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Reply to "What do people ink of the VA prepaid tuition plan?"
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[quote=Anonymous]Current price is 7,675/semester, which means 61,400 for 4 years for only tuition and fees (now between 12-14k/year at UVA and WM). If you assume a 4% return (s&p has averaged 8% over the last 17 years), that would mean they think tuition will be 120k in 17 years. I don't see that happening with wages not moving that much in the past few decade and seemingly unlikely to increase significantly any time soon. I think there would be too much of an outcry if tuition alone was 120k as public college would be ultimately unaffordable for most americans. Plus - in the prepaid fine print if you cash out or go private/OOS you get the LESSER of the payments+return or the public tuition and fee. WM and UVA are great schools and many of the others are very good, but too much can happen in that time. It's a gamble either way, and they pay actuaries that are smarter than me to set the pricing....[/quote]
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