We dropped our son off at college yesterday to start his sophomore year. Naturally, I am reflective this morning about him and his adventures.
He really had a productive summer. He worked part-time at a retail store and took three summer classes to get ahead on his Bachelor’s degree. My wife an I were astounded at how responsible he is. We met when we were his age and weren’t thinking nearly as long-term as he has. He banked more than half of what he earned, opened a brokerage account and put money in a S&P 500 index fund, and is now almost a semester and a half of extra credits before we started our second year on campus.
He also made a killing on a small amount he invested in crypto-currencies earlier this year and was able to buy himself an iPad and a Classic NES video game console.
We are blessed to be able to pay for his college education. We drew out of the 529 Plan we had set up for his college expenses for last Fall & Spring semesters and paid directly for the summer classes.
We saved about 80% of what we needed for his college costs in a 529 – we didn’t want to “oversave” in the account since we only have one child to use it in and we were not sure if he would go to a private or public school. He’s at a private school and the amount we have saved is almost perfect. We manage the 20% balance out of simple cash-flow in our household budget.
Here are some past posts that relate to saving for college & approaching early retirement:
- The College Paradox – How Much To Save?
- Retire Before The Kids Head Off To College?
- Kids In School & Early Retirement
If you kids heading off to college now – or starting grade, middle or high school – best wishes to them (and to you!) Here’s hoping they learn a little personal finance in addition to everything else they need to learn in school!
Image Credit: Pixabay