Apr 04, 2017 12:10 PM EDT
Millennials Saving More For College Than Their Own Retirement
All parents simply hope and want the best for their children and for millennial parents, it means a comfortable and bright future without the burden of student debt upon their kids. A survey has found that millennial parents are more likely to save and invest on their children's college education that their own retirement.
According to Benzinga, about one third of college students expect to be paying for student loans after graduation, and millennial parents do not want their children to be carrying such burden. This is the reason why a survey has shown that 90 percent said that they plan to be the one to pay part of their children' college fees and 19 percent of the surveyed respondents said that their children's education is one of their top financial priorities.
The survey was conducted by TD Ameritrade, it reported that parents' own retirement came in the third spot when their priorities were ranked, Consumer Affairs reported. The survey also found that millennial parents are burdened with an average of $9,100 in student debt so they expect to continue the payments for these loans even after their kids graduate from college.
Dara Luber, retirement and long-term investing expert at TD Ameritrade, said that if parents can do it, they can definitely spare some money for their children's college funds or probably reach out to grandparents for contribution for their financial needs. She also added that it is all a matter of being steadfast to one's own goals.
The survey also have reported other findings such as the likelihood of Latino/Hispanic and Asian millennial parents to pay for all their children's education fees compared to Caucasian Millennial parents. 19 percent of grandparents also contribute to their grandchildren's college savings even when they are not obliged or expected to do so.
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