Anonymous wrote:

Anonymous wrote:OP, what college calculator are you using? I've looked into this and also have two kids, one in 4th grade and one in 6th grade. I decided that $1000/month was plenty and it would cover more than 60%. I don't understand what assumptions you are using to get to your numbers but you must be assuming private college no financial aid.

I should clarify that I mean $1000 per month per kid.

Yes, those are my assumptions.

Anonymous wrote:OP, what college calculator are you using? I've looked into this and also have two kids, one in 4th grade and one in 6th grade. I decided that $1000/month was plenty and it would cover more than 60%. I don't understand what assumptions you are using to get to your numbers but you must be assuming private college no financial aid.

I should clarify that I mean $1000 per month per kid.

OP, what college calculator are you using? I've looked into this and also have two kids, one in 4th grade and one in 6th grade. I decided that $1000/month was plenty and it would cover more than 60%. I don't understand what assumptions you are using to get to your numbers but you must be assuming private college no financial aid.

Anonymous wrote:

Anonymous wrote:another vote for do neither. Investing too much in a 529 makes me nervous -- what if your kid gets a scholarship somewhere? You can always get a home equity loan to help pay for college. I'd probably invest the money in a vanguard fund or increase my retirement savings.

+1 I wouldn't put all of college savings in a 529

Curious what is the max ppl are putting in 529s before switching to other investment vehicles?

Thanks for the replies. Yes, I don't want everything in 529s though I think what we are doing now is ok since we have two kids who will go to college (and we aren't saving enough as it is).

Probably right that paying down the mortgage doesn't make sense. We are contributing max to our TSPs plus we will get pensions.

Any other ideas of how to save more for college outside of the 529s?

Anonymous wrote:another vote for do neither. Investing too much in a 529 makes me nervous -- what if your kid gets a scholarship somewhere? You can always get a home equity loan to help pay for college. I'd probably invest the money in a vanguard fund or increase my retirement savings.

+1 I wouldn't put all of college savings in a 529

another vote for do neither. Investing too much in a 529 makes me nervous -- what if your kid gets a scholarship somewhere? You can always get a home equity loan to help pay for college. I'd probably invest the money in a vanguard fund or increase my retirement savings.

Anonymous wrote:

Anonymous wrote:Go to ric edelman.com and Dave Ramsay.com also. Do a lot of research. The tax advantages to a mortgage are something to consider.

If your mortgage is below 5%, which I hope almost everyone is, the mortgage advantages get watered down, and they get phased out once Obama believes you are rich (north of $255K or so)

Can we keep this dumb stuff in the political forum please?

Retirement accounts, that's where I would funnel the extra money. One can borrow for college but can't borrow for retirement.

I wouldn't pay down a 15 year mortgage. If you look at the amortization schedule, your regular payments already include a chunk of principle, unlike a 30-year at this stage.

Put your extra cash in a regular low cost index fund or something like that.

Anonymous wrote:Go to ric edelman.com and Dave Ramsay.com also. Do a lot of research. The tax advantages to a mortgage are something to consider.

If your mortgage is below 5%, which I hope almost everyone is, the mortgage advantages get watered down, and they get phased out once Obama believes you are rich (north of $255K or so)

Go to ric edelman.com and Dave Ramsay.com also. Do a lot of research. The tax advantages to a mortgage are something to consider.

Anonymous wrote:Why are those your only two options? You could invest cash separately outside of the 529. What is your mortgage rate?

No, they aren't the only two options. But it seems that paying the mortgage is safer than putting more into stocks, etc. that carry risks. I mean, if we didn't have a mortgage by the time our second started college we would have a lot more cash per month.

Why are those your only two options? You could invest cash separately outside of the 529. What is your mortgage rate?

We are currently investing 1,000 per month per child (2). The kids are in 6th grade and 4th grade and we have about 40k each in 529s. I just did a college calculator and it said that if we want to have 60% saved by the time that they start college, we would need to save over 1,800 per child per month. And we would still have to pay 40% out of pocket as we go.

I am nervous about investing more in the 529s each month (okay with keeping up the 2,000 per month). I am wondering if it would make more sense to pay down our mortgage. We have 14 years left on a 15 year. It's about 400k.