College Savings, 529’s and Market Panic – Should You Sell?

College Savings, 529's and Market Panic - Should You Sell

With the recent ups and downs of the market, I’ve seen more than one person considering selling everything in their kids college investments and sitting out the market. Here I’m going to talk about how my ostrich strategy has helped me avoid making rash decisions, how you can plan when the markets are calm so you can be calm when markets are crazy, and I’ll talk about some other things to keep in mind when thinking about college investments.

Do You Think “You Can’t Get Loans For Retirement But Your Kids Can Get Loans for College”? Wrong.

Can't Get Loans For Retirement

“Your kids can get loans for college, but you can’t get loans for retirement”. This is not always true. When you’re evaluating your college saving and spending strategy, you need to keep in mind that if you earn a high income your children might not be eligible for loans. Read all about when this makes sense, and when it doesn’t.

Creating Your College Compact in Five Easy Steps

A college compact can help you to set priorities and goals for college saving and spending. It’s an agreement you make with yourself and your kids on what you will-and won’t-do when it comes to college. Laying this out ahead of time is a great way to make sure everyone’s on the same page, expectations are set correctly, and you both are clear on what the families priorities are.

No, Colleges Don’t Give you Aid if you Don’t Feel Like Saving

College financial aid train

If you’re a high income earner, you’ll need to remember that colleges don’t give you aid if you don’t feel like saving. The other day I had a conversation with a friend where he made it clear that he was hoping there was a magic way to get tons of college aid on an income of around $200k per year. At that income level, the government expects that you’ll be responsible with your money and save some of it for college.