OP - why are you asking for advice, you clearly don’t want it. Is it a humblebrag and you do not like that more people are not impressed with you?

You have your life figured out the way you want it. You are happy living on 100K/year. You have a housing you are happy with at a reasonable price, etc, etc.

You seem bound and determined to convince people that you can afford to spend 25 percent of your liquid net worth on college for your kids but only if they get into An Ivy and you can understand the value of it. Bully for you.

We cannot possibly answer that question for you as it is personal and a function of your values and anytime someone throws something out that is different that what you already know you get defensive.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So I guess you plan to work until Both of you are Medicare eligible (65 currently)? Because if not, you could be paying $15K/year/person once you hit 55 up until 65 (and it increases as you age). I doubt your $100K per year includes $30K in medical (just premiums...for that you still have a high deductible).

And no, most people in the DCUMland do NOT have a $1K mortgage and live on $100K comfortably when they have a NW over $4M. If you truly do, awesome. But I'd question why you didn't already save enough for college along the way, if you truly live on much less than you make?

I am curious how this person is living on $100K a year...that seems truly impossible in this area. They pay $20K a year in taxes and $12K a year in mortgage payments, so that leaves $68K for expenses. There is no way they are only spending that for a family of four.

Well I think their "100K" is after taxes, but yes after mortgage they have $88K left. For insurance, property taxes, healthcare, vehicles (insurance, gas, maintenance), utilities, food, travel, etc.
And nobody has a $1K mortgage in the DC area without a massive downpayment.

Well that’s not true. Many people own homes worth large amounts without enormous down payments. It’s bizarre that there are so many posts from people who can’t comprehend lives and expenses that are not the same as their own.

Let me share some actual numbers. My original down payment was 5 percent of the purchase price. That was less than $15k. Yes Im sure that has blown your mind. People have different circumstances.

If our networth goes down by hundreds of thousands of dollars, it takes us back to where we were a few months ago. I think I can handle being as rich as I was last November, for example rather than today. It wouldn’t even register as a problem. We have accounts with 1000 percent gains. We could lose a substantial amount or spend hundreds of thousands and still be in a good place. Our accounts have gone up $900k in the past year.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So I guess you plan to work until Both of you are Medicare eligible (65 currently)? Because if not, you could be paying $15K/year/person once you hit 55 up until 65 (and it increases as you age). I doubt your $100K per year includes $30K in medical (just premiums...for that you still have a high deductible).

And no, most people in the DCUMland do NOT have a $1K mortgage and live on $100K comfortably when they have a NW over $4M. If you truly do, awesome. But I'd question why you didn't already save enough for college along the way, if you truly live on much less than you make?

Because five years ago our income was $130k. Last year it was under $200k. Ten years ago we were happily living on under $100k (and also living very well on that income).

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So go ahead and spend it if you are comfortable. But it's not needed. And where in the DCUM area do you live on $100K comfortably but think of spending $100K+ per year for college?

Not that it matters at all, but we live in Montgomery County, about 15 minutes walk from the DC line. Yes, we live well on $100k a year. Our costs are low.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So I guess you plan to work until Both of you are Medicare eligible (65 currently)? Because if not, you could be paying $15K/year/person once you hit 55 up until 65 (and it increases as you age). I doubt your $100K per year includes $30K in medical (just premiums...for that you still have a high deductible).

And no, most people in the DCUMland do NOT have a $1K mortgage and live on $100K comfortably when they have a NW over $4M. If you truly do, awesome. But I'd question why you didn't already save enough for college along the way, if you truly live on much less than you make?

I am curious how this person is living on $100K a year...that seems truly impossible in this area. They pay $20K a year in taxes and $12K a year in mortgage payments, so that leaves $68K for expenses. There is no way they are only spending that for a family of four.

Well I think their "100K" is after taxes, but yes after mortgage they have $88K left. For insurance, property taxes, healthcare, vehicles (insurance, gas, maintenance), utilities, food, travel, etc.
And nobody has a $1K mortgage in the DC area without a massive downpayment.

PP here. The $20K in taxes refers to property taxes. This was established in the OP.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So I guess you plan to work until Both of you are Medicare eligible (65 currently)? Because if not, you could be paying $15K/year/person once you hit 55 up until 65 (and it increases as you age). I doubt your $100K per year includes $30K in medical (just premiums...for that you still have a high deductible).

And no, most people in the DCUMland do NOT have a $1K mortgage and live on $100K comfortably when they have a NW over $4M. If you truly do, awesome. But I'd question why you didn't already save enough for college along the way, if you truly live on much less than you make?

I am curious how this person is living on $100K a year...that seems truly impossible in this area. They pay $20K a year in taxes and $12K a year in mortgage payments, so that leaves $68K for expenses. There is no way they are only spending that for a family of four.

Well I think their "100K" is after taxes, but yes after mortgage they have $88K left. For insurance, property taxes, healthcare, vehicles (insurance, gas, maintenance), utilities, food, travel, etc.
And nobody has a $1K mortgage in the DC area without a massive downpayment.

Things can happen that one or both of us may not able to control like getting sick and can not work. We will have to pay for Healthcare it can be 35k to 40k full price because we may not able to get discount. 10 years before Medicare. The market can goes down even we don't need all of the money at once but we need to cash out some. We want to be able to have as much as normal life and not cutting too much even we don't have much fat in our spending when we have no jobs. Not because we don't want to work. Once, we tell the kids that we are willing to pay x amount for college, we will try hard not to trim the amount.

OP you are being quite defensive. Spend the money if you want - as you are aware, you can definitely afford it. Whether it is a good use of funds at in your case is highly personal. We decided private college was not worth it to us since our DD liked the flagship. Only you know how long you want to work, how you want to live in retirement, whether you hope to help with weddings and downpayments, etc. We can’t answer that for you.

Value is highly subjective, it’s different from “afford.” I don’t buy $5 sodas at restaurants. I can afford them, I just think it’s price gouging and I refuse to pay that just for them to pour $.50 of liquid into a glass for me.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So I guess you plan to work until Both of you are Medicare eligible (65 currently)? Because if not, you could be paying $15K/year/person once you hit 55 up until 65 (and it increases as you age). I doubt your $100K per year includes $30K in medical (just premiums...for that you still have a high deductible).

And no, most people in the DCUMland do NOT have a $1K mortgage and live on $100K comfortably when they have a NW over $4M. If you truly do, awesome. But I'd question why you didn't already save enough for college along the way, if you truly live on much less than you make?

I am curious how this person is living on $100K a year...that seems truly impossible in this area. They pay $20K a year in taxes and $12K a year in mortgage payments, so that leaves $68K for expenses. There is no way they are only spending that for a family of four.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So I guess you plan to work until Both of you are Medicare eligible (65 currently)? Because if not, you could be paying $15K/year/person once you hit 55 up until 65 (and it increases as you age). I doubt your $100K per year includes $30K in medical (just premiums...for that you still have a high deductible).

And no, most people in the DCUMland do NOT have a $1K mortgage and live on $100K comfortably when they have a NW over $4M. If you truly do, awesome. But I'd question why you didn't already save enough for college along the way, if you truly live on much less than you make?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Well that is a choice you have to make. What might the kids need/want as grad school/professional school? Because at $4.25M net worth, I wouldn't pay $400K for undergrad and another $300-400K for each kid to attend grad school, unless I had that money already earmarked and saved. Because $4M is not that much for retirement if you are used to living a certain lifestyle. I wouldn't drain another $1M for my kids education. But If I had already saved it, or I had $8-10M+, then I might.

$4m is “not a lot for retirement”. We live on $100k a year very comfortably. I disagree. We also have 15 more years to add to it, should we chose. OP here.

So go ahead and spend it if you are comfortable. But it's not needed. And where in the DCUM area do you live on $100K comfortably but think of spending $100K+ per year for college?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:If I were you OP, I would look at inexpensive public universities or schools that offer merit. You don't have enough saved to afford an Ivy and your kid will be taking on incredible debt assuming you don't qualify for aid. If your kid applies and gets into one of those elite schools, it will be even worse to have to turn it down. Focus on schools you can realistically pull off financially. Depending on what your kid wants to do, he might have to go to graduate school...even more expense.

I say this as someone who paid full freight to two very expensive private universities, but we had all that money saved for each kid in the 529 on top of our $13M net worth.

Oh FFS, what planet do you live in where 4.2 million in net worth takes on debt to go to college????

$1M of that net worth is a home. So in reality it is only $3M+. Of That $3M, there is tax liability on the retirement accounts of over $2.4M, which I calculate to be at least $600K. So there really isn't much left for this couple's retirement because their current income is barely big enough to keep up with expenses ($280K including dividends). Like I said in a PP, the couple should think hard about their future plans and consider what lifestyle they plan for their retirement.

And ideally should not be spending $100K+/year on education, when their kid could do a great education for $40K (or less). The OP is not set for retirement and cannot afford to drain $300K+ extra for college, when it's not needed

Anonymous wrote:

Anonymous wrote:We opted for state school because ds is heading to grad school after and we want to save college savings for that stage. Same hhi as you but retirement savings are lower. It's been great not having to worry about the financial piece of college at all.

This is exactly the issue. The OP doesn't know at this point what their kids are going to do after college.

We were full pay for our DS at a T20 and now DD just enrolled in a top school that is just under $100K a year. Older kid has graduated and working and will be going to grad school hopefully this year. We will pay part of it and his employer will pay the rest. Younger one wants to go to med school or PA school. We will pay for that as well. We are retired, but have investments of $15M+. Only debt is $400K on a 1.3M home. The $15M does not include the home value, but does include the $370K 529 for our younger kid. We feel very comfortable with these choices due to our financial situation. The OP is considering something similar, but they would be taking a huge risk, unless they are expecting a windfall of money (inheritance, etc.).

You are worth $15M, very different than the OP. You have the undergrad experience already saved for. If you continue to add to the 529 and let it grow tax free for 4-6 years (they won't finish med school for another 7 years), you can also have a year or two of med school paid for. You can afford it. The OP really cannot

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have the money to send both kids to full private. Inlcuding ivy if they get in. They certainly don’t need to be chasing merit but it sounds like you’re going to ask them to? Or go public? Maybe you should step back and think about your priorities. What do you want to do with your money? Invest in your kids? Set up the next generation? You aren’t going to run out of money. Even though it sounds like you’re worried about that. If the market tanks 30%, you’re not going to need access to all of it in the next 24 months - so you’re going to do what you did in the dot com crash and 2008 - wait it out until it comes back.

They only have $150K saved for college per kid. That's in-state pricing, not sending both kids to $90K+ schools.

IMO, we would explain the finances to the kids, discuss their plans (might they want/need graduate/professional school?) and determine the right path. But whatever you do, unless you are 100% committed to 90K+ per year, make certain your kid knows that, so they can have 75-80% schools that are targets and safeties that will be around in-state pricing (or just a bit more). DOn't let your kid think they can attend Harvard if they get in if you are not really willing to pay for that. Also if that's the case, don't let them apply to 80%+ schools that are 90K/year.

This is OP. We have $300k in college savings accounts. I clearly identified all the other sources of funds we have which is in the millions. We also have one more year for one kid and four more years for the other. There’s no doubt that a family with $4.25 million in net worth can afford this. It’s silly to pretend otherwise. As I’ve said our investments increase by more than $100k pretty much every year. We could pay in full and so see our net worth continue to increase.

To be honest, I was expecting some more insightful replies than this. What I’m struggling with — and I thought I’d made clear in my OP — is whether it makes sense to spend that much money on an Ivy League education.

Uh, rude. Go ask AI then. It will stroke your ego as it responds.

Yes OP seems to want to only want to hear, "Hey! You have nothing to worry about!! You are so rich and lucky!! Spend the $$ on the pricey college!!" Because the truth is, OP has already decided and came here to get justification.

I think OP wants to hear that it’s not worth it to alleviate any guilt when they says no to their kid.

What I think is that they have no idea what it takes to get into an Ivy. If their student is actually competitive and unique enough to get in on his own (am assuming no curated by a private college counselor vibe) then they should absolutely pay because that is one amazing kid.

I think the harder question is full pay top 25 private schools. Their student may get into one of those and it is likely a superior educational experience over a state flagship. What to do?

Except many of us don't believe it's a "superior education experience over a state flagship". The main difference (IMO) is the smaller class size and the opportunities that affords. But going to the honors program at many state U offers some similar perks.
So if you have the $$$, then yes it's worth it. But if you don't, then don't take on debt (or have to delay your retirement plans). Because 95% of what someone does in life has to do with their drive, work ethic and what they do in life, not where they attend.

OP doesn't realize they don't have the $$. $4.25M net worth including a $1M home and $2.4M in retirement. In reality, they only have $3.25M in liquid assets actually generating gains and of that $2.4M is pre-tax, so take out another $600K for taxes on the retirement accounts. That leaves $2.65M in liquid assets for this family.

OP said income is $280K including dividends. That's not a lot. I hope those dividends are being reinvested. This financial picture isn't horrible at all, but they shouldn't be entertaining spending $800K+ on college.

Agreed!! They are doing well, but not well enough to be full pay at top schools.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We opted for state school because ds is heading to grad school after and we want to save college savings for that stage. Same hhi as you but retirement savings are lower. It's been great not having to worry about the financial piece of college at all.

This is exactly the issue. The OP doesn't know at this point what their kids are going to do after college.

We were full pay for our DS at a T20 and now DD just enrolled in a top school that is just under $100K a year. Older kid has graduated and working and will be going to grad school hopefully this year. We will pay part of it and his employer will pay the rest. Younger one wants to go to med school or PA school. We will pay for that as well. We are retired, but have investments of $15M+. Only debt is $400K on a 1.3M home. The $15M does not include the home value, but does include the $370K 529 for our younger kid. We feel very comfortable with these choices due to our financial situation. The OP is considering something similar, but they would be taking a huge risk, unless they are expecting a windfall of money (inheritance, etc.).

IDK about huge risk. I think it's more a question of comfort level and having a clear picture of what this means for the long run in terms of savings, potential child participation and some loans, than actual financial ruin or risk. My dh graduated from grad school with a huge amount of debt due to loans, but it's not hindered our lives in huge ways at all and it's now repaid. Would I prefer my dcs not deal with loans and start off with debt? Absolutely, which is why we're doing things the way we are.

OP, do you want to leave your kids with an inheritance or do expect to spend all your money? Serious question. Because if it is going to be somewhere in between, you could end up at end of life with no money and being a burden on your kids. Consider this.

It’s pretty clear we’ll leave them with a very substantial inheritance at this rate but I have no specific plan to do so.

NP-I think it's tough on this board because some people are really in the camp that you must be the wealthiest person possible, must leave your children the most money possible at the detriment of your own life. In reality this can be a bit of a curse and people can dilapidate a large fortune quickly, or take great advantage of a more modest sum.