Saving for Your Kid’s Future – College Savings
Health care investment, retirement insurance, real estate – collage savings, it’s included. Saving for your kids’ future is one of the most securing and comforting plans you’ll have for all the hard days’ work, aside from giving you purpose. However the cost of a college education plan is getting steeper and steeper each year. So how should you manage?
College savings should still top the list of the home’s financial priorities. Although the rewards seem so distant, it’s also so easy to avert us the vision our kids working at a small eatery for the rest of their lives. We’ll do everything to prevent that. One way is to secure a good college savings plan, which doesn’t have to be the best, just enough to get our kids a peephole to a brighter future. To this there are a lot of things to consider.
First is to prepare your kid’s collage savings plan in a way that it would be flexible according to his future decisions. For example, a traditional collage or university education plan may be ruled out if your child should opt for a career out of trade or if he should plan to work right after high school pursuing a college education much later. Considering this you can now choose among the different types of college savings plan available. You can get a flexible savings bond held after your or the child’s grandparents’ name (since bonds purchased at 24-years old and up are the only ones eligible for education tax exemptions among other things), or you can also get your child a qualified state tuition program or 592 plan which defines eligible educational expenses, so he can cash in his college savings bonds, deposit the proceeds into his 592 plan, then exclude the accrued interest on the bonds for more benefits.
Second to include in planning your kid’s collage savings is actually talking to your kid about his college education plan once he reaches a mature age. It’s good to get him involved in planning his future and may inspire him to even have a hand at it if not, keep him motivated in school which could eventually earn him an additional scholarship. Also keep your eyes open for awarded financial aids for some extras. If you have more than one kid in school then you might just be eligible.
In the outmost, you should start planning and fulfilling your kid’s college savings plan now, or else start things when it’s all too late to earn anything for his schooling. Also don’t neglect your own retirement needs; one of the best ways to take care of your child is for you to take care of your own needs.