous]

Anonymous wrote:I find it interesting that people think their kids have to have “skin in the game” to succeed in college. So weird to me. We pay for everything.

+1

My kids (on their own volition) found part-time jobs while in college, and now are hoping to be able to make a living on their own, now that they just graduated.

[Anonymous]

A lot of people talking about ROTH IRA here.

To understand why, it might be useful to point out that if you had invested the max Roth IRA contribution as a freshman in 1997 ($2000 in 1997, $7500 today) and every year since, you would have ~$750,000 at the age of 48. Or about $2 million by the time they retire.

With social security, this alone is enough for a dignified but not luxurious retirement.

[Anonymous]

We set an upper limit of 75K per year. They looked for schools that offered merit aid and we agreed that anything above the 75K would be on them. They are attending a private R1 university with some merit aid so all is covered. They will be responsible for spending money during the school year.

[Anonymous]

We covered tuition, room and board. Our kids had summer jobs and used that money way to pay for their sororities, going out with friends, and studying abroad.

[Anonymous]

Spending money. Or anything beyond tuition, room and board.

Except:
We will still cover cell phone until they graduate. And car and health insurance.