Remember when I posted this Question of the Day asking parents if they ask for help in funding their kids’ college savings accounts? It appears that I (and those who agreed with me) are not alone. According to this article that reader Stacey emailed me last night:
A survey by San Francisco college savings company Little Grad has suggested that parents prefer friends and relatives give college money as gifts.
The survey found that 61 percent of responding parents preferred their children to receive college funds on holidays rather than toys, with 13 percent dissenting.
As I stated before, I think this will always be a problem because it simply isn’t fun for relatives (and even parents) to give money as gifts. It seems impersonal and most kids hate getting money because they can’t grasp the significance of the gift. That’s why I’m an advocate of moderation. Why not spend half of the gift budget on a toy and give the other half to mom and dad to put in the college fund? Of course, this idea has a shortfall because it could be embarrassing for those who don’t normally spend a lot of money on gift-giving.
There’s no easy answer. I think each family has to approach (or not approach) this topic in a way that they see fit. But, based on the above survey, parents are at least thinking about college funding. This is a good thing!