According to the Federal Reserve, the average amount of student loan debt carried by a student graduating in 2012Â reached a staggering $24,301. And that isn’t the only scary student loan statistic. Overall, student loan debt in the U.S. has reached a cumulative $902 billion dollars, and loan delinquencies are at an all-time high. This is depressing news for everyone, including those of us who want our children to be able to go to college.
Saving for an unpredictable future
Since my kids are so young, I shudder at the thought of what a college education could cost when they graduate from high school.Â College tuition has outpaced inflation at an astronomical rate. And worse yet, the job outlook for college graduates isn’t all that great. In addition to all of that uncertainty, I’ve found it difficult to do much planning since there are a gazillion possible outcomes. Will my kids go to community college? An in-state university? Will they pursue an advanced degree? At this point, I cannot possibly answer these questions. Still, I haven’t lost hope that I can help them avoid taking on aÂ soul-crushing amount of student loan debt. I certainly can’t predict the future, but I can at leastÂ try to prepare for it. And while I don’t necessarily plan on paying for all of the costs of my kids’ college education, I do want to help them as much as I can.