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It is never too early to start saving for your child’s college education.
Especially with the rising costs of college expenses.
This article includes tips and information to help you prepare
for the financial demands of higher education.
Financial Considerations
College costs more than many families can afford. However, many sources
of financial aid are available to help families afford even the most expensive schools.
Nearly half of all college students and their families receive some financial aid.
If you begin saving early and know where to go for additional financial assistance
funding your child’s college should be affordable.
The Value Of College
Going to college requires hard work and financial sacrifice, but it is well worth the cost.
A college degree opens the door to more career opportunities, higher-paying jobs and higher
lifetime earnings.
| College
Pays Off |
| According to the U.S. Census Bureau,
the more college you complete, the higher your average annual income* — and the higher
your potential lifetime earnings.** |
| Education Level |
Average Annual Income* |
| Professional Degree*** |
$109,600 |
| Doctoral Degree**** |
$89,400 |
| Master’s Degree |
$62,300 |
| Bachelor’s Degree |
$52,200 |
| High School Diploma |
$30,400 |
| No High School Diploma |
$23,400 |
| Education Level |
Potential Lifetime Earnings**
(in millions of 1999 dollars) |
| Professional Degree |
$4.4 Million |
| Doctoral Degree |
$3.4 Million |
| Master’s Degree |
$2.5 Million |
| Bachelor’s Degree |
$2.1 Million |
| High School Diploma |
$1.2 Million |
| No High School Diploma |
$1.0 Million |
* Full-time, year-round workers age 25 to 64.
** For full-time, year-round workers based on a 2002 U.S. Commerce Department Census
Bureau report, “The Big Payoff: Educational Attainment and Synthetic Estimates of
Work-Life Earnings.”
*** Usually obtained after a bachelor’s degree in fields such as
medicine, dentistry, veterinary medicine or law.
**** Generally is a Ph.D. — Doctor of Philosophy.
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Basic Money Management
Basic Money Management