Financial planning for your baby’s college years

One day you’re bringing your new little bundle of joy home from the hospital, the next day they’re off to kindergarten and the day after that they are off to college. Ok, it’s not QUITE that fast but you get the idea – time flies when you’re having fun. Because it won’t be long until your baby is heading to college it’s important that you start saving for that time now. In fact, if you haven’t started planning, preparing and saving by the time your child enters kindergarten, you’re just about five years behind the eight ball.

Even if you haven’t started until after your child is of school age, it’s never too late to get moving. However, be sure that you are being realistic in your planning. The average cost of tuition at a public university is almost $43,000 and a private school can cost almost $110,000 – increasing more than 40% over the past ten years and will without a doubt continue to rise. Many schools offer prepaid tuition programs that freeze the current rates to allow you to pay off the tuition.

There are also state-operated college savings plans called Section 529 plans. These allow not only parents but also grandparents, relatives and even friends to put money aside to help offset your child’s tuition expenses.

Another option you may have is to invest in an educational savings account. While these accounts are typically small – only $2000 per year – it’s still a help with books and supplies even if it doesn’t do much to offset the high cost of tuition.

Before you can truly prepare for your child’s education costs, you should first have your own solid, financial plan and make sure your goals are prioritized so you know the exact steps you’ll need to take to reach them.

Helping Young Children Notice Oncoming Traffic

Young children – particularly those between the ages of 5 and 9 – are more at risk of being hit by oncoming cars when crossing the street than those children who are slightly older.  In fact, according to National Center for Injury Prevention and Control, more than 13,000 in this age group are struck by cars ever year.

Young children aren’t developed enough to be able to read and comprehend the noises and sights associated with oncoming traffic, thus putting them at higher risk than their older counterparts. The University of Idaho conducted a study to compare traffic detection skills in both adults (aged 19-24) and children (aged 6 to 9).  Here is what the study discovered:

“These participants were asked to listen on headphones to 24 recordings of a car approaching at 5, 12 and 25 miles per hour, from both directions, and pressed a computer key when they detected the vehicle, identified its direction and thought it had arrived at their location. The computer was programmed to calculate distances in relation to key presses.

Adults detected the car significantly earlier than children, though 8- and 9-year-olds heard the car before 6- and 7-year-olds. Adults detected the vehicle traveling at 5 miles per hour at a distance of about 48 feet, compared with 35 feet for younger children and 41 feet for older children. On average, the vehicle was significantly closer to children than adults when it was detected.

The vehicle traveling at 25 mph, when engine and tire noises are loudest, was detected significantly earlier than at other speeds. But researchers noted faster-moving vehicles would close in on a pedestrian more quickly and have greater potential to cause a fatal injury. A vehicle approaching from the left was identified with more accuracy, possibly because Americans are accustomed to vehicles moving on the right side of the road, the study suggests. Older children were better than younger children at determining when a vehicle had arrived at their location.”

As parents, we must take the time to teach our children what to watch for before turning them loose to handle situations like this on their own. Let’s help prevent them from being another statistic.