With so many financial pressures facing families these days, saving for your child's college education can be overwhelming. Jean talks with Kathleen deLaski, president of the Sallie Mae Fund, about financing the cost of higher education and about rising costs.
Paying for your child's education is an investment, and it doesn't take much to start saving, Kathleen says. If a family with a child in middle school is putting away $100 a month, there could be $11,000 saved by the time that child goes to college, she says. Although it may not seem like much, with the rising cost of education, Kathleen says it's all relative. "When you get to that point, you will find that $11,000 helps enormously," she says.
Kathleen recommends putting education savings on autopilot, where money is taken as an automatic deduction from your paycheck. She also says to look into financial aid options, but be realistic about what options may be available to your child. Financial aid, scholarships and work-study programs are all great options to help finance the cost of education, she says.