What is the future of college tuition in the United States? We are pleased to provide you with a secure method of creating college funds. Most people are not aware that they can set up a Self-Directed IRA for their children. Yet this is the very best way to build funds for your child. This is a college tax-deferred savings. While in college, your child will be at a period of the lowest rate in their life.
They will be able to take out what they need and only pay the lower rate. With a self-directed IRA in your child’s name, your children will have total flexibility to decide what is right for them. Stay away from college savings accounts. The college savings account plans are geared for that particular college to benefit them rather than you or your child. You are left with little choices.
You probably will find that when your child is ready to enter college your child might desire to attend a different college or might not go to college entirely. Historically Paulownia was planted when a daughter was born so that when she was wed the Paulownia tree was large enough to supply the amount of wood needed to build the furniture she would need to furnish a home.
That same idea can be applied to today’s terms with the preparation of a child’s educational future. If you are a parent or a grandparent you can assist your children or grandchildren by setting aside a small amount today in forestry (Paulownia) to be harvested when the year for college arrives.
“See the Forcast Returns page” College Tuition Everyone knows this is not a desired subject to discuss, since we all know the answer: it’s going up’ and at a fast rate in large quantities. But how fast are college tuition increases rising? The answer is pretty darn fast, especially compared to the salaries and household income of most upper middle class families.
The normal college tuition cost increases around eight percent every year, twice the rate of inflation, (according to FinAid), but household income is not commensurate with this percentage. Think about if you’re sending your child to a prestigious private college, but your household income is $150,000 a year and is not on the verge of rising and educational financial aid such as college grant money is hard to come by?
It’s pretty scary to most parents.
The average cost (tuition, room and board and fees) of a private university in the US is $34,132 as of 2009 (according to the College Board). That means for 2020, the average cost for a private college will be $73,688.42.
And this figure doesn’t even take into consideration the cost of a prestigious private college such as an Ivy, MIT or Vanderbilt. Parents should not overwhelm themselves with worrying about an unpredictable future. There is enough to worry about in your daily life. But we do want you to be prepared.
Will tuition, room and board and fees keep rising at eight percent? Yes. Will they increase higher than eight percent? Possibly. Will they ever decrease? Probably not.
For parents the best strategy is to save as much as they can. Save what is financially comfortable for your family. Do this via a self-directed IRA for your children as the savings vehicle and;
The fact is that most parents won’t be able to afford four years of either public or private college in the future, but this shouldn’t depress you. Greenwise Forest predicts this will be a topic for the federal government in the future. We firmly believe the way financial aid is dispersed now is not the way it will be dispersed in the future. Otherwise, no one in the US will be going to college.
The fees increase all-the-time!
In the end, no one can truly predict college tuition increases. A lot depends on the economy, inflation rates in general, endowments, etc. So the best thing parents can do is focus on today and put money away for a child’s education for tomorrow.
The rising cost of #education, especially on the higher education front is a bit worrisome. Since education is the fundamental requirement, it must be made affordable. Providing quality education should not be equated with costly education. #Karnataka
— Vice President of India (@VPSecretariat) September 24, 2019
Children born this year will pay over 175k Expecting mothers have a lot of different things on their mind – which crib to buy, the color of the baby’s room. Chances are, their child’s college tuition fees is not one of them! College lender Sallie Mae expects total college tuition for a child born this year to be around $175,000 and that’s just for a public school.
For private schools – $365,000. What’s even more unsettling – Sallie Mae predicts the average American family will have only saved around $48,000 by the time their child is ready to get a college education. Most college experts agree that the best way to save for your child’s education is to get a trust fund together and not touch it until the time is right.
We at eDailyStar know that the best way to preserve and grow the assets needed for future college is forestry (Paulownia). See our Forecasted Returns page: Starting in 2009 when a college education was $34,132.00, this chart shows where;
- The dollar will inflate to $73,201
- Paulownia will inflate to $151,311
- College tuition will inflate to $171,815
Determine how many years untill your child will attend college. Next determine of how much your child may need for college then arrive at how many Paulownia trees you will need to purchase via a self-directed child’s IRA in order that you may be fully college funded