Are you raising a family or planning one? Hello, I’m Elsa M from Quicken with information to help you handle the expenses. A middle-income couple can expect to spend $15,440 a year on an 11-year-old child,and more than $320,000 on a child through college. It makes you wonder how families can afford children.
There are lots of old money-saving tricks, like clipping coupons, but there are new twists, also. 50 Studio Apartment Layout Ideas For small children, take advantage of childcare subsidies. Employers may offset childcare costs with on-site facilities or flexible spending accounts that use pre-tax dollars for childcare. At tax time, childcare tax deductions and credits can put thousands of dollars back in your pocket. Start paying college costs early. Dedicate a portion of your income to a tuition savings program, such as a 529 college savings plan or a Coverdell Education savings account which lets you set aside up to $2,000 a year for college bills. Both options are paid for with after-tax dollars, but all earnings are federal tax-free as long as they go toward education.
Is it too early to plan for your financial future? Can you afford it? Millennials will need 19 times thei… A number of state institutions offer prepaid tuition plans that lock in future tuition at today’s levels. Nearly 300 private colleges allow you to prepay tuition at a discount off current prices. A word of caution: prepayments may not cover room and board, and schools do not have to accept your child.