When is tuition/R&B paid?

<p>It's been many years since I've been in college and I never lived on campus. My daughter is currently a high school junior and we'll be starting the college admission process soon.</p>

<p>My question: is tuition still paid per semester? How about room and board? Semester or annually? </p>

<p>I was thinking about setting her up with her own checking account with a VISA debit card when the time comes. Then I would transfer the money she needs beforehand and she can pay whatever expenses she needs out of that account.</p>

<p>Would this be a feasible plan?</p>

<p>Thanks for any ideas,</p>

<p>Mitch</p>

<p>Each college has its own way of doing things. At my D’s school (a SUNY), the bill is generated, you have a certain amount of time to adjust it and then it is due. For a fee, you can do either 2 or 3 payments instead of one. Some of the private schools, I think, have 10 month plans. </p>

<p>Some people pay on credit cards to get the points or whatever.</p>

<p>Each of my kids’ schools has a slightly different plan, but we’ve chosen monthly payments over an annual lump sum. In general, there was no additional fee for that option, but we have seen extra fees for using a credit card for payment (as opposed to checks).</p>

<p>Depends on the school. D1’s school has a plan with a company called TMS where you pay $50, then make payments over several months (and the last couple of months are after the payment would be due if you paid the college directly, so I think it is a very good deal). One year we did not use TMS, and I personally sent a check directly to the college (they won’t take a credit card, or maybe they have a big fee, can’t remember). Payments made directly are due late in the summer (maybe end of August?) and late December. </p>

<p>If you have a 529 account, you have to consider who is going to get the payment from the 529 account and what the timing of that is (29 vs. when paid to the college). There are other threads on CC about the various nuances of 529 payments.</p>

<p>Just a question – do you really want to give an 18 year old access to an account with potentially 10s of thousands of dollars in it? Your kid is probably reliable, but I know at least one kid who took money provided like that and didn’t actually attend classes. His parents didn’t until he had been doing it for about 2 years… obviously they weren’t paying careful attention, but it does happen. Also, consider security in a dorm room for a checkbook for an account with that kind of money in it.</p>

<p>Here is what we did for D1 (who is a senior in college across the country from our hometown):

  • As stated above, I paid the college directly for tuition/r&b/fees or went through the tuition payment plan.
  • She set up a bank account at a bank in her college town with an ATM/Debit card (I suppose she has checks, but I have not asked her). This is her money (she pays for her own spending money and books). She took some money from her home bank accounts (saved in high school) to start with, and deposits her college part time job paychecks in that account as well.
  • She also has one of my credit cards (as a second card holder). That is for any purchases she and I agree that I will cover. An example would be meals in the airport while she is traveling to and from college. She is one of those super reliable kids, and has never used the card for something “unauthorized” in the two years she has had it. Just wish we had done it a bit earlier, as accounting for those items was sort of a pain.</p>

<p>It will vary by school. My daughter’s school gave you till the 15th of the month following the expense showing up to pay (so when school started August, we had until Sept 15th to pay). They accept credit cards but charge 1.5%. They also have a monthly plan of some sort.</p>

<p>My son’s school required payment by 5p.m the first day of class.</p>

<p>My friends daughter’s school (a private school) required a fairly substantial payment about 2 months before classes started.</p>

<p>The colleges that we’ve dealt with do everything by semester. That includes the bills and the credits (scholarships, financial aid, loans - annual amount spit per semester). </p>

<p>OP - At this point your D is a junior. Timing is perfect to plan for college research. And testing. (Example -many of my son’s college choices required SAT2 Subject tests. For him it worked well to take them June of Junior year). Payment details beyond the per-semester info will vary by college.</p>

<p>Thank you for the great responses, especially intparent. Very good point about letting my daughter (or others) having access to thousands of dollars. The reason we are concerned is that my daughters mom and I have a terrible relationship and we are legally required to spilt college costs equally. This will a disaster in the making since we can’t agree on the shape of the earth (I say it’s round). There will likely be no coordination of payments as there is almost no communication between us (a blessing). It sounds to me like there is a fair amount of difference between schools and the way they handle payments and applying monies to the students account. </p>

<p>Lets hope for the best.</p>

<p>We directly pay online the tuition/room and board before every quarter (with the annual health insurance costs all due in the first quarter) to the university. It requires the permission of your student for the university to send the parents the bill. </p>

<p>I wouldn’t want to put all that money into the bank account of a kid. There have been instances of the kid saying that he or she is attending school when he or she doesn’t register and spends all the money. Many parents don’t ask for a transcript every semester and so the deception can go on for a while.</p>

<p>We pay in 10 even payments. We started in July.
When you enroll at a college, you will probably be required to make a down payment on tuition and maybe also room and board.</p>

<p>(total bill - deposit) / 10 = monthly payment</p>

<p>You can set it you to have this money transferred out of your bank account. After the payment is made, I transfer money in from a 529 account.</p>

<p>You can also pay using your credit card, but there is a 2% fee.</p>

<p>Flyingbuffalo, it’s generally possible to be set up as an authorized payer (and viewer) for billing purposes. The student signs a FERPA authorization (usually online) and invites whomever is authorized to create an account. I would have her inquire about this option at whatever school she eventually chooses so that you can pay the school directly. Of course, you could always give her a check made payable to the school.</p>

<p>That’s what we do. I can check her balance online & pay directly from our acct. Registration for the next qtr occurs about a month or so before that qtr begins & that is when we pay.</p>

<p>We do exactly what marymac does - Ten easy (LOL) payments paid through TMS. It’s automatically withdrawn through our checking account. No reason to involve the students at all. When our kids moved off campus then we dealt with house rental and a budgeted amount for food, but no reason to do anything else involving the students until then.</p>

<p>My boys go to two different school and for the next semester, one school wants their money by December 10th and the other school wants their money by January 24th. I think that is a big difference. I’ll be excited to get the December 10th payment paid, because it is his last one! Also his is more expensive than the younger one’s. They both have payment plans available but the service charges are fairly steep. Neither one allows credit card payments either, that would be some nice miles.</p>

<p>Ah, I understand the ex problem. I have an ex-H… although he does not contribute a penny to D1’s college, so we have not had to coordinate much (he springs sometimes for 50% of a plane ticket, that is it). But if I did have to coodinate more, I would not hope for the best. A few thoughts:</p>

<ul>
<li>Are you certain that both you and D’s mom are able to cover 50% of the cost of the colleges she is considering? If not, you probably need to speak up NOW (earlier than this would have been better…). It could affect where your D applies.</li>
<li>I would communicate through email with her mom (and your D), since talking is tough. It gives you (1) a written record of decisions, and (2) a chance to NOT hit send when you are tempted to be snarky or rude (believe me, I am tempted with my ex all the time, so no insult intended). Even if one of them is, keep your responses professional. If nothing else, they might be useful in court if you need them, so take the high road.</li>
<li>First you will want to settle what college expenses will be covered in total. Example:
tuition, room and board, fees (there are usually a few hundred dollars of fees that every student needs to pay, they come on the college bill), travel expenses, spending money, cell phone, and books/supplies. As I mentioned above, my kids cover their own books & spending money (she also pays for her texting plan), and I take care of the rest. Even before your D’s college is chosen, this is a discussion you should start with your ex. Your ex may think it is good for your D to cover a few of her own expenses, or not. Either way, you should settle this. By the way, this is good to resolve now for another reason. There is a BIG difference in spending money requirements at different colleges (a kid at Columbia or Georgetown is going to spend a lot more than a kid at a remote LAC). It was one factor my D1 took into account when selecting a school… she is happy she picked a school where she needs less spending money. She is also very judicious in her spending on books (renting, returning them on time).</li>
<li>Another question is how any unpaid internships or study abroad expenses will be covered (I paid D’s additional travel expenses when she went abroad, she covered her own summer expenses when she took an unpaid internship).</li>
<li>I have made it very clear to my kids that I will pay for 4 years of undergrad, but no more. They know they need to pass their classes and not change majors (at least not so they have to take an extra semester or year). If you want to take this position, I would confirm this with her mom (see if she agrees), and make sure your D knows this. It is good incentive to keep them on track.</li>
<li>If you haven’t yet, let your ex know that you are willing to provide info for the CSS profile or other financial info the colleges require, assuming your D will be applying for financial aid. My ex was able to fill that out without me seeing his info (although he didn’t pay any money, he did fill out the form). Just sets a tone of cooperation that you really are going to need to get through this… even if you think she won’t get aid, if you ex wants you to do it, I would do it.</li>
<li>Once your D has been accepted and finalized her choice of a school, then you need to understand the options for payment schedule (your original question). You need to coordinate with her mom to select which payment plan you will use.</li>
<li>After settling that, you should see if you can both (you and her mom) be sent copies of every statement (from the college or the payment plan). Agree to each pay 50% to the college or the plan by the due date (and don’t ever be late!). You should check in with the mom early every summer to confirm you will use the same appraoch the next school year. We paid using a different plan one year when D1 studied abroad, so it is worth discussing each year.</li>
<li>You will need to figure out how to handle travel expenses if your D is going to school that requires plane or train or shuttle or whatever expense. I would suggest that one parent handle the travel arrangements, pay via credit card, and send a copy of the invoice to the other parent (who can then send a check to the parent who booked the travel). It is pretty easy to book tickets on the internet and just send a copy of the transaction info to another email address.</li>
<li>If you are covering some of spending money & books, I would send your 50% of that directly to your D. Do it with a check so you a record of the transaction.</li>
</ul>

<p>Good luck!</p>

<p>D1 goes to a Cal State, it is a semester school, tuition is due in full prior to registration, when she lived on campus housing was paid monthly, when she lived in the sorority it was due prior to the semester. </p>

<p>S2 goes to a “UC”. His tuition is due every quarter. Housing has a lot of different plans. If you have financial aid they wait until that has all been applied and then you pay the difference. </p>

<p>I have access to their accounts and I pay the bills online.</p>