(Closed) Saving for a Child’s Life Events. What made the cut?

posted 6 years ago in Parenting
  • poll: How are you saving?
    General Fund : (23 votes)
    66 %
    No Fund : (3 votes)
    9 %
    Specific Fund(s) : (9 votes)
    26 %
  • Post # 3
    5148 posts
    Bee Keeper
    • Wedding: June 2011

    We’ll probably save for college only. But no “free ride, mommy and daddy are paying so kid can party all the time”, they will always be required to save money for college themselves if they have a job during high school, and get scholarships. Grades must stay up or the money gets cut off. 

    Wedding? We’ll probably help them out a little, but not pay for the whole thing.

    First car? Hell no. They get to drive a cheap junker. We’ll buy it, but it won’t be anything that requires “saving up for”.

    First home? Hell no. They are adults by that point, they can buy their own house!

    Post # 4
    802 posts
    Busy bee
    • Wedding: April 2012

    We’ll save in one account. It will be for college, wedding, car. Honestly what we help out with is whatever we can afford at the time. If there is enough for college, off to college they go. If we can buy them a car, we will.

    I was very privleged in the sense that my parents bought my car for me, paid for my wedding, and if I wanted to take classes they would have paid for it. I hope we can do that for our children

    Post # 5
    10288 posts
    Sugar Beekeeper
    • Wedding: October 2011

    College – This is the only thing that I can picture “saving” for but even then, the kid’s going to a state school or covering the rest themselves. I’m not providing a full ride for them to move to CA and hang out at the beach every day. There are plenty of fantastic colleges right here in NY.

    Wedding – We’ll definitely help but I can’t picture us paying for the whole thing, unless we’re particularly well off by that point. My mom gave us a substantial amount of money to help with the cost of our wedding but by no means did it cover the whole shebang. Frankly, when it comes to weddings, I think that the couple should pay for atleast a portion of it. Afterall, the day doesn’t benefit anyone but them.

    Car – My mom bought me my first car so I’d like to do the same for my kid. With that said, it was by no means new and it didn’t require a whole separate savings plan to cover. The car was nice enough and got me from point A to point B which is really all that a 15/16 year old kid can ask for.

    House – HA. HA. HA. No f’ing way. 

    Post # 6
    7350 posts
    Busy Beekeeper
    • Wedding: October 2010

    College- yes, we hope to have a set amount for each of our girls.

    Wedding- not a specific fund, but we’ll see when the time comes

    Car- we will buy them a beater when its time

    House- no

    Post # 7
    606 posts
    Busy bee
    • Wedding: June 2011

    College education – Our intent is to pay for the majority of our kids’ college. DH’s parents have been insanely generous in that he has not paid a dime (for undergrad AND med school), but he had essentially no credit in his name. My parents had me take out $5k/year loans so I built up credit, but it’s a manageable amount to pay back. Plus it got me learning about interest rates and credit. I think we might go that route with our kids.

    Wedding – Our parents paid for about 98% of our wedding. Honestly, if they didn’t, we probably would have eloped. Neither of us really cared about having a big or fancy wedding, but our parents did. So I guess it depends on how we or our kids feel about a wedding. I definitely expect to chip in funds for that though.

    First car – Sure. We’ll get them a nice 20 year old Buick like I had 0:) Definitely not a nice car.

    First home – Again, I’m basing this off of what our parents have done for us. We don’t have a house yet. It’s probably years away, as Darling Husband has limited say on where he gets placed for residency. But his parents have said they will help with the downpayment. However, I will consider this a loan, which we will pay back with interest.

    Post # 8
    2702 posts
    Sugar bee
    • Wedding: November 2011

    College – We will definitely start saving once they are born. I can’t guarantee how much it will cover but we will try to cover as much as we can.

    Wedding – It depends on our financial situation at the time. We will probably cover a certain part like food or something. I don’t believe it paying for the whole thing but will help in some way.

    Car – hell no. they can buy their own! I had to save up for my own car when all of my friends parents bought theirs. I definitely learned a lot about money at that time in my life!

    House – hell to the no!

    Post # 9
    5670 posts
    Bee Keeper
    • Wedding: August 2010

    Unfortunately we are not in a position to start saving for our kids college, wedding, etc. from the time of their birth. We do hope that each year we will do better and be able to put money aside. Out ultimate plan is to buy a piece a rental property for each child that will generate income that we will be able to put the earning from each property into an account for each of our children. We would ultimately give them the property for a wedding present so they can have a stream of income to help them start their adult lives.

    Post # 10
    2233 posts
    Buzzing bee
    • Wedding: September 2012

    College – We’ll open a RESP (Tax sheltered savings account) since the government will contribute to it as well up until age 17.

    Wedding – Not a specific account but when the time comes we’ll see how much we can contribute.

    Car – Depends. My parents gave me their old car (worth nothing) when my mom bought a new one. If we’re in that position we may do that.

    House – Again, depends on our financial situation. If we’re living comfortably and they’re struggling to come up with a downpayment we will contribute or give them an interest free loan.

    Post # 11
    4323 posts
    Honey bee
    • Wedding: September 2012

    We don’t have kids yet, but my plan:

    College – yes, we’ll save.  I don’t know if we’ll be able to cover it in full (I doubt it), but we will definitely help.

    Wedding – Again, we’ll help.  I do want my kids to pay for part of it, too -they should be mature enough to make smart decisions and stick to a budget as a couple.

    Car – Probably not. I might do what my parents did for my sister and give her a loan that she pays pack to us instead of the bank to avoid interest fees. Or buy another family car, so that there is one available, but not for the exclusive use of our child.

    House – No. I would never even ask my parents, and I hope my kids won’t expect me to help. I might co-sign on a lease or something if I know they’ll be responsible, but I’m not going to buy them a house.

    Post # 12
    1120 posts
    Bumble bee
    • Wedding: January 2010

    We are saving for college, started as soon we we learned I was pregnant. We’ll pay for tuition and they’ll chip in for books. If they study far from home, we’ll help with living expenses as long as going away was the only choice (e.g. program isn’t offered here); if he could have studied the same program close to home, then he pays for rent and food himself.

    Wedding, car and house – they are by themselves. We won’t be saving for that. We’ll help if we can when the time comes for a wedding; and could lend money for a car and house, but definitely with a payment plan. These are adult decisions that come with adult responsibilities, including paying for them.

    Post # 13
    887 posts
    Busy bee
    • Wedding: March 2010

    I actually asked my mom last weekend what they had done for my brother and I, and Darling Husband and I will be following their path– we’re just going to have a general savings fund for each of our children. As major life expenses arise, we’ll cover them using that fund.

    Our plan for each specific event:

    child’s college education: Our children will take out loans for their tuition and living expenses. This will teach them *hopefully* the importance of budgeting and getting their money’s worth–aka going to class! After graduation WE will pay off the loans as a surprise gift. DH and I both had full ride scholarships for our first degrees. We took our second degrees a lot more seriously when we paid for them ourselves. 

    wedding: We’ll give each child the same set amount– probably around 5k. They can spend it as they wish.

    first car: IF grades are good, they can use one of our junkers. Absolutely no way are they getting a new or even new used car on our dime! If grades are good, we’ll pay for insurance/gas during the school year (in high school only). Once they’re in college, they’ll have to pay for that on their own.

    first home: We are not planning on “giving” money for their first home. It’s a huge purchase, and if they don’t have the money management skills to save up for a downpayment appropriately, then they probably aren’t ready to buy a house.

    This all makes us sound cold and strict! But, it’s how we were both raised and we’re independent, debt free, own two houses without mortgages, and paid cash for all of our vehicles in our early 20s. To each their own though 🙂

    Post # 14
    1137 posts
    Bumble bee
    • Wedding: September 2010

    Darling Husband and I met with a financial planner last week and we had a very deep discussion about this.

    Our general feeling is: we will save for all of these things, but actually GIVING them to our kids will be 100% dependend on the child. If they are hard working, productive, diligent, and well behaved, we want to provide them with everything: College, car, wedding, downpayment help, help starting a business…etc).

    On the other hand, if they are lazy and want to take advantage of our generocity, it will quickly be cut off.

    Both Darling Husband and I were very fortunate that our parents provided all of these things for us.  But we have always worked hard, done well in school, had jobs, and volunteered. We never expected or took advantage of anything our parents gave to us, and we hope to be able to do the same for our children.

    Post # 15
    1319 posts
    Bumble bee
    • Wedding: January 2012

    Our parents helped us out a lot, and we’ll probably do the same for our kids. We’ll have a savings account for each child. It will be for college mostly, but whatever’s left from college (we’ll encourage them to get scholarships and depending on what they study, part-time jobs for spending money) will go to their wedding. If there’s not enough left for a simple wedding, we’ll probably help out more if/when the day comes. After the wedding, it’s gone. If they get full scholarships and elope, they’ll get the whole account when they reach a certain age, or toward a house when they decide to purchase one.

    But they won’t know any of this in advance. They’ll know we intend to help with college and their wedding, but not to what extent. Oh, and their first car isn’t gonna be anything to save up for, but we’ll get them something. Maybe one of our old ones.

    Post # 16
    14349 posts
    Honey Beekeeper
    • Wedding: June 2011

    My parents helped me a lot and I hope to be able to do the same.  There is no reason for them to stuggle if I can help and give them a leg up, as long as they are responsible and not just pissing away my money.

    College – Yes, I plan on paying for this if I can.  My parents paid for mine and it gave me such an financial advantage not to have to pay off student loans.  Husband wants to only help or have it be merit based.

    First car and house?  No.  I surely hope we can teach them well with savings and they can easily afford it.

    Wedding?  We’d most likely contribute.

    The topic ‘Saving for a Child’s Life Events. What made the cut?’ is closed to new replies.

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