Saving for a Child's Education

 
 

Saving for a Child’s Education

A quality education is priceless. It provides your child with a competitive advantage when entering the workplace and will usually help him or her to obtain a better initial salary and advance faster.

It’s no secret, however, that a college degree is becoming increasingly difficult to afford. Tuition has skyrocketed and there doesn’t appear to be an end in sight. During the next 10 years, tuition costs at many institutions may easily double.

It’s in your best interest to develop a well-conceived, disciplined savings plan for college expenses. Your plan could take many forms, but you should anticipate the following:

  • How many children will be attending college?

  • What type of school will they attend?

  • In what year will they begin?

  • How much of the expense are you able to provide for?

  • How long will it take for your child to achieve a degree?

Answering these questions when your children are young can help lead you down the path to saving the necessary funds.

Here Are Some Simple Savings Routines You Can Start Today:

  • Pay yourself first: Set aside money before you pay your bills each month so you can begin saving on a regular basis

  • Make savings part of the fixed expenses in your budget, much like your mortgage/rent and utility payments

  • Use payroll deductions

  • Have your employer deposit a portion of your pay directly into your savings account

  • Save windfall income

  • Try saving tax refunds, bonuses, overtime pay and gift money

  • Start saving early

  • Start putting money in a savings account starting the day your child is born - this gives you 18 years to have your savings grow

Dollar Bank is a proud partner of DCR and is committed to supporting the organization in its efforts to build a well-connected community of residents in downtown Cleveland. Stop by either of our convenient downtown Cleveland Dollar Bank offices (Galleria and Public Square) to speak with our banking representatives so they may answer any further questions for you!

The information presented is general in nature and is for information purposes only. It is not intended to provide specific legal, tax or other advice to individuals.