Dear Kim,
My husband and I have two kids: one starting high school and one in middle school. We’ve been so focused on paying our own bills and managing day-to-day expenses that we haven’t saved anything for their college. Now it feels like it’s too late to make a real difference. Is there any point in starting now, or should we just plan on them taking out loans?
Sincerely,
Late Start Saver
Dear Late Start,
I would begin to look at options that will lower costs for college. In my experience, graduating with a large amount of debt will keep you and your children from saving and growing in other areas.
There are actually professionals that will help you navigate the college entrance process and help you discover funds you might not know about otherwise. I attended a seminar this month talking about just this subject.
If you are a resident of the state of Tennessee, your children can get their first two years free through Tennessee Promise. There are some hoops you have to jump through, but it is well worth it. Most high schools also offer Advanced Placement classes that can receive college credit, and many also offer dual enrollment that allows your high school student to attend college classes and receive both college and high school credit. By beginning now to educate yourselves about all the grants that go uncollected and having your students work toward the college credits they can receive in high school, you can greatly reduce the expense of college.
The seminar I attended also pointed out that an undergraduate degree from a smaller, less prestigious school is just as likely to get them a job or admission to the higher education program they might want to pursue. No one ever asks a doctor where they received their undergrad. Their class ranking is the most important criteria in gaining admission to a Masters program, so a big fish in a smaller pond looks better on their record than a small fish in a big pond.
I would begin now to talk to professionals in this arena and educate yourselves as much as you can to gain a clear pathway for your children in receiving their college education. Try as much as possible to avoid going into debt to fund their education; it takes years to dig out of that hole.
Best of luck,
Kim
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