<p>As already mentioned a high cost area does not necessarily mean housing values have inflated at a high rate. High costs can mean $15k/year in property taxes for a small house and high costs of services. Some costs are pretty much the same nationwide and that would include costs for gasoline (yesterday, I paid $3.26/gallon.)</p>
<p>"High costs can mean $15k/year in property taxes for a small house and high costs of services."</p>
<p>Oh, you mean like rural Oregon? (Last time I looked, everywhere in the country, property taxes are tied to the value of the property.)</p>
<p>Most property taxes are tied to property value and local income taxes are related to income. Tax rates do vary greatly.</p>
<p>Yup. Those with higher incomes (who can afford to pay more out of their incomes) pay higher income taxes (sometimes). They also have more discretionary income which they can use to purchase homes (with huge federal tax breaks) or to invest in their kids' college educations (or choose to invest in their homes for purposes of paying for their kids' college educations and benefit from the huge tax breaks twice - once when paying off the mortgage the first time, and once when paying for their kids' college educations through a new mortgage the second time.) Sounds like a really, really good deal to me.</p>
<p>But it might not be enough to send sonny-boy to prestige u. very comfortably - just enough to send him. 30-40 years ago, sonny-boy wouldn't even have considered prestige u.</p>
<p>mathmom, don't you know that it is all about choices? You should sell, relocate, and try to find jobs elsewhere, even if it means sittting for licensing exams in other states if you are a professional that requires a license to work/practice. I am joking of course, I am saying all of this "tongue and cheek", and I agree with you whole heartedly. It would funny, if it were not so sad, IMO.</p>
<p>nydancemom, I feel for you.</p>
<p>Who suggested anything about moving? To free up capital, it is wholly unnecessary (and would mean foregoing future capital appreciation.)</p>
<p>Having a house that has appreciated dramatically just makes one appear rich for purposes of EFC, but that doesn't help us with college funding. I hope I don't have to take mini's advice and re-mortgage the house to finance a private college! </p>
<p>State schools are still an amazing deal, even for the middle income folks. The kids I see running around our flagship state U are expensively-dressed, nicely coifed, and equipped with all the latest tech gadgets, even if tuition rises 10% or whatever. When it's 10% of $6000, that's the cost of 3 pairs of their designer jeans! I'm not crying over that one!</p>
<p>"Having a house that has appreciated dramatically just makes one appear rich for purposes of EFC, but that doesn't help us with college funding. I hope I don't have to take mini's advice and re-mortgage the house to finance a private college!"</p>
<p>It could if you chose, but if it uncomforable, I hope you don't either, though the tax benefits are astoundingly good, relative to other forms of borrowing, especially when the asset backing your borrowing appreciates. Some folks choose debt to make things which are otherwise unaffordable possible; others choose lower priced goods and services. It is terrific when folks have enough income and assets (including houses) that make it possible for them to have such choices! (30-40 years ago, they wouldn't even have considered it.)</p>
<p>We live different places in the West rainmama, COA at a UC is about $25K/yr in state.</p>
<p>That's the thing, it is no longer 10% of 6,000 at many schools. It might be 15% of 25,000 for OOS, and 7-10% out of 20000+ instate. While there are plenty of students from rich families who opted to pay 20-25000 for public vs. 45000+ for private schools, there are plenty of poor and middle class students without the latest gadgets, without their own car, without designer attire, etc.</p>
<p>Cost of being a commuter student at a UC campus is less than $10,000 a year.</p>
<p>My $6000 figure is tuition only - last year's figure for WA. Low and low-middle income students are guaranteed free tuition under the Husky Promise program.</p>
<p>I read that next year's CA in-state tuition will average $7300: <a href="http://www.universityofcalifornia.edu/news/budget/fee_fact_sheet07.pdf%5B/url%5D">http://www.universityofcalifornia.edu/news/budget/fee_fact_sheet07.pdf</a></p>
<p>Still an amazing bargain, IMHO. But at $27,000 for out of state tuition and fees in CA, it makes private schools look pretty attractive.</p>
<p>Let's not go overboard - Husky Promise only covers students who otherwise qualify for Pell Grants (under $40k) and only the portion not already covered by the Pell Grant, or, alternatively, only those from families earning less than 65% of the state median income.</p>
<p>The proportion of students who fall into either of these categories at UW is strikingly low, and getting lower each year as they accept more full-pay OOS students in lieu of low-income community college transfers.</p>
<p>It IS a GOOD THING, just not a BIG good thing.</p>
<p>Nightingale, the colleges don't expect that a middle income person can pay 45K out of pocket on one year's salary. They expect some from savings, some from current income and some through loans out of future income, spreading it out so that it is not 45K per year out of pocket. Further, many schools agree to meet full need based aid. If you are middle income and better yet, have two kids in college at one time, you should be able to receive aid so that the actual price tag to you is NOT 45K/year. Add to that if your child gets merit aid at a school that gives it. We are middle income and both of our children attend schools with a price tag close to 50K, but that is NOT the price tag for us. They receive substantial aid. You don't have to be poor to receive aid. You can't pay the balance out of current income but a person with a middle income should be able to pay out loans for the balance that the family owes after aid. Nobody said it was easy but it is not impossible. You mention a 100K income but those making that amount should be able to receive aid which makes the final cost of the college NOT 45K/year.</p>
<p>Our state's 529 program says to plan of 5% compounded increases in college costs. Tell your graduated children to start investing now rather than to wait until they have kids. </p>
<p>While you are at it, think about how much will it take for you, parent, to live the lifestyle you enjoy today, when you are 65,75,85, 95 (have responsibility in a family friend who is 95, and her care is hitting non-skilled, residential care of $3000/mn cash, outsided of room and board. I am making plans to increase care by another $1000. -And she is not sick. )</p>
<p>Our state's 529 program says to plan 5% compounded increases in college costs. Tell your graduated children to start investing now rather than to wait until they have kids. </p>
<p>While you are at it, think about how much will it take for you, parent, to live the lifestyle you enjoy today, when you are 65,75,85, 95 (I been assigned by wife to oversee responsibility in a family friend who is 95, and her care is hitting non-skilled, residential care of $3000/mn cash, outsided of room and board. I am making plans to increase care by another $1000. -And she is not sick. )</p>
<p>I've been ranting and raving today at everybody-Got to see the county Senior Services, Protective office. Original officer called yesterday but about concerns but she won't be available until July 9. If she doesn't think the need is urgent enough to see me immediately, why bother. A replacement comes on my insistance, and she doesn't even know the cost and difficulty in finding caregivers, and I am paying above average wages. The EMT's gave my friend a narcotic pain killer which nearly killed her in the 3 minute, nonemergency ride to the ER. The ER doctor wants me to communicate to our friend who is obviously out-of-it, (I don't know that she is drugged-Doctor knows). The SS, wants to know why we keep the good walker locked-BECAUSE as soon as we leave for a few minutes, she is out the door, especially 6-7am, or 6-8pm. She is not AZ but wants to walk her neighborhood as she as done for 50 years. She still has the cane and older walker. The regular doctor gives her blood pressure and Beta blocker medication that helps in those areas but makes her unsteady when she gets up and walks-falls down. Two- 10cent pills are causing $4000 ER visits paid by insurance but eventually by all of us. My friend may not die from heart attack or strokes but is trying for concussions and broken hip. Doctor thinks for a few seconds and says maybe we should eliminate the Beta blocker. Is 20 cents improving or degrading quality of life? </p>
<p>We were told at birth the expected cost of college, high cost school. I'd say the final cost of tuition, R & B was within 10% of the original estimate. </p>
<p>Thankyou.</p>
<p>"Nobody said it was easy but it is not impossible."</p>
<p>Why should it be easy? 40 years ago, it wouldn't even necessarily have been considered, though the reality is that most of the prestige privates are in fact less economically diverse than they were 25 years ago. (But I don't necessarily see that as a problem: the publics are much better than they used to be, there are more choices, and more honors colleges if that's what one wants, and the largest percentage of students major in business, which isn't even offered at most of the prestige privates.)</p>
<p>If one hasn't been saving for 18 years, and has no plan for paying for the kids' college in the next 10 or 30, why shouldn't it be uncomfortable?</p>
<p>I agree......I expected it be be uncomfortable and challenging to put the kids through school and it is and I'm not complaining. It was a choice to do and I'm glad we are doing it. It may be hard but it is worth it. Just our perspective.</p>
<p>Mini--
I'm not quite following your argument referencing 30 and 40 years ago.</p>
<p>30 years ago, upper middle income family made $24,000 and sent child to 7- sister school for about $6,000 (room, board and tuition). 1/4 of their income.</p>
<p>Today, elite private school is nearly $50,000. So...if family is going to spend 1/4 of income on kids college, they need to earn $200,000....which is quite a bit more than "upper middle income" these days!</p>
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<blockquote> <p>Cost of being a commuter student at a UC campus is less than $10,000 a year.<<</p> </blockquote>
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<p>We're finding more kids from our local high school commuting to UC now than before and the $25K+ COA is one of the big reasons. We are lucky in that our kids can commute to either UCI or UCSD. But a lot of people don't have a couple of UCs within drivable distance.</p>
<p>Plus we have a very close CSU and 2 community colleges within 20 minutes drive. Kids around here can go to college "cheap" (or cheaper than most).</p>