University of Virginia

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.