When we talk about college education, the topic of college fee cannot be avoided. Most students need to take student loans for the sake of paying their college fee, and about nineteen percent students are indebted to the bank with fifty thousand dollars at the time of graduation.
As a parent, you always think the best for your child but unfortunately, a college education is very expensive, and you need to start saving for your child’s college the day he or she comes into the world. There are many parents out there who are still paying back their own college fee, while their children will have to pay back four times the amount they are paying because the amount of college fee has risen a lot.
To make your child’s future free of the worries you had to deal with; you should start thinking differently and start investing small amounts of money to help your child have a bright future. Some of the ways to save money for your child’s college fee are:
529 college plans:
529 college plans are also known as qualified tuition program. It is basically a saving plan which allows parents to save money for their child’s future without paying any taxes. There are different packages and options based on which you can choose the type of investment you want to do.
Big tax advantages are provided with these plans. The funds being saved based on the 529 college plans are excluded from all taxes and parents do not have to pay taxes even after withdrawal of funds. A 529-plan account belongs to the parent of the child, it is the parent’s asset, and the beneficiary can be changed according to the parent’s will.
Prepaid tuition plans:
This is for the parents who are sure their children will go to the colleges that are in the state. These tuition plans give the same benefits as 529 plans, but they are safe from the fluctuations of the stock market.
This plan comes with a disadvantage that is if the child decides to go out of the state for educational purposes, i.e., to attend college, they will get a return on their money, but the full value of the plan will be lost.
Invest in property:
Investing in real estate is considered inflation proof investment. With time the value of the property increases and with inflation the rental value of the property also increases. You can give the property on rent and save this amount for your child’s education in a savings account. With time, the rent and the increase in the property’s value will suffice for your child’s college fee.
The waterfront studio apartments or normal apartments are a great way to save for the future as these apartments have a very little risk of losing their value. Similar condominiums are available in Barrie, which is a small city in the south of Ontario. The real estate at Barrie has great opportunities, as it is just an hour’s drive from Toronto. The city sits on the Lake Simcoe that is why it has a number of waterfront condominiums available with rising value.
The Barrie condos for sale on waterfront are becoming more and more popular day by day as Barrie is the second safest city in Canada. The crime severity index in this area is lower as compared to other cities. Buying a home in Barrie is a very good investment. Real estate agents are making a lot of money in Barrie due to the rising interest of people in this city.
You can find three kinds of properties in this area; these are condos, Au-contraire, and multifamily homes. Waterfront property is a major attraction in this area because the Lake Simcoe is considered as one of the most beautiful lakes. Having access to water is considered as the premium sale element in any property.