Reply to If your kid doesn't spend their 529, what will you do with that money?

Forum Index » College and University Discussion

Reply to "If your kid doesn't spend their 529, what will you do with that money?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]I’m pretty confident that my DC will go to college, and we won’t qualify for aid.  Given that, we are funding enough to cover 90-100% of in-state tuition and we will come out of pocket for anything other than that.  I’m not at all worried about wasting these dollars.[/quote]

OP here,

I've got enough put away for about 6 years of in-state tuition and room and board for each kids.  I've told my oldest that he has a budget of $X total, and he's found some schools, a couple safeties and a couple matches where the NPCs say he could get the degrees he currently wants debt free.  The ones he likes best would come in at the top of budget, and would probably require him to get a job and earn his own spending money, but that's fine.  That is what this money is intended for.

But now, as he's getting ready to apply, he's realizing that there are programs where his stats will give him huge amounts of automatic merit, and where he would be able graduate with significant savings.  These schools aren't as good a fit in other ways, but they aren't bad schools, just not exactly what he has been saying he wants in terms of size, location, extracurriculars, other subjects he wants to study on the side etc . . .  So, he's asking "What happens to that money if I don't use it?"  It's a good question so I'm trying to sort out how to answer it.  [/quote]

Kid sounds awful TBH. [/quote]

Not really.  Depends what the kids means by "what happens to the money"?

Does the kid want to save on undergrad so they won't have any loans, and use the educational money (I know you cannot officially do that without penalties) for a house downpayment when he is 25? It may not be just to blow money on a sports car.  He could just be financially savvy.

And yes, as a teen, if someone had told me "you have $X for college you can attend school y and pay 25% of X total or School Z and send the entire $X over 4 years.  Afterwards, you get whatever is left to spend for a house/first car/retirement/somethig reasonable" I would have jumped on that and graduated debt free and well established for starting out.

That is very different than "do I get $50K for a brand new car and do I have to start a job right away"

[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics