Comments on: Paying for College or Saving for Retirement: The Generation X Balancing Act http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/ Helping a unique generation achieve financial independence. Sat, 20 Mar 2010 15:15:15 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Personal Finance Links: Thanks For All the MonaVie Mentions | thesweetmagnolia.com http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122343 Personal Finance Links: Thanks For All the MonaVie Mentions | thesweetmagnolia.com Sun, 04 Oct 2009 06:15:07 +0000 http://genxfinance.com/?p=1741#comment-122343 [...] Generation X Finance looks at paying for college or saving for retirement: the Generation X balancing act. [...] [...] Generation X Finance looks at paying for college or saving for retirement: the Generation X balancing act. [...]

]]> By: Student Loans by the Numbers - Posted In Mortgages | bhienda - MORTGAGES http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122195 Student Loans by the Numbers - Posted In Mortgages | bhienda - MORTGAGES Sat, 26 Sep 2009 03:18:38 +0000 http://genxfinance.com/?p=1741#comment-122195 [...] run upwards of six figures. You may have recalled one of my posts last week that talked about saving for your child’s college education versus saving for retirement. This generation is in a unique position of having to not only focus on saving for retirement, but [...] [...] run upwards of six figures. You may have recalled one of my posts last week that talked about saving for your child’s college education versus saving for retirement. This generation is in a unique position of having to not only focus on saving for retirement, but [...]

]]> By: Student Loans by the Numbers : Generation X Finance http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122183 Student Loans by the Numbers : Generation X Finance Fri, 25 Sep 2009 15:10:43 +0000 http://genxfinance.com/?p=1741#comment-122183 [...] run upwards of six figures. You may have recalled one of my posts last week that talked about saving for your child’s college education versus saving for retirement. This generation is in a unique position of having to not only focus on saving for retirement, but [...] [...] run upwards of six figures. You may have recalled one of my posts last week that talked about saving for your child’s college education versus saving for retirement. This generation is in a unique position of having to not only focus on saving for retirement, but [...]

]]> By: ATVs for Sale http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122158 ATVs for Sale Wed, 23 Sep 2009 21:14:54 +0000 http://genxfinance.com/?p=1741#comment-122158 Interesting article. I am still quite young. So I have not saved much for retirement yet. Still I realize that it helps to start saving early. I have had to pay off student loans, but luckily I had financial support from my parents. It must be quite tough for those who have to pay for all college expenses on their own. Interesting article. I am still quite young. So I have not saved much for retirement yet. Still I realize that it helps to start saving early. I have had to pay off student loans, but luckily I had financial support from my parents. It must be quite tough for those who have to pay for all college expenses on their own.

]]> By: Konrad http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122074 Konrad Thu, 17 Sep 2009 23:06:25 +0000 http://genxfinance.com/?p=1741#comment-122074 This is one of the main reasons that I use a Roth IRA - I can save for both retirement and education at the same time and then as my daughters get older make decisions about how much can go to education based on schools, scholarships, and retirement needs. This is one of the main reasons that I use a Roth IRA – I can save for both retirement and education at the same time and then as my daughters get older make decisions about how much can go to education based on schools, scholarships, and retirement needs.

]]> By: ctreit http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122056 ctreit Thu, 17 Sep 2009 11:13:31 +0000 http://genxfinance.com/?p=1741#comment-122056 I agree with David who refers to Suze Orman. I am a parent, I love my children, but I have to make sure that I will be ok in retirement before I makes sure that I can pay for college. I certainly do not want to become a burden on my children when I am a very poor old man. I also question the value of a college education. It is not like a bachelor's degree is the ticket to a good job these days. Maybe it is better to learn a solid trade which can also lead to a fulfilled and prosperous life. Just think about how hard it is to find good craftsmen these days? I agree with David who refers to Suze Orman. I am a parent, I love my children, but I have to make sure that I will be ok in retirement before I makes sure that I can pay for college. I certainly do not want to become a burden on my children when I am a very poor old man.

I also question the value of a college education. It is not like a bachelor’s degree is the ticket to a good job these days. Maybe it is better to learn a solid trade which can also lead to a fulfilled and prosperous life. Just think about how hard it is to find good craftsmen these days?

]]> By: newretirement.com http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122040 newretirement.com Wed, 16 Sep 2009 20:34:13 +0000 http://genxfinance.com/?p=1741#comment-122040 Younger families are focusing equally on retirement planning and paying for college education while older families put more emphasis on retirement planning according to an edward jones report from about two weeks ago. Younger families are focusing equally on retirement planning and paying for college education while older families put more emphasis on retirement planning according to an edward jones report from about two weeks ago.

]]> By: micki http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122033 micki Wed, 16 Sep 2009 17:57:23 +0000 http://genxfinance.com/?p=1741#comment-122033 options that no one has mentioned: help them go thru a tech school, after which they can be earning money and socking some of that away to get a college education. or have them join the armed forces which have the GI bill (and if you join the navy or the air force, less chance of getting shot). not an option for everyone, i know, but these are workable options. at this point in time the chances for a locked and loaded career are dwindling anyway and fewer and fewer people are working for any company long-term, or even in the same career field. that's just life in the 21st century. They will gain skills from having to put themselves thru college. they will value it more when they are the ones making the effort to put themselves thru college. i paid for my own college. i worked the whole time i went, sometimes more than one job. this took a tremendous burden off my parents who then spent $15K for my sister to go to Syracuse for a year before she quit. but i had no guilt when i decided not to be an engineer (my dad's dream, not mine) and did a different major. i had no guilt when i decided to quit school to join the navy and become a linguist. i did not take any loans. i had no school debt when i quit and the navy gave me the GI bill, which would have allowed me to finish school had i had the opportunity to take advantage of it (another story for another time). there are options for our kids that don't include them having to foot the bill to take care of us when we are old. (my mom did not save ANY money, is dependent on ssdi right now and needs my help just to have a somewhat decent life (shelter, food etc)...so just remember that when it comes time to choose between your retirement and sending your kids to college. help them not have to support you in your old age :) options that no one has mentioned: help them go thru a tech school, after which they can be earning money and socking some of that away to get a college education. or have them join the armed forces which have the GI bill (and if you join the navy or the air force, less chance of getting shot). not an option for everyone, i know, but these are workable options. at this point in time the chances for a locked and loaded career are dwindling anyway and fewer and fewer people are working for any company long-term, or even in the same career field. that’s just life in the 21st century. They will gain skills from having to put themselves thru college. they will value it more when they are the ones making the effort to put themselves thru college.

i paid for my own college. i worked the whole time i went, sometimes more than one job. this took a tremendous burden off my parents who then spent $15K for my sister to go to Syracuse for a year before she quit. but i had no guilt when i decided not to be an engineer (my dad’s dream, not mine) and did a different major. i had no guilt when i decided to quit school to join the navy and become a linguist. i did not take any loans. i had no school debt when i quit and the navy gave me the GI bill, which would have allowed me to finish school had i had the opportunity to take advantage of it (another story for another time).

there are options for our kids that don’t include them having to foot the bill to take care of us when we are old. (my mom did not save ANY money, is dependent on ssdi right now and needs my help just to have a somewhat decent life (shelter, food etc)…so just remember that when it comes time to choose between your retirement and sending your kids to college. help them not have to support you in your old age :)

]]> By: Daron http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122032 Daron Wed, 16 Sep 2009 16:15:55 +0000 http://genxfinance.com/?p=1741#comment-122032 Let's not overcomplicate this. We have to take care of ourselves, and then we can take care of our kids (note the airline reminder: if the air mask falls, put it on you first, then the kid; we have to be able to help them to actually help them). I married late to a woman with teenage twins. She had no savings for them; obviously I did not, either. We got ourselves established financially about the time they were planning to go to college. We said we could pay $4000 a year each, but no more. They needed to make decisions around that. It turned out one got a track scholarship and needs little or no money from us. Who could have reasonably predicted that? The other elected to go to a junior college with expenses around $8000 a year. She realizes she can make this in summer jobs while living at home. It gets a bit more interesting the last two years of college when a state school (Texas) costs around $15,000 a year. She'll have to work during the school year and maybe take out a loan or two; I'm committed to her graduating with little or no debt, a decent degree, and a decent car. Nothing more. Moral here? It's pretty simple. Be honest with them, protect yourself first, provide guidance and education to them, and hope they make the right decisions. In college it's time to grow up, and they are. So far we are proud of them, and our financial help is just enough for them to know they don't need to worry but they do need to work and be diligent. Not bad life lessons. Let’s not overcomplicate this. We have to take care of ourselves, and then we can take care of our kids (note the airline reminder: if the air mask falls, put it on you first, then the kid; we have to be able to help them to actually help them).

I married late to a woman with teenage twins. She had no savings for them; obviously I did not, either. We got ourselves established financially about the time they were planning to go to college. We said we could pay $4000 a year each, but no more. They needed to make decisions around that. It turned out one got a track scholarship and needs little or no money from us. Who could have reasonably predicted that? The other elected to go to a junior college with expenses around $8000 a year. She realizes she can make this in summer jobs while living at home. It gets a bit more interesting the last two years of college when a state school (Texas) costs around $15,000 a year. She’ll have to work during the school year and maybe take out a loan or two; I’m committed to her graduating with little or no debt, a decent degree, and a decent car. Nothing more.

Moral here? It’s pretty simple. Be honest with them, protect yourself first, provide guidance and education to them, and hope they make the right decisions. In college it’s time to grow up, and they are. So far we are proud of them, and our financial help is just enough for them to know they don’t need to worry but they do need to work and be diligent. Not bad life lessons.

]]> By: David@DINKS Finance http://genxfinance.com/2009/09/15/paying-for-college-or-saving-for-retirement-the-generation-x-balancing-act/#comment-122031 David@DINKS Finance Wed, 16 Sep 2009 15:42:30 +0000 http://genxfinance.com/?p=1741#comment-122031 Suze Orman made a great point about this. She said you need to save for retirement before helping your child save for college because that child has their whole life to make money and invest, but your time horizon is getting smaller and smaller. So instead of saving for your child's college education, first make sure you are stashing away for your retirement. Your time horizon is getting too short to risk not doing so! Suze Orman made a great point about this. She said you need to save for retirement before helping your child save for college because that child has their whole life to make money and invest, but your time horizon is getting smaller and smaller.

So instead of saving for your child’s college education, first make sure you are stashing away for your retirement. Your time horizon is getting too short to risk not doing so!

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