We are continuing to pay all expenses for both kids except for discretionary spending up to the end of their first year of university. After first year we require that they also pay for their living expenses while at school (housing/utilities/food/incidentals) out of summer earnings while we continue to pay for all school related costs (tuition/fees/books) and other expenses (clothing/phone/car insurance etc.). Even though in addition to working summers for their first 2 years of university, both will also have paid internships of between 12-16 months following the 3rd year of their programs, until such time as they complete their undergraduate educations we will continue to cover the majority of their costs as we still consider them to be dependents and we can afford to do so. Having them pay for some of their costs is more an educational experience for them than a financial necessity for us.
Well, I just had a whopper request from my daughter. Sheâs on an internship out of the country and asked if she could go skydiving! Over my dead body!! While I do appreciate her asking, there is no way I am blessing that, or giving her $ to do so. She can use her own money for a discretionary expense like that if itâs that important to her. So when she asked me for the second time today and follows up with âeveryone is doing itâ, I said back, Iâm not blessing it, and Iâm not paying it. If you want to do it, youâre old enough to do it and you have your own $ to pay for it. (Itâs $500+ by the way). I asked if her roommate is going and she said she is thinking about it but isnât telling her parents until after if she does. I guess at least Iâm grateful mine asked, but itâs probably because she didnât want to spend her own $ to do it, lol. Kids!!
Are you cosigning (making your kid borrow) $200,000 for this school or did you pick the affordable state school? If you signed them up for $50k/year in loans then I wouldnât ask them to cover anything else. If you picked an affordable college with just the federal student loans then itâs reasonable for them to cover entertainment, club expenses, etc.