View Full Version : Paying for college

03-06-2006, 09:37 AM
Do you think parents should pay for their children's college, or do you think children should have to earn it themselves. Thoughts?

03-06-2006, 03:29 PM
Dave Ramsey has something he calls the 401Dave plan.....I like it. Kids put in a certain amount of money, and parents match that amount. It requires the child to invest something, while the parents still help out their children. He also uses this system to purchase cars for his children. He doesn't give his children cars like some people. He believe in teaching his children proper work ethic, while helping them out at the same time.

03-06-2006, 04:17 PM
I paid for my college through scholarships. I went to UCO and hardly ever had to pay a dime. My mom paid for my apartment, and said she would be happy to do so as long as my tuition/fees were paid for. I held up my end of the bargain.

03-06-2006, 06:07 PM
In most cases, if the parents can, yes,they should pay. But,the kids should be responsible for their own spending money.
When our oldest attended school, my husband and I agreed to cover all educational expenses, car insurance, health insurance, and medical expenses.
She had to cover gas money, clothes, etc.

We have the same agreement about our son who will be attending college this fall.

03-06-2006, 06:12 PM
Patrick, I hadn't heard of Dave Ramsey's plan. I actually think that's an excellent idea. Then the kids have a little bit more invested in their education in addition to a sense of accomplishment. Awesome idea!!!

04-17-2006, 01:55 PM
i think it just depends on the situation and the individuals.

04-17-2006, 02:08 PM
I opened Oklahoma College Savings Plans for both of my boys... small auto pays each month will add up nicely and is tax free.. sometimes I think I should invest for a higher yield and use that for college but this makes me save for this specific purpose. Plus, you can ask grandparents to add to it if they are able. I hope for a scholarship but I'm not sure of that.

"Jun. 28--State taxpayers have more reason than ever to set up an Oklahoma College Savings Plan for their children and grandchildren.
An expanded tax deduction, recently signed into law, allows taxpayers to deduct up to $10,000 per year from their Oklahoma taxable income for contributions to Oklahoma's plan. Couples filing jointly can deduct up to $20,000 per year.
Previously, the annual limit was $2,500 per contributor per account.
Oklahoma is among many states that offer long-term college savings plans, known as 529s.
Contributions to the Oklahoma plan grow free from federal and state income tax.
And withdrawals are free from federal and Oklahoma income taxes if used for qualified higher-education costs.
Qualified expenses include tuition, fees, certain room and board costs, books, supplies and equipment.

The plan also offers a choice of investment options and the flexibility of using the savings at any qualified higher education institution in the United States and abroad.
"As a matter of policy we want to encourage more people to open these kinds of plans," said State Treasurer Scott Meacham. "We felt if the limit was higher that more people would put more money in."

Many Oklahomans extend their education beyond high school, and "this is a great opportunity for them to create not only a tax advantage for them but a savings pool for their children and their grandchildren for their future education needs," said Meacham, who serves as chairman of the plan's board of directors.
The expanded tax deduction is part of Senate Bill 448, which Gov. Brad Henry signed into law earlier this month. While serving as a state senator, Henry authored the original legislation that created the college savings plan.
The measure also creates a five-year carry-forward provision. Contributions not deducted in the year they were made can be carried forward as a deduction any time over the succeeding five years.
Currently, the Oklahoma 529 plan has more than $130 million in total assets, up 13 percent since the end of last year. The current number of accounts has grown to more than 26,000, up 7 percent.
An overwhelming 92 percent of account owners live in Oklahoma, and the average account balance exceeds $5,000.
Information about the Oklahoma College Savings Plan is available at or by calling (877) 654-7284.
The plan is administered by a board of trustees, with TIAA-CREF Tuition Financing Inc. serving as program manager. "