How much does college really cost
(and how to save for it).
When it comes to paying for your child's college, tuition is just the beginning. And while financial aid strategies, like scholarships and grants can help with the cost of classes, other expenses that make up the net cost of college can really add up. Here are some averaged cost examples.
A Graduate Course in
A popular financial tool to help parents save for their children's college is a Custodial Account, also referred to as an UTMA (Uniform Transfer to Minors Act) account. It's helpful to know some of the basics.
Contributions to a Custodial Account are considered gifts and a portion of your earnings may be free of federal taxes.
Custodial Accounts can be used for college costs. They also have the flexibility to be used for other unforeseeable expenses.
You control the funds of your Custodial Account, unlike 529 plans which are operated by a state or educational institution.
6. Calculated considering students who go to school 100 miles from home, and travel home twice a semester. (200 miles round trip x $2.43 average price per gallon)
8. Please consult with a tax advisor
This information is made available to you as a self-help tool for your independent use and is not intended to provide investment advice. We cannot and do not guarantee its accuracy and applicability to your individual circumstances. All examples are hypothetical and are for illustrative purposes. Please consult with a financial advisor for a solution suitable for your needs.