Finance question

[Hardcore Troubador]

Gentlemen,

With bonus season now officially over, Mrs. Hardcore Troubadour and I are looking at getting a college fund started for Baby Girl Hardcore Troubadour.  We’ve set aside a chunk of change and we’re wondering what the thoughts were of others who are going through or have gone through the process of saving for college?

We are meeting with a financial advisor next weekend, and we’re doing some research on our end re: 529s, various bonds, maybe investing part of it in an index fund, etc.  

My father did college for my sibling and I with a mixture of bonds, a small real estate flip, the stock market, and old fashioned savings CDs (admittedly rates were much higher when he did these) .  How did you guys do it?

My college was over $40k 15 years ago.  The cost is even higher now and will be worse in 18 years!  😭

[BUFORDGAWOLVES]

Move to Georgia for the Hope scholarship... I won't mind.

My kids athletic scholarship and the eldest academic, although now I think the degree market is saturated and trades are gonna boom.

I think you have the right idea though. A good financial adviser can help minimize your risk. I'd ask around and speak to those gone through it and who they would recommend.

Figure now, 160k for four years is on the light side.

[Hardcore Troubador]

5 minutes ago, BUFORDGAWOLVES said:

Move to Georgia for the Hope scholarship... I won't mind.

My kids athletic scholarship and the eldest academic, although now I think the degree market is saturated and trades are gonna boom.

I think you have the right idea though. A good financial adviser can help minimize your risk. I'd ask around and speak to those gone through it and who they would recommend.

Figure now, 160k for four years is on the light side.

Hahaha.  We just may!  She can crawl and stand on her own now, no walking yet. Im thinking of putting a tennis racket in her hand as soon as she takes her first step!  

Both sibling and I had partial academic scholarships which helped, but it’s still expensive as hell.  Free rides are hard to come by...so thats awesome if your kids helped defray the costs in any amount!

That’s about the ballpark - we’re thinking for $40k/yr. for 4 year degree at state school, but hoping to have some left in the tank in case she gets into a good private college or good State school out of state.

[Hardcore Troubador]

8 minutes ago, BUFORDGAWOLVES said:

Move to Georgia for the Hope scholarship... I won't mind.

My kids athletic scholarship and the eldest academic, although now I think the degree market is saturated and trades are gonna boom.

I think you have the right idea though. A good financial adviser can help minimize your risk. I'd ask around and speak to those gone through it and who they would recommend.

Figure now, 160k for four years is on the light side.

Haha.  Dude.  My wife is Jewish, as is our daughter.  I have been told that along with retiring to the west coast of Florida, and putting mayonnaise on a sandwich, manual labor is NOT something that is done.  

[BUFORDGAWOLVES]

Just now, Hardcore Troubador said:

Hahaha.  We just may!  She can crawl and stand on her own now, no walking yet. Im thinking of putting a tennis racket in her hand as soon as she takes her first step!  

That’s about the ballpark - we’re thinking for $40k/yr. for 4 year degree at state school, but hoping to have some left in the tank in case she gets into a good private college or good State school out of state.

Keep the grades up and take advanced placement coursework.... some of those depending on scoring transfer... my kid graduated in 3 years, because of those AP scores, took a medical hardship and now working on grad school. One year to go and we still have out of pocket expenses.

[BUFORDGAWOLVES]

Just now, Hardcore Troubador said:

Haha.  Dude.  My wife is Jewish, as is our daughter.  I have been told that along with retiring to the west coast of Florida, and putting mayonnaise on a sandwich, manual labor is NOT something that is done.

Hahahaha... well hell, it's med school, law or wall street finance for you then bro!!!

[Hardcore Troubador]

4 minutes ago, BUFORDGAWOLVES said:

Hahahaha... well hell, it's med school, law or wall street finance for you then bro!!!

I was hoping to push her into science or medicine.  At least do something with “real world” application.  We’ve got enough lawyers and bankers.

[ChimpGrip]

40 minutes ago, Hardcore Troubador said:

Gentlemen,

With bonus season now officially over, Mrs. Hardcore Troubadour and I are looking at getting a college fund started for Baby Girl Hardcore Troubadour.  We’ve set aside a chunk of change and we’re wondering what the thoughts were of others who are going through or have gone through the process of saving for college?

We are meeting with a financial advisor next weekend, and we’re doing some research on our end re: 529s, various bonds, maybe investing part of it in an index fund, etc.  

My father did college for my sibling and I with a mixture of bonds, a small real estate flip, the stock market, and old fashioned savings CDs (admittedly rates were much higher when he did these) .  How did you guys do it?

My college was over $40k 15 years ago.  The cost is even higher now and will be worse in 18 years!  😭

Good to plan for this. As long as who ever is going to school says NO to student loans. Debt is dumb and cash is king. 

[Hardcore Troubador]

4 minutes ago, ChimpGrip said:

Good to plan for this. As long as who ever is going to school says NO to student loans. Debt is dumb and cash is king. 

That’s our intention - at least undergrad loan free.  I’d love to do more, but 1 kid is expensive and we’re thinking 1 more in the next 2 years...

[HSFBfan]

3 minutes ago, Hardcore Troubador said:

That’s our intention - at least undergrad loan free.  I’d love to do more, but 1 kid is expensive and we’re thinking 1 more in the next 2 years...

Find a different route than college that is a lot cheaper and could help get into a field a lot sooner then 4+ years??

here an article from the Huffpost 

https://www.huffingtonpost.com/adam-rico/4-reasons-you-should-not-send-your-child-to-college_b_6544344.html

[Hardcore Troubador]

2 minutes ago, HSFBfan said:

Find a different route than college that is a lot cheaper and could help get into a field a lot sooner then 4+ years??

I hope she’s entrepreneurial enough that she can start a business at 18 and not need college, but those stories are few and far between.  And all kidding aside I don’t see her going to trade school (though if that’s what she wants I’ll support her all the way), so I think college still might be the best bet.

Mrs. and I are pretty much on same page that she should study something practical like science, math, etc. not “Feminist Intersectionality” or “Mongolian Interpretive Dance”.  Be a scientist or an engineer.  Build something or research something that has an application in the real world.

[HSFBfan]

3 minutes ago, Hardcore Troubador said:

I hope she’s entrepreneurial enough that she can start a business at 18 and not need college, but those stories are few and far between.  And all kidding aside I don’t see her going to trade school (though if that’s what she wants I’ll support her all the way), so I think college still might be the best bet.

Mrs. and I are pretty much on same page that she should study something practical like science, math, etc. not “Feminist Intersectionality” or “Mongolian Interpretive Dance”.  Be a scientist or an engineer.  Build something or research something that has an application in the real world.

Military? Do 4 years get the GI bill. That will also help pay. By the time she gets to college it should be about 115000 a year. So good luck with that. Yes i agree something practical but we cant even begin to conceive what will be practical if your talking 15+ years from now. It could be working on flying cars or whatever. The world of today will not be the world in 15 years. 

My biggest hope for schools is that they change in different aspects than they are now. 

[ChimpGrip]

54 minutes ago, Hardcore Troubador said:

That’s our intention - at least undergrad loan free.  I’d love to do more, but 1 kid is expensive and we’re thinking 1 more in the next 2 years...

Having another kid or another kid is going off to school in the next two years?

Loans should never be an option. Take it off the table on day 1 and you will find a way to overcome. Loan free undergrad, grad school, etc., debt is anchor.

And make them go to work and help pay for school. I paid for all my school on my own. 

[GloryDays]

Scholarshare offers 529 plans that are pretty light on fees.  Just pick a few funds, allocate the percentages, and set up monthly deposits.

 

You could also go the Coverdell route if private high school is in your kids future, but I believe the yearly contributions are lower.

 

Either way, your kid will thank you once they realize that student loans are horseshit.

 

[DarterBlue]

I agree you should do this loan free. If your daughter is academically gifted, which she probably will be, moving to Florida may be an option, if you and the wife can find employment in your areas of expertise. If she attends state school and the Bright Futures Scholarship program is still operational, it may cover the full cost of tuition. Also, many of the more rigorous High Schools have an IB program, which if she is disciplined, in addition to being bright, I would highly recommend. She may be able to shave a full year off college if she goes that route and it would also open up the opportunity to study abroad. 

Regarding setting money aside, 529s are not a bad option. If investing savings, I would recommend the stock market with the following proviso: either dollar cost average into the market over time or wait till the next bear market begins to start putting funds to work.

[BUFORDGAWOLVES]

3 hours ago, Hardcore Troubador said:

I was hoping to push her into science or medicine.  At least do something with “real world” application.  We’ve got enough lawyers and bankers.

"It's all about the money, boys!" ... line from Oh, Brother Where Art Thou.

[LiberalDonaldTrump]

You send baby squirrel to iHA and make her get a sport and academic scholarship,,,,,, 

[Hardcore Troubador]

5 minutes ago, LiberalDonaldTrump said:

You send baby squirrel to iHA and make her get a sport and academic scholarship,,,,,, 

God only knows how much that’s gonna cost in 14 years!  Bergen was like 6k when I graduated, now it’s pushing 20!

But if she turns out to be an athlete IHA definitely should be a consideration.

[LiberalDonaldTrump]

Just now, Hardcore Troubador said:

God only knows how much that’s gonna cost in 14 years!  Bergen was like 6k when I graduated, now it’s pushing 20!

Lmao I was just gonna say U prolly need a loan tho for her to go lol I can only imagine in a few years what it costs....

 

[Hardcore Troubador]

3 hours ago, DarterBlue said:

I agree you should do this loan free. If your daughter is academically gifted, which she probably will be, moving to Florida may be an option, if you and the wife can find employment in your areas of expertise. If she attends state school and the Bright Futures Scholarship program is still operational, it may cover the full cost of tuition. Also, many of the more rigorous High Schools have an IB program, which if she is disciplined, in addition to being bright, I would highly recommend. She may be able to shave a full year off college if she goes that route and it would also open up the opportunity to study abroad. 

Regarding setting money aside, 529s are not a bad option. If investing savings, I would recommend the stock market with the following proviso: either dollar cost average into the market over time or wait till the next bear market begins to start putting funds to work.

Thank you!  Our talks about any market-based investing seems for now to hinge on “wait-and-see” for a bear.

[Belly Bob]

7 hours ago, Hardcore Troubador said:

I was hoping to push her into science or medicine.  At least do something with “real world” application.  We’ve got enough lawyers and bankers.

 

6 hours ago, Hardcore Troubador said:

[...]

Mrs. and I are pretty much on same page that she should study something practical like science, math, etc. not “Feminist Intersectionality” or “Mongolian Interpretive Dance”.  Be a scientist or an engineer.  Build something or research something that has an application in the real world.

Science is a bit too broad, if you're thinking about her job prospects after graduation. I went to school with a girl who graduated with a degree in biochemistry and then, when she couldn't get a well-paying job, moved back home with her parents. She lived there while she worked a shit job in a lab somewhere in the Greater Los Angeles Area for about 3 years before she went back to school to become a physician assistant. 

A similar thing happened to my best friend, who eventually went back to school to become a veterinarian. 

Applied science is where it's at. Engineering is the way to go. Plus there are a lot of opportunities for girls. That probably won't change anytime soon. 

Same with math. Applied math is where the jobs are, even if the theoretical stuff is what attracts mathematicians. 

Law is still a good way to go, but you've got to graduate from one of the top 10-15 programs. I doubt that will change anytime soon. Avoid law school if you can't get into a top program. It's not likely to pay off.

Do not let her study women's studies, gender studies, queer studies, ethnic studies, English literature, anthropology, or any of the other majors that have been corrupted by postmodernism and relativism, where they regard science as no better than alternative epistemologies and regard truth and reality as socially constructed categories. Do not let her study in any department where they take Foucault or Derrida or any of the 20th century French "philosophers" seriously. Those departments are without a doubt the source of safe-spaces and trigger warnings and all the other embarrassing nonsense we've seen on college campuses over the last decade or so.

If you're paying for her education -- and it sounds like you will be -- make it clear to her before she even applies for college that she doesn't get to spend tens of thousands of dollars satisfying whatever intellectual curiosities she happens to have at 18 years old. If she wants to read Derrida, she can buy his books on Amazon.com for 25 bucks apiece and read them during her breaks.