If you live in an area where your kids can do two years at the community college and two at a state public university, they can work to help pay for it. You can get it done for $25-30k and not throw away thousands of dollars. It's ok to let them live at home while they complete their college education.
Yes! My husband did this. I moved home after college to live with my mom, a single parent - got a full time job & part time job, and paid VERY reduced expenses! Forever thankful to my mom for giving me that opportunity!!
That’s basically an UTMA, and what I have for my kids. Your kids only pay taxes on it based on their bracket, which as a 21yr old, will be basically no taxes. Dave doesn’t like UTMAs because they have no strings attached.
My nephew got a full-ride scholarship and expects his kids to do the same, but we’re not all alike. How can anyone guarantee that their children will qualify for a scholarship-especially full-ride? It certainly doesn’t hurt to set money aside for their education.
I had no help from my parents for college. I worked through school and was a resident assistant to get free housing and still graduated with $40k in student loan debt. I went to school for engineering so I landed a job making $75k right after graduating and paid off my debt in little over a year. Now I'm about to turn 30 and already have $700k net worth. Plan to retire in my 40s. It's that simple
How did you pay off $40K in one year making $75K? I would assume you brought home $55K. So, you lived off of $15K that year? Did you live at home or something??
@@MissTXTee It was a little over a year, about 15 months. I kept my expenses very low. I had a roommate and was paying only $600/month in rent. I was throwing thousands at the debt each month.
I think that, when you don’t want to save for a better future for your kids, you’d better ensure you’ve saved for your own, because you won’t be their problem, when you get old.
Lol! Ok! 🙄 what about people like me who did by all standards try to do what was “right,” but found college to be a complete RIP OFF and I’m STILL paying for a worthless degree that should have been paid for because I was in the military during 9/11 and then served during a war in which Bush CUT THE COLLEGE FUND for soldiers like me who re-enlisted specifically to get this benefit and after having to drop out of school in the middle of the semester because I was deployed I was stuck holding the bill after serving my country and being denied the very benefits that are used as the carrot on the stick!? Comments like yours are extremely short sighted and you act like everyone is the same lol! Ok! Good luck when you get old with such gross ignorance. Seriously! 🤦🏼♀️
To be honest college is over rated so you cannot attribute a successful future to saving for their college. There is no guarantee of a successful future because of some paper
Funding their child's future unfortunately can leave parents unable to adequately fund their own when they get old, leaving said child guilt ridden yet resentful at the same time when a debilitating illness drains the parents of their savings. Having a mother with Alzheimer's who went far beyond the call of duty for me and my siblings, I speak from experience.
@@abrahamflores2566 understood. But, I’m talking about parents who have a general disinterest in their children’s future. There are parents that leave their children to simply finding their own way, with no guidance whatsoever. Some of those parents may do so because, as DR has had as subject before, they see their children as merely an extension of themselves, rather than an individual that needs to thrive on their own.
529 has restrictions on investment. I would rather put in regular investment account then use that money however you want to spent on it. I get that it does have tax benefits, but I would rather have more control on your money then less.
I had to pay for 100% of my college as my parents didn't have the money to help me. I think it did keep me grounded in reality that I needed to choose a less expensive college and get a degree that would pay me well. When I have kids, I intend to help with maybe half of their tuition/books/fees but NOT housing. I have found housing/meals tend to be the most expensive part of college and it's only purpose is to have "the college experience".
@@edhcb9359 true. I know a few families with no money for kids’ college. One bought a new house they didn’t need, amazing backyard, luxury suv. The other just bought themselves a brand new suv as well but I guarantee when they kids turn 18: “sorry, we couldn’t afford to help you!”
Parents paying for college is a privilege not a right. If y'all can't afford to save for college and need to use it for retirement, raise them to work hard for what they want to do for school in the future.
I dropped out of college because the tuition and rent at Berkeley was too much. I still ended up with a job that paid a six figure income. I wanted to be able to allow my children the option to attend college without having to worry about the cost. I put enough away to pay for both of their educations. I was fortunate that my daughter received a scholarship that covered tuition and provided a generous stipend.
College is worthless a LOT of the time now! I have an expensive degree I’m still paying for even though I was deployed in the army and finished it online while literally serving in a war! But I should still pay for it.. fine… I do… but I’m so sick of the mindset that you absolutely have to go to college to be successful! Actually, most of the really highly successful people are college dropouts!
For many years, a high school degree was seen as the standard in a bachelor's degree in and of itself was seen as impressive. However the bachelor's degree has now become the "standard". So having a bachelor's degree no longer impresses anybody. People are slowly figuring this out. The bachelor's degree itself doesn't help. It's what the bachelor's degree teaches you and where it sends you. If the bachelor's degree gives you skills that are applicable in the marketplace and create a good return on investment than it's worth it. If the bachelor's degree gives you the skills and prerequisites needed for medical school then it matters. But just going getting a random bachelor's degree in communications because you don't know what you want to do is stupid. College is not pointless but college can be pointless if you don't plan it with purpose
I think often the case is that young people going into college don't necessarily have plans. Many still don't even know what it is that interests them, and (at least at my high school), they didn't really have us considering our future that way. I, personally, have an English Literature BA and French minor. Has the degree helped me in most of my career choice? Maybe a little bit. But now I teach skateboarding and actually make decent money! I wouldn't have thought I was going to be doing this to have income even after I graduated... But now that I have the language background and the teaching experience through skate lessons, in the future I could become a teacher. Point is that college can look pointless in regards to setting up your career, but it can help you be creative and think for yourself, and keep yourself on a plan should you need one in the future.
@@matthewmchenry9331 You're arguing against things nobody said. Nobody said that life is all about money and nobody said that higher education is a waste. But regardless of your interests, spending multiple hundreds of thousands of dollars in debt on a degree where you can only make 50k a year and can't advance is highly unwise. And thats a constant occurrence in our education system. Every year there's tons of people graduating who could make similar money working full-time at Costco, yet they have 200k in debt. That's what we're talking about
Right wrong or indifferent I don’t want to fund college for my children. My parents paid for the majority of my college education and I completely squandered it and felt as though I appreciated it at the time but looking back I know that I didn’t. My plan for my kids is to let them pay their own way through school or whatever they choose to do then when they are 26-30 and have become responsible contributing members of society my wife and I will sit them down and explain why we did what we did and hand them each a check for 30k-50k. Maybe they can cut their mortgage in half or buy a new car or invest it or whatever they choose to do. I feel like if my parents had done this for me I would’ve utilized those funds in a much more productive way and would have a real sense of appreciation for it.
Hope it works pout for the kid. Overall, I think it is a bad idea. If the kids are responsible and mature to take on the responsibilities of college at 17 or 18 I would say fund them as much as you can. I told my kids I prefer them studying making good grades than working. Good grades equate to scholarships. Scholarship money is way more than working for money. Now, if the kids are not mature and not ready for college or any type of education then it is better to hold on to the money.
I offered to let mine live at home rent free including utilities and standard food free as long as they were attending college full time or attending college part time and working part time. They can even return and take me up on it if they are still single.
It’s only a rip off if you major in something useless like German Polka History. I went to college, which was required for my job, and I did very well and made several times what the cost of college is today every year (except very early on in my career because I was young and inexperienced) and retired in my 50s.
I want to save for my kids' college so they can go to college to be a sociologist if they want. If that's their passion and aptitude (and they can get paid enough to be satisfied with their life), then that's what I want them to do. That said, I will tell my kids that I don't want them to get a college degree to be a cashier, nor do I want them to fail out of college. College is an investment, but the returns don't have to be monetary.
I don’t have kids but it’s not a parent’s responsibility to pay for college. My parents didn’t pay for my tuition and grew up fine . Home paid off , no debt owed .
Yes, it is a parent’s responsibility. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. The amount of aid they get is also dependent on the parent’s income because it is assumed that the parents will pay.
But college is 100's of times more expensive than even just 20 years ago thanks to the governments guaranteeing of school loans. It's not a fair comparison.
@@johnmartin4641 I don’t think it’s my responsibility to fund their college and I don’t think it’s their responsibility to care for me when I’m elderly. I should be taking care of that myself…hmmm. So if I can’t pay for my kids college the best I can do is not be a financial burden to them when I’m old.
@@anthonywebster8638 i disagree, im an rn and the only way to get in my position is through education. And there are other ways to get it without being i debt.
College is not pointless. Pointless college is pointless. Like everything else in life, it needs to be done with a plan and a purpose. If you get a degree with no plan and it has no marketplace value then absolutely it's going to feel like a waste. But if you get a degree that sets you up for say applying to medical school, that's not useless. What happened was for many years, college degrees in and of themselves were generally pretty attractive. Just having the degree was seen as huge. That's no more. A bachelor's degree has become the new standard like a high school degree used to be. Nobody cares about having a bachelor's degree in and of itself. It's where it leads that matters
I agree with the husband. Parents don’t owe the kids higher education. Some people really can’t afford it but just feel like it’s their duty. If you are higher income than sure help them but if just average than no.
A parent’s job is to provide for their children. “My children didn’t choose to be born. I chose to have them. They owe me nothing. I owe them everything.”-Elon Musk. The husband better not be counting on the kids to take care of him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them.
Here are a couple of options to a 4-year degree. I worked stocking shelves at Meijer. I got an Anti-Money Laundering Certificate from ACAMS (only $1500) and got a job with a bank starting at $55k/yr. There are 6-month cybersecurity programs (I know Ohio State has one) where one can get a cybersecurity certificate and the bank I work for, starts cybersecurity people at $118k/yr. They need cybersecurity people so badly they give a $2k bonus to anyone who recommends one and gets hired.
A better solution here is to divide between a UTMA and a 529. If you have equal amounts, and equal growth in yhe two accounts, and your child decides not to go to college, or any kind of other education, or they get scholarships and grants to cover it, when you cash out those accounts, the UTMA will provide more money, because the 529 is subject to a penalty. The UTMA can be cashed out, annuity style, and you will only be paying taxes, at the childs rate, on what they are taking annually in growth.
Plumbers AC techs. Electricians. Carpenters. Truckers Etc. No degree required. Some make over 200k a year. Sick of everyone saying go to school. Not everyone needs a degree. If everyone had a degree your lawn guy would be charging you 150 every visit. The sanitation person would be charging 100 a month. Stop proclaiming that everyone needs a degree! I only have an AA. Zero loans back then. I’ve done well. Better than most of my classmates. A degree is great. But it’s not necessary.
Trades aren’t always a “forever” job though, as the physical demands of the job may not be something someone can handle once in their 40s, 50s, 60s, etc. I work at a trauma hospital and every day see work accidents - men falling off ladders, roofs, scaffolding; getting major injuries from nail guns, saws, forklifts, etc. Sometimes it’s safer and better in the long-run to have a college degree and job that is less physically risky.
Sounds like daddy doesn’t want to save for his children. America is a very self centric country. If they don’t go to college they don’t go. Save a little something to gift to them when they graduate though at least.
Lol my parents were like “here’s one semester of community college and you’re on your own!” Ok, so I joined the Army in 1998 and it made me grow up for starters and realize I’m not a princess like I thought!
It's nice if parents pay for their kids college education, but I do not believe they are required to do so. Parents do not owe their children a college education.
I imagine when you put your money into a special college savings account (529), then your money can only be used with certain state-recognized schools. What if you don't want to put your kid into a state propaganda mill?
Some professions require a four-year degrees: engineer, physicist, physician, scientist, mathematician, all very necessary professions that lead our society. Not everyone wants to go to college but some do and have no support to pay for it. Any child whose parents have a college fund For them are extremely fortunate. I hope that this situation is not that the husband simply does not want to pay for three Children’s college fees, tuition, books, lodging, food etc.
It’s “Don’t throw the baby out WITH the bath water.” How could you never have heard that old expression? I’m telling you, this is why Americans are growing up without any common sense.
I don't think it's fully true that you can take out cost basis from a 529 the same way you can from a Roth IRA. 529 withdrawals are always taken where the amount is divided between the cost basis and gains, which means even if you have more cost basis than you are withdrawing, you are still taking out a portion of gains, which applies the penalties and taxes.
I opened 529 for my daughter when she turned 1. I thought I did good. My friend got 529 opened when he found out his wife was pregnant. He did better. Then I met someone at work, who opened 529 when they got married - even before having a kid!!! Damn it. I didn't know you can open 529 under your name, then transfer it to your kids name later.
The number one priority is having enough money to pay for the roof over your head and food on the table. Next is save for retirement and medical savings. Keeping debt free is also important. Saving for your kid's college is at the bottom of the list if you have any money left.
First generation bachelor's degree graduate in 2007 at 37 years old. My mom helped pay for my first semester at 18 y/o, took out debt. Never again. I'd rather give him cash after raising him to be financially responsible. At $50/month, in a 0% savings acct, from birth to 18, he'd receive more than 10K to start off with. More than I had and more than my debt that my mom paid off.
yeah, just send your kids out thinking their only option is to go into massive debt. And guess what, if they don't go to college then its just extra savings.
The role depends on the parent's choice to pay or not pay for college education. The problem is broke parents forcing their children into college and haven't saved a dime to pay for it.
@@emanmar70072 exactly! Although education is very helpful to get a job, if you can’t afford it do t send your kid to a 4 year school and go into debt, be smart about it!
If you as a parent with a boomer mentality are going to demand your children go to university, then yes it is the parent's role to save for it. It's also a parent's role to set their children up to do better than they did themselves. Another lesson lost on the boomer generation and their spawn.
I see there is a lot of comments about community college as "safe heaven" in terms of financial side of the story. Please be aware that nowdays community college still racks up into siginificant number. In our area it is 8-10K per year(so just a little bit cheaper than regular public uni).
TRS-Highlights, I've seen this on a few videos. When you using the possessive in plural form, the apostrophe comes after the "s." So it should be " kids' " college.
16 years old can have a bank account without a custodian. Dave is wrong again. 3:57. My son is 15 and has a checking account in his name only. There is NO custodian.
Yes, it is a parent’s responsibility. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. Don’t count on your kids helping you if you refuse to help them, because it’s likely not going to happen. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
Honestly as a foreigner looking into US families feels like you are all stock with your kids (its like you dont want them) and educations and stuff ... forcing kids to leave the house at 18 going into millions of debt to study man its scary to be you. i understand about feeling to leave the nest but if your kid is working and have a job letting them to live with you allows them to save more money and build a better future for themselves idk maybe i got it all wrong.
No brother you have it right, these idiots willingly allow their kids to go into lower paying fields or take on massive debt then throw them out into the world with that poor financial situation. No wonder foreigners through out all metrics crush Americans when it comes to income and success in this country.
This college savings is like a 401k or retirement. Pay 15% on my own money! That's the stupidest thing I ever went through... I thankfully was able to retire early and pulled out my retirement paying the 10% plus taxes... what a waste! If I was a little bit smarter back then, I would've NEVER gotten it! I know how to manage my own money thank you very much! I would save up money on the side in any form with No penalties and later on decide whether it will be for college (highly doubt it as it's a waste of time) or help them another way...possibly start their own business or teach them how to invest! Binding yourself to these scams are STuPID! I like Dave's advice on getting out of debt, but in investment I'll take a hard PASS!
what is the valid argument for higher ed Dave?, going to be no point as colleges are a waste as you can get the same education online or buying books at amazon
If you can afford to help your child why wouldn’t you? All these people who say they would throw their kid out at 18-what’s wrong with you? I 100% agree that a lot of college degrees are useless and that could be a term for you paying for it-but the idea that you would send your child into the world with nothing is just plain wrong to me
Because it’s what any decent parent would do for their children. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
Because he's rich bro he sees everything different cause he can pay .now I agree 💯 wt u I didn't even haveparents and I'm ok .bro I worked wt guys that went to college and had no clue what to do out in the real world true story had them asking me what's a 45degree drop .I don't even have a high school degree haha 🤣
I agree with the husband. Who knows what these kids are going to want when/ if they graduate high school. Los Angeles is horribly expensive.. only the rich can afford college. Most people are barely scraping by.
I understand why Dave is proud of his and his family's four year degrees but neither I, my wife, or my two sons have four year degrees. We have two year degrees. We're all doing great and would be less wealthy, not more, if we had four year degrees because it's not the degree that increased our incomes. It was the value we brought to our work.
Until a better job position opens with 1.5% raise for but only if you have a better education. Believe it or not the other 2 years that you go for the 4 year degree, usually teaches you new stuff, sometimes more advanced stuff... but hey your 2 year degree is still worth a little.youre Just the very basic hire until they find someone more qualified.
@@anthonywebster8638 Good for you. You are in the top one percentile for High School grads. Are you willing to make that same bet for your kids when you could so easily secure a future for them?
@@spankynater4242 If you're going to do neither, maybe don't have kids. I get it, you don't have to do anything for them after they turn 18, but then why have them if you're not going to do what they need you to do to set them up for a good life? That said, college doesn't have to be the way you set them up for a good life.
@@steveneptun7580 your job is to teach them to be independent. Not to string them along and keep them needing more and more and more. If you can’t teach your children to stand on their own, then you failed as a parent.
So what would be wrong with putting it in an etf or a mutual fund and calling it a college fund? If anything you would have more flexibility on how to gift it to them if they don't go to college, seems to me like less of a pain in the balls if they decide to go another route idk 🤷🏻♂️
@John Lopez All this talk about mutual funds rofl. If 10 people choose mutual funds, 9/10 of those people will underperform their relative benchmarks over time. The science has been settled. Stop talking junk.
Who is this new girl? I swear they go through hosts faster than I went through girls in college 😂 speaking of college, college isn't for everyone and you can have a perfectly nice life for you and your family without it.
...Because most of us can't be celebrities or athletes, so we need to get a degree in order to be qualified for many of the high paying jobs out there.
@@MissTXTee Who told you that? Your public school. Unless you're trying to be a doctor, lawyer, or anything in STEM, college is a complete waste of time, money, and resources. You're better off getting into an apprenticeship through Praxis.
@@ChoKeller if you add teachers, supply chain management, finance, architecture, urban planning, we’re talking about 10-20 million jobs right there that necessitate a college education
To me, it is crazy to save in a 529 plan. When applying for aid, loans, scholarships, etc. the money in the kid's name is the first to contribute to his/her education. Assets in parents name are taken at a lesser percentage. If the parents buy something like a Berkshire that does not pay a dividend, the money will grow tax free. Also, many funds pay a small dividend so the taxes are pretty tiny.
If you save enough for them to go to school by taking advantage of tax-free growth in a 529, you don’t need aid, loans, etc. The point is to avoid debt, not hide money.
Set up an ESA and put 2k/year in there. That should be a bare minimum. Above that, set up a 529. The cool thing is anyone can add to 529s, such as grandparents. Another option is US I-bonds, which currently pay 9.62%, with a max of 10k/year. If you exchange these and use the interest for school then it's not taxed. Not sure if they have to be in the student's name or not, though.
If you have kids and cant afford them some degree then you shouldn't have had them, it was your choice to have them, yes college isn't necessary but not everyone is Bill Gates and Zuck, its the "safe" route most people , just don't get a stupid degree.
Lol why cuz your parents didn’t pay for yours? Letting your kids have a head start to life is one of the best things you can do. Paying for education is never a bad thing, now if they bought them designer clothes every year that teaches your kid nothing, but education is important and this gives them a huge headstart and options.
@Tankkizzle if they have the means they should. If you want generational wealth, small things like education are the best thing to get started on it! Obviously if a kid wants to go to Harvard for no other reason than it’s Harvard, that’s drawing the line (although in some fields a well connected school can get you much further in life so you have to weigh up the potential if you are able to afford that) but to be in a position to pay for your child’s further education is an incredible thing. If a family is still in debt and have a mortgage to pay, then their kids should be paying for themselves. My education was fully paid for, now instead of money going to debt, now at the age of 24 I have a 250k+ net worth as all my money (not used for day to day life) is invested.
Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay. They give the kids less money because they assume the parents will do their jobs and pay.
@@donaldlyons17 any system that has ever been implemented in our history only rewards wealth or those with incredible skill, that’s why giving your kids a leg up into education is great, and also allows people who have skill and brains to be able to get scholarships when they ACTUALLY need them because their parents cannot help them at all. All these parents who are comfortable and could help, take away from the families who can’t and therefor steal someone else’s chance of education.
Hilarious!!! Dave Ramsey is endorsing College... sent his children to college as a requirement... makes me wonder how good His Classes are 🤣🤣🤣 His children Work For Him!!! No college required! What a waste 🤦🏻♀️
Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
I used my Engineering degree to beat out other candidates, for a 48-month apprenticeship as a Power Station Electrician, union IBEW. All the apprentices had engineering degrees.
@@Austenfan177 I'm not sure what you're referring to. Most of the people I know (including myself) didn't have school paid for. College is an option and choice, there are plenty of other avenues. If a parent can pay...Great. When they can't afford it, then there are alternatives. Financial help is great but at the end of the day keep it realistic within your situation. I know lots of people with degrees that don't use them and plenty tradesmen jobs where they make great money. I never said anything about kicking anyone out at 18 so I'm not sure where you got that. There's a difference between helping within reasonable logic and feeling obligated to foot the bill on all your kids choices.
Yes, it is a parent’s responsibility. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
@@dillonmccann8072 Now with income that may be true depending of whether or not the go to school inside their home country but as far as I know the schools with billion dollar endowments don't count saving.
If you live in an area where your kids can do two years at the community college and two at a state public university, they can work to help pay for it. You can get it done for $25-30k and not throw away thousands of dollars. It's ok to let them live at home while they complete their college education.
You say it’s ok to let your kids live at home. Not when your parents kick you out when you turn 18
That’s what we are doing.
I did this and paid $15k, now I make 120k right out of college
@@edgarc407 way to go
Yes! My husband did this. I moved home after college to live with my mom, a single parent - got a full time job & part time job, and paid VERY reduced expenses! Forever thankful to my mom for giving me that opportunity!!
Most of those colleges should go out of business
I will do anything to give my kids a better life than I had! If you can help your kids, help them. It doesn’t mean your kids are lazy or ungrateful.
Put a “college” fund ready for your kids and if they don’t go to a 4 year university, gift it to them in one way or another or put it to retirement.
Exactly
That’s basically an UTMA, and what I have for my kids. Your kids only pay taxes on it based on their bracket, which as a 21yr old, will be basically no taxes. Dave doesn’t like UTMAs because they have no strings attached.
This stuff isn’t hard, the education system has just failed us when it comes to finances
@@zoeyredmond5501 at a certain point this isn’t even financial education but basic common sense.
My nephew got a full-ride scholarship and expects his kids to do the same, but we’re not all alike. How can anyone guarantee that their children will qualify for a scholarship-especially full-ride? It certainly doesn’t hurt to set money aside for their education.
I had no help from my parents for college. I worked through school and was a resident assistant to get free housing and still graduated with $40k in student loan debt. I went to school for engineering so I landed a job making $75k right after graduating and paid off my debt in little over a year. Now I'm about to turn 30 and already have $700k net worth. Plan to retire in my 40s. It's that simple
You should already know that for many it is not that simple? In your town where do the fast food managers and bus drivers come from?
How did you pay off $40K in one year making $75K? I would assume you brought home $55K. So, you lived off of $15K that year? Did you live at home or something??
@@MissTXTee It was a little over a year, about 15 months. I kept my expenses very low. I had a roommate and was paying only $600/month in rent. I was throwing thousands at the debt each month.
Wow good for you! Congrats
And awesome job by the way. Nice to see a fellow young person crushing it instead of whining and parasiting.
I think that, when you don’t want to save for a better future for your kids, you’d better ensure you’ve saved for your own, because you won’t be their problem, when you get old.
Wise advice.
Lol! Ok! 🙄 what about people like me who did by all standards try to do what was “right,” but found college to be a complete RIP OFF and I’m STILL paying for a worthless degree that should have been paid for because I was in the military during 9/11 and then served during a war in which Bush CUT THE COLLEGE FUND for soldiers like me who re-enlisted specifically to get this benefit and after having to drop out of school in the middle of the semester because I was deployed I was stuck holding the bill after serving my country and being denied the very benefits that are used as the carrot on the stick!? Comments like yours are extremely short sighted and you act like everyone is the same lol! Ok! Good luck when you get old with such gross ignorance. Seriously! 🤦🏼♀️
To be honest college is over rated so you cannot attribute a successful future to saving for their college. There is no guarantee of a successful future because of some paper
Funding their child's future unfortunately can leave parents unable to adequately fund their own when they get old, leaving said child guilt ridden yet resentful at the same time when a debilitating illness drains the parents of their savings.
Having a mother with Alzheimer's who went far beyond the call of duty for me and my siblings, I speak from experience.
@@abrahamflores2566 understood. But, I’m talking about parents who have a general disinterest in their children’s future. There are parents that leave their children to simply finding their own way, with no guidance whatsoever. Some of those parents may do so because, as DR has had as subject before, they see their children as merely an extension of themselves, rather than an individual that needs to thrive on their own.
529 has restrictions on investment. I would rather put in regular investment account then use that money however you want to spent on it. I get that it does have tax benefits, but I would rather have more control on your money then less.
Thank you
College is not what it was and its only worth something if you go for a very specific field and have a backup plan in case it doesnt work out
I had to pay for 100% of my college as my parents didn't have the money to help me. I think it did keep me grounded in reality that I needed to choose a less expensive college and get a degree that would pay me well. When I have kids, I intend to help with maybe half of their tuition/books/fees but NOT housing. I have found housing/meals tend to be the most expensive part of college and it's only purpose is to have "the college experience".
I feel like parents should pay for college if they can afford to. If it jeopardizes their retirement or home, they should not do it.
Most parents don’t do it because it jeopardizes their ability to buy “stuff” not their retirement.
@@edhcb9359 true. I know a few families with no money for kids’ college. One bought a new house they didn’t need, amazing backyard, luxury suv. The other just bought themselves a brand new suv as well but I guarantee when they kids turn 18: “sorry, we couldn’t afford to help you!”
@@patty109109 which is why they end up working in a fastfood, getting knocked up in an early age and debt.
Parents paying for college is a privilege not a right. If y'all can't afford to save for college and need to use it for retirement, raise them to work hard for what they want to do for school in the future.
I dropped out of college because the tuition and rent at Berkeley was too much. I still ended up with a job that paid a six figure income. I wanted to be able to allow my children the option to attend college without having to worry about the cost. I put enough away to pay for both of their educations. I was fortunate that my daughter received a scholarship that covered tuition and provided a generous stipend.
College is worthless a LOT of the time now! I have an expensive degree I’m still paying for even though I was deployed in the army and finished it online while literally serving in a war! But I should still pay for it.. fine… I do… but I’m so sick of the mindset that you absolutely have to go to college to be successful! Actually, most of the really highly successful people are college dropouts!
Its not college. But getting knowledge and certifications is absolutely necessary
Degree in what?
@@javierhuizar4207 This is the main question
Are you single?
You found out the hard way that the system doesn't love you.
Saving for your kids college is nice, but I don't think it should be an absolute requirement.
Save like 15k and make them pay their way?
Agree
AMEN!!! Wanna go to college? Join the military. Parents shouldn’t take on this burden.
They work like me during school and everybody else
College is an investment you make in yourself, not a right.
For many years, a high school degree was seen as the standard in a bachelor's degree in and of itself was seen as impressive. However the bachelor's degree has now become the "standard".
So having a bachelor's degree no longer impresses anybody.
People are slowly figuring this out.
The bachelor's degree itself doesn't help. It's what the bachelor's degree teaches you and where it sends you.
If the bachelor's degree gives you skills that are applicable in the marketplace and create a good return on investment than it's worth it. If the bachelor's degree gives you the skills and prerequisites needed for medical school then it matters.
But just going getting a random bachelor's degree in communications because you don't know what you want to do is stupid.
College is not pointless but college can be pointless if you don't plan it with purpose
I think often the case is that young people going into college don't necessarily have plans. Many still don't even know what it is that interests them, and (at least at my high school), they didn't really have us considering our future that way. I, personally, have an English Literature BA and French minor. Has the degree helped me in most of my career choice? Maybe a little bit. But now I teach skateboarding and actually make decent money! I wouldn't have thought I was going to be doing this to have income even after I graduated... But now that I have the language background and the teaching experience through skate lessons, in the future I could become a teacher. Point is that college can look pointless in regards to setting up your career, but it can help you be creative and think for yourself, and keep yourself on a plan should you need one in the future.
I agree with you
I went to college right after high school I got my bachelors in psychology.
I have no job but thanks GOD I don’t have any loans
Life isn't all about money. Calling higher education a waste is like saying you should eat beans and rice your whole life.
@@matthewmchenry9331 You're arguing against things nobody said. Nobody said that life is all about money and nobody said that higher education is a waste.
But regardless of your interests, spending multiple hundreds of thousands of dollars in debt on a degree where you can only make 50k a year and can't advance is highly unwise.
And thats a constant occurrence in our education system.
Every year there's tons of people graduating who could make similar money working full-time at Costco, yet they have 200k in debt. That's what we're talking about
@@random-nz7dy again, making it all about money.
Right wrong or indifferent I don’t want to fund college for my children. My parents paid for the majority of my college education and I completely squandered it and felt as though I appreciated it at the time but looking back I know that I didn’t. My plan for my kids is to let them pay their own way through school or whatever they choose to do then when they are 26-30 and have become responsible contributing members of society my wife and I will sit them down and explain why we did what we did and hand them each a check for 30k-50k. Maybe they can cut their mortgage in half or buy a new car or invest it or whatever they choose to do. I feel like if my parents had done this for me I would’ve utilized those funds in a much more productive way and would have a real sense of appreciation for it.
Excellent plan
Yup. Love and respect are different things. Love 'em always. Respect 'em when they earn it.
House is a better idea. I like that.
Hope it works pout for the kid. Overall, I think it is a bad idea. If the kids are responsible and mature to take on the responsibilities of college at 17 or 18 I would say fund them as much as you can. I told my kids I prefer them studying making good grades than working. Good grades equate to scholarships. Scholarship money is way more than working for money.
Now, if the kids are not mature and not ready for college or any type of education then it is better to hold on to the money.
I offered to let mine live at home rent free including utilities and standard food free as long as they were attending college full time or attending college part time and working part time. They can even return and take me up on it if they are still single.
Kids today are so spoiled. My parents said when you 18 your out and good luck. 👍 No help for college. So I joined the military and went to college.
Yup same here! Best thing I ever did in 1998
@@JKBelle Class of 2007 over here lol We both Ancient 😂 98 was a good year though.
No you're still young. Class of 83
My parents told me I could stay at home if I went to college. I got a job instead and was out of the house at 19.
And when they’re 80 and in need of assistance make sure you tell them the same thing…….👍
College is a ripoff. Tell the kid to get a scholarship if he/she wants to go to college.
It’s only a rip off if you major in something useless like German Polka History. I went to college, which was required for my job, and I did very well and made several times what the cost of college is today every year (except very early on in my career because I was young and inexperienced) and retired in my 50s.
Dumbing down of America
I want to save for my kids' college so they can go to college to be a sociologist if they want. If that's their passion and aptitude (and they can get paid enough to be satisfied with their life), then that's what I want them to do. That said, I will tell my kids that I don't want them to get a college degree to be a cashier, nor do I want them to fail out of college. College is an investment, but the returns don't have to be monetary.
@NomadBachelor You missed the part where I said "but the returns don't have to be monetary."
I don’t have kids but it’s not a parent’s responsibility to pay for college. My parents didn’t pay for my tuition and grew up fine . Home paid off , no debt owed .
Yes, it is a parent’s responsibility. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. The amount of aid they get is also dependent on the parent’s income because it is assumed that the parents will pay.
But college is 100's of times more expensive than even just 20 years ago thanks to the governments guaranteeing of school loans. It's not a fair comparison.
@@johnmartin4641 You said it brother!
@@johnmartin4641 I don’t think it’s my responsibility to fund their college and I don’t think it’s their responsibility to care for me when I’m elderly. I should be taking care of that myself…hmmm. So if I can’t pay for my kids college the best I can do is not be a financial burden to them when I’m old.
He sounds like a very smart man. College is pointless these days.
College is pointless if you get a pointless degree that doesn’t result in a job. If you get a degree for a specific job, it’s not pointless.
Indeed!
@@kellywaddell4448 it's pointless, regardless of the degree.
@@anthonywebster8638 i disagree, im an rn and the only way to get in my position is through education. And there are other ways to get it without being i debt.
College is not pointless. Pointless college is pointless.
Like everything else in life, it needs to be done with a plan and a purpose. If you get a degree with no plan and it has no marketplace value then absolutely it's going to feel like a waste. But if you get a degree that sets you up for say applying to medical school, that's not useless.
What happened was for many years, college degrees in and of themselves were generally pretty attractive. Just having the degree was seen as huge.
That's no more. A bachelor's degree has become the new standard like a high school degree used to be. Nobody cares about having a bachelor's degree in and of itself. It's where it leads that matters
I wouldn't either, they can get a student loan pretty cheap, help them with food, gas, and car insurance.
Never thought this would become the new Jerry springer. Hilarious and I love it!
I agree with the husband. Parents don’t owe the kids higher education. Some people really can’t afford it but just feel like it’s their duty. If you are higher income than sure help them but if just average than no.
If you can afford it, you owe them. It should be funded 100% by the taxpayer. It’s your mindset that has caused US to become such a mess.
@@millsathn It seems like you don’t know what “owe” means.
To much “stuff” to buy yourself instead of helping your kids…right?🤷🏻♂️
@@millsathn If college and higher education is optional that why should taxpayers fund it and not people just take out loans for it?
A parent’s job is to provide for their children. “My children didn’t choose to be born. I chose to have them. They owe me nothing. I owe them everything.”-Elon Musk. The husband better not be counting on the kids to take care of him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them.
Gotta build it into regular conversations so it doesn't come across as an option when it's time
Here are a couple of options to a 4-year degree. I worked stocking shelves at Meijer. I got an Anti-Money Laundering Certificate from ACAMS (only $1500) and got a job with a bank starting at $55k/yr. There are 6-month cybersecurity programs (I know Ohio State has one) where one can get a cybersecurity certificate and the bank I work for, starts cybersecurity people at $118k/yr. They need cybersecurity people so badly they give a $2k bonus to anyone who recommends one and gets hired.
A better solution here is to divide between a UTMA and a 529. If you have equal amounts, and equal growth in yhe two accounts, and your child decides not to go to college, or any kind of other education, or they get scholarships and grants to cover it, when you cash out those accounts, the UTMA will provide more money, because the 529 is subject to a penalty. The UTMA can be cashed out, annuity style, and you will only be paying taxes, at the childs rate, on what they are taking annually in growth.
Plumbers AC techs. Electricians. Carpenters. Truckers Etc. No degree required. Some make over 200k a year. Sick of everyone saying go to school. Not everyone needs a degree. If everyone had a degree your lawn guy would be charging you 150 every visit. The sanitation person would be charging 100 a month. Stop proclaiming that everyone needs a degree! I only have an AA. Zero loans back then. I’ve done well. Better than most of my classmates. A degree is great. But it’s not necessary.
I’m one of those “dumb” truckers making about 140k on a 5k trucking school certificate.
@@truckingmoney485 thank you. It’s a scary job. I appreciate all you do. I couldn’t do it! ❤️
Trades aren’t always a “forever” job though, as the physical demands of the job may not be something someone can handle once in their 40s, 50s, 60s, etc. I work at a trauma hospital and every day see work accidents - men falling off ladders, roofs, scaffolding; getting major injuries from nail guns, saws, forklifts, etc. Sometimes it’s safer and better in the long-run to have a college degree and job that is less physically risky.
These jobs are very laborious. Not everyone is meant to do hard manual labor for 40 years. We need doctors. We need lawyers. We need teachers.
Facts
Sounds like daddy doesn’t want to save for his children. America is a very self centric country. If they don’t go to college they don’t go. Save a little something to gift to them when they graduate though at least.
We shouldn’t have to pay for their college, it should be on them .
Lol my parents were like “here’s one semester of community college and you’re on your own!” Ok, so I joined the Army in 1998 and it made me grow up for starters and realize I’m not a princess like I thought!
@@isaacpoling9200 ignorant comment
We lost half the value of our 529 plan in the early 2000 crash. Right when all three kids were getting ready to go to college. Was an absolute fiasco.
The principle is right, invest in your children.
It's nice if parents pay for their kids college education, but I do not believe they are required to do so. Parents do not owe their children a college education.
I don’t blame him. Let them figure it out. I suggest they become electricians.
Or coders!
They can go to Job Core for FREE!
@@JKBelle I forgot about Job Core! Thank you for stating this.
Ok. I suggest they become engineers.
@@JKBelle Corps
Trade schools are the way to go!
I imagine when you put your money into a special college savings account (529), then your money can only be used with certain state-recognized schools. What if you don't want to put your kid into a state propaganda mill?
Some professions require a four-year degrees: engineer, physicist, physician, scientist, mathematician, all very necessary professions that lead our society. Not everyone wants to go to college but some do and have no support to pay for it. Any child whose parents have a college fund For them are extremely fortunate. I hope that this situation is not that the husband simply does not want to pay for three Children’s college fees, tuition, books, lodging, food etc.
“Don’t throw the baby out of the bath water”. Lol. I have never heard that saying until now. It makes sense.
It’s “Don’t throw the baby out WITH the bath water.” How could you never have heard that old expression? I’m telling you, this is why Americans are growing up without any common sense.
I don’t think it’s a parent’s responsibility to pay for their kids college. If the parent wants to then fine but they should not feel obligated.
I don't think it's fully true that you can take out cost basis from a 529 the same way you can from a Roth IRA. 529 withdrawals are always taken where the amount is divided between the cost basis and gains, which means even if you have more cost basis than you are withdrawing, you are still taking out a portion of gains, which applies the penalties and taxes.
Smart man
I opened 529 for my daughter when she turned 1. I thought I did good.
My friend got 529 opened when he found out his wife was pregnant. He did better.
Then I met someone at work, who opened 529 when they got married - even before having a kid!!! Damn it.
I didn't know you can open 529 under your name, then transfer it to your kids name later.
The number one priority is having enough money to pay for the roof over your head and food on the table. Next is save for retirement and medical savings. Keeping debt free is also important. Saving for your kid's college is at the bottom of the list if you have any money left.
Agree
Agreed
First generation bachelor's degree graduate in 2007 at 37 years old. My mom helped pay for my first semester at 18 y/o, took out debt. Never again. I'd rather give him cash after raising him to be financially responsible. At $50/month, in a 0% savings acct, from birth to 18, he'd receive more than 10K to start off with. More than I had and more than my debt that my mom paid off.
Wouldn't this be a good opportunity to explain investments? As parents, we support, but can we take an investor role in their lives also?
I've given a lot of people the idea of just looking up the textbooks that a classes for say a business degree would take, and just study on their own.
They can go into military or get loan and repay it 😊😊😊Must know how to survive on their own ❤️❤️❤️
I don't blame him. It's not the parents role to save for college. On top of that college isn't for everyone.
yeah, just send your kids out thinking their only option is to go into massive debt. And guess what, if they don't go to college then its just extra savings.
Exactly
The role depends on the parent's choice to pay or not pay for college education. The problem is broke parents forcing their children into college and haven't saved a dime to pay for it.
@@emanmar70072 exactly! Although education is very helpful to get a job, if you can’t afford it do t send your kid to a 4 year school and go into debt, be smart about it!
If you as a parent with a boomer mentality are going to demand your children go to university, then yes it is the parent's role to save for it. It's also a parent's role to set their children up to do better than they did themselves. Another lesson lost on the boomer generation and their spawn.
I see there is a lot of comments about community college as "safe heaven" in terms of financial side of the story. Please be aware that nowdays community college still racks up into siginificant number. In our area it is 8-10K per year(so just a little bit cheaper than regular public uni).
George is lookin' amazing.
Thanks
@@georgewagner7787 🤣
He now goes by Georgette.
TRS-Highlights, I've seen this on a few videos. When you using the possessive in plural form, the apostrophe comes after the "s." So it should be " kids' " college.
My only daughter decided to joing the marines to become a veterinarian,im off with putting my self in deb to paid for her college education..😇
16 years old can have a bank account without a custodian. Dave is wrong again. 3:57.
My son is 15 and has a checking account in his name only. There is NO custodian.
You can now roll unused 529 funds into an IRA as well, I believe up to $35k once.
This was very informative
why not just open a brokerage for your kids instead so you don't limit them just to college.
Tax free growth
We shouldn’t have to pay for our kids college !
Exactly
Agreed! I joined the army because my very financially responsible parents just couldn’t pay for it!
@@JKBelle So you think the army is ok but a gang is not even though both can offer fianacial support?
You don’t have to, but if you can, you should.
Yes, it is a parent’s responsibility. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. Don’t count on your kids helping you if you refuse to help them, because it’s likely not going to happen. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
Degrees are over rated.
Honestly as a foreigner looking into US families feels like you are all stock with your kids (its like you dont want them) and educations and stuff ... forcing kids to leave the house at 18 going into millions of debt to study man its scary to be you. i understand about feeling to leave the nest but if your kid is working and have a job letting them to live with you allows them to save more money and build a better future for themselves idk maybe i got it all wrong.
💯
No brother you have it right, these idiots willingly allow their kids to go into lower paying fields or take on massive debt then throw them out into the world with that poor financial situation. No wonder foreigners through out all metrics crush Americans when it comes to income and success in this country.
Sounds like your husband is a smart man, because college is a joke.
The parents are just plain clueless.
Big mistake. The road you're on will lead to student loans. Go start a 529 now!
Kids working and going to school is possible you know.
This college savings is like a 401k or retirement.
Pay 15% on my own money!
That's the stupidest thing I ever went through...
I thankfully was able to retire early and pulled out my retirement paying the 10% plus taxes... what a waste! If I was a little bit smarter back then, I would've NEVER gotten it!
I know how to manage my own money thank you very much!
I would save up money on the side in any form with No penalties and later on decide whether it will be for college (highly doubt it as it's a waste of time) or help them another way...possibly start their own business or teach them how to invest!
Binding yourself to these scams are STuPID!
I like Dave's advice on getting out of debt, but in investment I'll take a hard PASS!
You really managed to pack a lot of ignorance into one comment.
@@superblump87 and yet I was able to retire early...🤔 sure! 🤣
Sounds like Dad doesn't want to pay for the children's college education I don't blame him
what is the valid argument for higher ed Dave?, going to be no point as colleges are a waste as you can get the same education online or buying books at amazon
If you can afford to help your child why wouldn’t you? All these people who say they would throw their kid out at 18-what’s wrong with you? I 100% agree that a lot of college degrees are useless and that could be a term for you paying for it-but the idea that you would send your child into the world with nothing is just plain wrong to me
Great info
I seriously don’t understand why he has this as a mandatory baby step. Like this should not be a thing.
Because it’s what any decent parent would do for their children. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
Because he's rich bro he sees everything different cause he can pay .now I agree 💯 wt u I didn't even haveparents and I'm ok .bro I worked wt guys that went to college and had no clue what to do out in the real world true story had them asking me what's a 45degree drop .I don't even have a high school degree haha 🤣
I agree with the husband. Who knows what these kids are going to want when/ if they graduate high school. Los Angeles is horribly expensive.. only the rich can afford college. Most people are barely scraping by.
I understand why Dave is proud of his and his family's four year degrees but neither I, my wife, or my two sons have four year degrees. We have two year degrees. We're all doing great and would be less wealthy, not more, if we had four year degrees because it's not the degree that increased our incomes. It was the value we brought to our work.
Until a better job position opens with 1.5% raise for but only if you have a better education. Believe it or not the other 2 years that you go for the 4 year degree, usually teaches you new stuff, sometimes more advanced stuff... but hey your 2 year degree is still worth a little.youre Just the very basic hire until they find someone more qualified.
Dad is smart, he wants his kids to become social media superstars/ CZcams, Instagram, Tiktok, 😌
That will happen. 🤣🤣🤣
Wouldnt it be better to simply put the money in your roth ira and use that for your kids college? Is it more flexible?
Help your kids with college, or help them the rest of their lives. Your choice people.
College is a horrible investment. I dropped out of high school and make 200k a year.
@@anthonywebster8638 Good for you. You are in the top one percentile for High School grads. Are you willing to make that same bet for your kids when you could so easily secure a future for them?
Or do neither, your choice people.
@@spankynater4242 If you're going to do neither, maybe don't have kids. I get it, you don't have to do anything for them after they turn 18, but then why have them if you're not going to do what they need you to do to set them up for a good life? That said, college doesn't have to be the way you set them up for a good life.
@@steveneptun7580 your job is to teach them to be independent. Not to string them along and keep them needing more and more and more. If you can’t teach your children to stand on their own, then you failed as a parent.
So what would be wrong with putting it in an etf or a mutual fund and calling it a college fund? If anything you would have more flexibility on how to gift it to them if they don't go to college, seems to me like less of a pain in the balls if they decide to go another route idk 🤷🏻♂️
@John Lopez All this talk about mutual funds rofl. If 10 people choose mutual funds, 9/10 of those people will underperform their relative benchmarks over time. The science has been settled. Stop talking junk.
Who is this new girl? I swear they go through hosts faster than I went through girls in college 😂 speaking of college, college isn't for everyone and you can have a perfectly nice life for you and your family without it.
You must be new here if you don't know who she is.
@@todd2456 nah. Just don't watch that much anymore.
Why would anyone waste money on college?
...Because most of us can't be celebrities or athletes, so we need to get a degree in order to be qualified for many of the high paying jobs out there.
@@MissTXTee Who told you that? Your public school. Unless you're trying to be a doctor, lawyer, or anything in STEM, college is a complete waste of time, money, and resources.
You're better off getting into an apprenticeship through Praxis.
Literally not true
@@dillonmccann8072 Sure is.
@@ChoKeller if you add teachers, supply chain management, finance, architecture, urban planning, we’re talking about 10-20 million jobs right there that necessitate a college education
Can you tranfer UTMA funds to a 529 college fund
To me, it is crazy to save in a 529 plan. When applying for aid, loans, scholarships, etc. the money in the kid's name is the first to contribute to his/her education.
Assets in parents name are taken at a lesser percentage. If the parents buy something like a Berkshire that does not pay a dividend, the money will grow tax free. Also, many funds pay a small dividend so the taxes are pretty tiny.
If you save enough for them to go to school by taking advantage of tax-free growth in a 529, you don’t need aid, loans, etc. The point is to avoid debt, not hide money.
Off topic I know, but Christina, you're so pretty!
Has this lady never heard of Google?
Set up an ESA and put 2k/year in there. That should be a bare minimum. Above that, set up a 529. The cool thing is anyone can add to 529s, such as grandparents. Another option is US I-bonds, which currently pay 9.62%, with a max of 10k/year. If you exchange these and use the interest for school then it's not taxed. Not sure if they have to be in the student's name or not, though.
If you have kids and cant afford them some degree then you shouldn't have had them, it was your choice to have them, yes college isn't necessary but not everyone is Bill Gates and Zuck, its the "safe" route most people , just don't get a stupid degree.
Kids should pay for their own college
Lol why cuz your parents didn’t pay for yours? Letting your kids have a head start to life is one of the best things you can do. Paying for education is never a bad thing, now if they bought them designer clothes every year that teaches your kid nothing, but education is important and this gives them a huge headstart and options.
@Tankkizzle if they have the means they should. If you want generational wealth, small things like education are the best thing to get started on it! Obviously if a kid wants to go to Harvard for no other reason than it’s Harvard, that’s drawing the line (although in some fields a well connected school can get you much further in life so you have to weigh up the potential if you are able to afford that) but to be in a position to pay for your child’s further education is an incredible thing. If a family is still in debt and have a mortgage to pay, then their kids should be paying for themselves.
My education was fully paid for, now instead of money going to debt, now at the age of 24 I have a 250k+ net worth as all my money (not used for day to day life) is invested.
@@guyrose2350 People like you understand that capitalism only rewards wealth so going what you can only makes sense.
Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay. They give the kids less money because they assume the parents will do their jobs and pay.
@@donaldlyons17 any system that has ever been implemented in our history only rewards wealth or those with incredible skill, that’s why giving your kids a leg up into education is great, and also allows people who have skill and brains to be able to get scholarships when they ACTUALLY need them because their parents cannot help them at all. All these parents who are comfortable and could help, take away from the families who can’t and therefor steal someone else’s chance of education.
Real men join the military and pay their own way!
Agree! 💪🇺🇸
😂
Who is the new Girl?
Kids under 18 can’t be under contract in America unless it’s marriage 🤔
Unless they have a co signer.
Hilarious!!!
Dave Ramsey is endorsing College... sent his children to college as a requirement... makes me wonder how good His Classes are 🤣🤣🤣 His children Work For Him!!!
No college required!
What a waste 🤦🏻♀️
Agreed!
@@truckingmoney485
Fellow Trucker here 😀
You know what I mean!
College taught his kids how to think critically and be successful. He wouldn't have hired them without a degree.
@@superblump87
That could be taught at home.
@@karmiek777 sure, but not to the same extent.
He just wants to just devour it like a fool
And what if they don’t end up going to college??????
Then you have a large amount of money to do whatever you want with.
save? no! you should invest for your kids.
Just divorce him and claim emotional abuse like 75% of all the other women in this country.
Open a UTMA account for them
I think parents should stop paying for their kids let them manage their own future
Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
He should invest in ear plugs. Her voice sounds terrible. Man up and tell your wife no. Tell her no.
The title of this video is not true.
Disagree with Dave’s logic on college. The future of wealthy American useful people is in the trades.
I used my Engineering degree to beat out other candidates,
for a 48-month apprenticeship as a Power Station Electrician, union IBEW.
All the apprentices had engineering degrees.
Sell the husband
😂 👏🏻
Sell the wife
Or they can start a business and start a minors ROTH IRA and it’s no penalty for using the money for education.
It isn't the responsibility of the parents to pay for college, especially if they are struggling financially.
@@Austenfan177 I'm not sure what you're referring to. Most of the people I know (including myself) didn't have school paid for. College is an option and choice, there are plenty of other avenues. If a parent can pay...Great. When they can't afford it, then there are alternatives. Financial help is great but at the end of the day keep it realistic within your situation. I know lots of people with degrees that don't use them and plenty tradesmen jobs where they make great money. I never said anything about kicking anyone out at 18 so I'm not sure where you got that. There's a difference between helping within reasonable logic and feeling obligated to foot the bill on all your kids choices.
Yes, it is a parent’s responsibility. Part of a parent’s job is to provide for their children. Us parents have about 19 years to work, get promotions and raises, save, and invest from the moment we find out we’re going to be parents until our kids go to college. Kids obviously don’t have that luxury. That’s why it’s not a big deal for us parents but it is extremely difficult for the kids. And I’m betting college was a lot cheaper when you went than it is today. If he doesn’t help them with college, they’re not going to help him when he’s elderly because they either won’t be able to afford to help him because of his selfishness and recklessness or they will refuse to help him because he refused to help them. And the aid they’re awarded is based on the parent’s income because it is assumed that the parents will pay.
Whats the Womens Name ?
Saving for your kids college is the worst thing parents could do. The more you save, the less scholarship university will give to you.
It’s not based off what u have saved
@@dillonmccann8072 Now with income that may be true depending of whether or not the go to school inside their home country but as far as I know the schools with billion dollar endowments don't count saving.
You could not be more WRONG sir!
“Congrats to everyone who is early and who found this comment” 🏆
No one cares