Layout:
Home > Saving for Tuition

Saving for Tuition

February 4th, 2016 at 05:03 pm

Tuition. I don't even know what to say. F's school raised the tuition again, and now it's $18950 (that includes the $250 fee to pay monthly instead of all at once; all at once? I can't imagine having the money to do that). It's her final year there, and then the tuition will be higher.

We were told not to bother applying for assistance this year, not because of our income, but because of the equity in our home. Don't get me started on that; are we supposed to take a loan out on our home to pay for school? I guess that's the implication. NOT doing that, obviously.

Next step is high school, and amazingly, it's not that much more. But we will have depleted some of our school savings this year. BUT, the plan is and always has been to pay off our mortgage to free up funds.

My mother said she wants to give us some money toward F's education each year from her social security (how wonderful is she?).

So...
2016/2017 school year: $18950 less gift from mom less $850 budgeted each month for tuition = drawing about $350/ month from school savings.

We have about $8000 in school savings, and that will deplete it by $4200.

2017/2018 school year: not sure about tuition, but probably around $23,000 less gift from mom less $850 budgeted for tuition each month = $650.

$4200 divided by $650 is about 6 months that we can go before we NEED to pay off the mortgage to free up the $650 for tuition that we are short.

The next year tuition may rise and we'll be short $750.

Paying off the mortgage frees up $1086 plus the $150 I budget for paying down the mortgage regularly plus about $400 income from our Dublin house. Plus gym money. We'll have $1700 extra every month - we can pay tuition and save more for retirement!

That's why paying off our mortgage is such a priority. Because the schools here are bad.

Thanks for letting me do all of my math here; it helps to see it laid out.

5 Responses to “Saving for Tuition”

  1. Kiki Says:
    1454606418

    WOW! What an amazing gift and good start for your daughter. I am glad it is such a good school and fit for her.

  2. creditcardfree Says:
    1454608429

    That is super! I can see why it works. At first I was thinking...why pay down if you have such a big bill to pay? But really you are able to do both!

  3. My English Castle Says:
    1454613285

    It's good to get the numbers out there, isn't it?

  4. LivingAlmostLarge Says:
    1454623140

    Impressive. How did you find the private school for your daughter and when did she start?

  5. Buendia Says:
    1454639496

    I do feel better getting the numbers down on paper! The tuition is our priority, and we really keep our other costs quite low.

    It became clear pretty early on (Kindergarten) that F would be better in a private school where she could build up confidence and be academically challenged. Our school system is pretty rough, and it's falling apart more.

    The school has been ideal for her, and she's been there since 1st grade! There are about 8 private elementary schools in our area, and while that's a lot for a city of 80,000 people, it still limits the choices. Each one was different. There are two montessori schools, one waldorf, a Catholic school, a very small alternative school, one that is very alternative. There were two schools that were traditional schools which stressed academics. The one we chose also has an emphasis on social-emotional learning (that's what they call soft skills or EQ or learning to work with others or conflict resolution) which was important to us. It also has the most resources in terms of facilities and programs (science lab, etc). And there is one class per grade instead of one for every two grades, so more choices in terms of friendships and other kids to be around. We have 150 kids from preschool through 6th; everyone knows everyone (parents and kids and teachers) and it's really a community.

    I love, love, love our school and am a little sad that next year is F's last year there. But we have about 8 private middle/high schools, too...

Leave a Reply

(Note: If you were logged in, we could automatically fill in these fields for you.)
*
Will not be published.
   

* Please spell out the number 4.  [ Why? ]

vB Code: You can use these tags: [b] [i] [u] [url] [email]