Category: Education

Even in normal times, it can be challenging for families to cover college expenses without borrowing money and/or risking their own retirement security. For the 2019-2020 academic year, the cost of in-state tuition, fees, room, and board at a four-year public college averaged $21,950, and the total for a private college approached $50,000.1 Sadly, the […]

For the second year in a row, interest rates on federal student loans will decrease for the 2020-2021 academic year. This year’s decrease brings rates to record lows. The rates apply to new federal student loans made on or after July 1, 2020, through June 30, 2021. The interest rate is fixed for the life […]

In a recently published Morningstar report, researchers drew upon data from the Federal Reserve Bank’s “Survey of Consumer Finances” and the Sallie Mae/Ipsos survey “How America Saves for College” to create two savings simulations.  In the first simulation, families continued on their current course, which relied in part upon using ordinary savings and checking accounts […]

The cost of higher education and the burden of education loans upon recent graduates continues to be a recurring theme. Families with higher incomes have addressed these costs by contributing to tax-preferred savings vehicles, such as the 529 plan (named for a section of the tax code). We’re reasonably confident that 529 plans are here […]