Financial Wakeup Call
Fidelity Investments recently came out with their College Savings Indicator study and check out these findings:
- 31% of parents of college-bound students have adequately considered how much college will cost
- Parents plan on paying for 57% of their kids’ college costs, but if you look at their savings, they are on track to cover only 30% of costs.
- Parents expect their children’s first job out of college will pay over $70,000 per year. The average salary of 2012 grads (those with jobs) is $44,000, according to this study, and other studies show the number to be much lower, more like $27,000.
These numbers show a shocking disconnect with reality. Parents, don’t fall into these traps. Learn the ropes and how the system works before you get locked-in to your college plans. If you need help figuring out what college will cost your family, drop us a note.
