People keep telling you that education can be free nowadays. That is true. There are lots of online platforms that offer free courses.
However, a degree is not free, even if you obtain it online. Maybe you would save money for college if you financed an online degree for your son/daughter. But guess what: most employers don’t consider candidates with such degrees to be a good fit for their companies.
Maybe we’ll come to a point when online education achieves the kind of reputation that traditional campus-based studies have, but we’re still not there.
The conclusion is obvious, if you want high-quality education for your children, you need to opt for on-campus studies.
Community colleges may be cheaper, but let’s face it, they cannot be compared to Harvard and Cambridge.
The best education comes with a high price tag, which not everyone can pay with ease.
Here are our tips on how to save money for college. This is more of a guide to parents than for the students.
The Problem: Education Is Expensive
It seems like college is getting more expensive by the day.
The tuition at Harvard for 2015-16 is $57,200.
For 2016-17, the tuition at Harvard will be $59,550.
That’s not the only cost you’ll have to cover if you want to send your son/daughter to a college of this level. You’ll also spend at least $20,000 on accommodation and personal allowance.
A few thousands more will be required on on mandatory fees imposed by the school.
On an average, top-class colleges in America come with total costs of around $85,000.
If you decided to save $500 per month, it would take 14 years for you to save enough money for a single year of education.
That’s a lot of money.
The main and most important tip is to ‘start saving as early as possible’.
Start saving when your children are born!
If you weren’t able to do that, you’ll have to come up with a back-up plan.
Practical Money Management Tips: How to Get Enough Money for Your Children’s Education
1) Open a savings account in your child’s name.
2) Do not make unnecessary expenses. Instead of getting a car for your son’s 16th birthday, invest that money towards education. Yes, he won’t be glad for that policy of saving when he sees their friends getting cars, but he will appreciate it later in life.
3) Get into a college saving plan. Check if the local authorities give you opportunities for tax-free saving for your child’s education. A 529 college savings plan is a parent’s asset, so you can change the beneficiary if your child decides not to go to college after all.
4) You can save money if you invest in a prepaid tuition plan. If you are sure that your child will go to college, you can pay for tuition credits in advance. This means that you’ll be paying the current tuition costs, but your child will still get a full year at college in future, for the price that today’s students are paying. Given the fact that tuition costs are growing like crazy, this plan may save you thousands of dollars per year of education.
Extra Tips: It’s Not Only Up to You
Colleges are expensive, but there is still a possibility for paying much less money.
In fact, there is a way for your child to get free education at a top school.
You should definitely continue saving money for their education, but you should motivate them to save you some money, too.
How can you do that? Inform them about scholarships!
Did you know that Bill Gates won the National Merit Scholarship? Steven A. Ballmer won that scholarship, too.
They weren’t born like billionaires; they got there through a lot of effort. And talent, which was visible while they were still at school.
* Search for various scholarship programs your child would be eligible for. You will notice that the requirements are usually based on high grades and special interests.
* Motivate your future college student to learn how to write. Scholarships may be based on academic or sports achievements, or particular categories the student belongs to, such as religious or ethnic groups. Whatever the case is, the scholarship can’t be gained without an impressive application.
The scholarship essay will present the student to the board, who will then decide whether your son/daughter is motivated enough to deserve the financial aid. There are many ways for your child to improve their writing skills. For example, you can invest in Australian Writings service, or similar services.
* Motivate the future student to get engaged in many extracurricular activities. There are plenty of sports scholarship opportunities. In addition, some programs give scholarships for exceptional achievements in math, languages, biology, and any other class.
* Good grades are important for a scholarship. Every program wants to invest money in promising students, who have lots of potential to successfully graduate from college and make great contributions to the community. The grades from high school are an important factor that shows your child’s capacity to study.
Save money for college…Final words…
Money management is very important if you intend to send your child to a top-class college. However, you should also motivate them to manage their own time.
It should done in a way that enables them to achieve exceptional results during high school.
Gaining a scholarship is the best way to save money, since you’ll be paying less.
Remember, the most important tip is to start preparing on time. You should focus on saving money. The future student should focus on meeting the requirements for a scholarship program.
Disclaimer: All blog posts of getmoneyrich.com are for information only. No blog posts should be considered as an investment advice or as a recommendation. The user must self-analyse all securities before investing in one.