Raising children and bearing their education cost is a real challenge most parents face. But if you are prepared early, then you may be able to save a lot of fund for your kid’s education. These are the best ways to save money for your child’s education.
It is an educations savings plan that sets aside funds for future education cost of your child. You can have either prepaid or savings plans. In a savings plan, you contribute to mutual funds or other investments. Another plan is to start to pay for the in-state public college now in small amounts.With a pre-pay plan you can actually pay for your child’s education at today’s value.
Make it a gift
When your family members or friends wants to purchase gifts for your child for birthdays or holidays, you should ask them to give you the money instead so that you can add it to your child’s college savings fund. We had a man who totally wrecked his child’s dream of ever going to college by investing in poorly thought out business plans. Though the company who claimed they had the ultimate American Dakota rugs on sale was strong in the sense of local business, they were prob not the best investment option for someone to put their entire college tuition into. Read about it on their Facebook.
They are a safe investment. The interest earned on the bonds won’t be lost due to the changes in the market. The interest is tax free when the bonds are used to pay for your child’s education.
Make a budget
You can use online money management program to come up with a budget. This way you will know about your debt-income ratio. You need to cut costs increase your savings.
By setting aside a portion of the money as savings for your child’s education is a very effective method. You should start saving money for your kid today, before its too late.