A Wake Up Call on College Funding

A child born in 2013 that begins kindergarten in the fall of 2018 would attend college between the years of 2031 and 2035. If that child attends an average private four-year college, and if the annual price increases for private colleges experienced over the last 30 years (+5.7% per year) continues into the future, the aggregate four-year cost of the child’s college education (including tuition, fees, room and board) would total $483,238 or $120,810 per year.

The first question is: Are you saving enough to pay for this? The second question is how will your family pay for this if you die prematurely and have not accumulated these funds?

The first question depends primarily on your cash flow and investment acumen. The second can be solved with the purchase of life insurance. The cost for the premium will be pennies on the dollar. The cost for not doing this may be a child who is unable to go to college or has incredible financial struggles to do so. Shane’s story is a stark reminder.


by Marvin H. Feldman

Marvin H. Feldman, CLU, ChFC, RFC, is president of the Feldman Financial Group in Palm Harbor, Fla., and president and CEO of Life Happens. He is a 41-year Million Dollar Round Table member and was the 2002 president. He is a 33-year member of the MDRT Top of the Table and a past Top of the Table chairman. He also is the recipient of the 2011 John Newton Russell award, the highest honor bestowed on an individual by the insurance industry.

  1. This is so true, and yet, sadly, so many people I’ve talked to do not know this harsh reality. And even if you do point out this out, still so many turn a blind eye or opt to be blissfully in denial. – Elijah of Pearland Insurance Agency

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