I think it’s different if you started today (at vandy) but others are grandfathered in.
Lots in Nashville always talked about getting a job with them - and I know a prof, an ex prof, and two doctors - and all saved a ton!!
It was nice of GW to award it and hoping it all works out for her!!
That’s not what I thought about the two places. Both have chilly winters, and in Boston it is damp too which can make it feel colder.
First, sorry on the loss of your husband. And congrats on the acceptance and scholarship. Sounds like a wonderful opportunity and, all things considered, the right choice.
When you visit GW, make sure to take the school shuttle to see the auxiliary campus. The “city” campus is unique, not everyone’s cup of tea. However, if your student wants the familiarity of green space and a more traditional campus feel, the auxiliary campus (and I apologize I can’t remember the exact name) does give that feel.
The shuttle was super easy to use.
DC is an amazing place for young people. GW is a good school for many majors. But beyond this, there is the reality that you’re a widow with limited finances and another child whom you will also have to put through college.
The question is not Northeastern vs GW. It’s GW vs living at home and going to U Vt (which would be about 18K/yr for tuition alone).
You owe 200K on your home. You earn about 50K/yr (barely enough to live on). You received 600K in life ins. You have a relatively low income, and a presumed net worth of 400K.
You cannot afford Northeastern! Honestly, you cannot really afford even the 100K in total for 4 yrs at GW, but you definitely cannot afford nearly 200K for Northeastern, and that is AFTER your daughter has taken out the max fed loan!
PLEASE do not let your desire to make your daughter happy ruin you financially. If not for yourself, consider your other child, too. I watched my widowed aunt spend prodigiously on her children - private colleges at rack rate, lots of expensive vacations, pretty much whatever they wanted, I guess because she felt bad for them having lost their father at a young age. They would have been just fine at their state U, and she wound up with nothing by the time the youngest was ready for college, and certainly by the time she was done putting him through college.
Have a frank discussion with your daughter. Show her all the bills; show her how much you earn and how much everything costs. Explain to her that you expect her to take the maximum federal loan that she is eligible for, every year, which as of now it looks as if she will be responsible for paying off, and that unless you get a different answer after FAFSA correction or fin aid appeals, her options are U Vt while living at home, or GW. That you just cannot afford Northeastern, because that’s the truth. Unless you already have about 1.5 million in a retirement account, that you haven’t mentioned, you just cannot afford Northeastern.
I may be naive here but I don’t think I’m destitute either. I have over 1.4m in investments. that includes my life insurance and all my retirement savings. My husband saved vigorously for retirement and I inherited all of that. My house is worth about $650k and I owe $197k on it. But you’re right in that my salary is low. Also her grandparents were going to kick-in $$ for college by probably paying for 2 years of school. Obviously, GWU is better because of the price. But I still think compared to most people I am doing OK. I could probably afford to give each kids $100k for college and still walk away with original $600k in life insurance if I invest it correctly, which I believe it is. I hadn’t mentioned my retirement accounts because I didn’t think it was relevant because I cant touch it for college tuition?
Also she wouldn’t be living at home at UVM. I believe that moving out and living off campus is all part of the college experience and she already has a $10k merit award to UVM so that brings the price down a bit.
This thread is such a great example of how we on CC just cannot know every detail – nor should we! – of a poster’s circumstances.
I think whenever finances are raised all points are worth raising, but also, we should tread lightly. This issue has come up across several threads, not just this one/these posters.
yes. A lot of this comes from responsible choices that you made in the past.
A rough rule of thumb is that you might be able to spend 4% of this per year without eventually running out. 4% of 1.4 million is (if I did the math right) $56,000 per year. If you eventually get social security this might add up to enough to be comfortable. It is not “rich”. $1,000,000 is not what it used to be.
It is easy to spend a lot more than this. There is another thread about universities that already cost more than $90,000 per year if you are full pay. The only schools that we found where a 4 year education can be had for $100,000 were in-state public schools (with merit aid) and universities in Canada. The latter was just because my daughters and I have dual citizenship. Fortunately all of the above included some very good universities. It sounds like you may have found another affordable option in GWU.
I know someone from Vermont whose daughter thought that UVM was boring so she went to U.Mass. I also know someone from Massachusetts whose daughter thought U.Mass was boring so she went to UVM. Both daughters got a merit scholarship to go out of state and then got a great education. Both sets of parents spend an extra $80,000 for the opportunity to go out of state. It was “only” $80,000 extra because of the merit scholarships. Fortunately both sets of parents could afford it.
It sounds like you are in reasonable financial shape due to being responsible in the past. Be cautious and this should be able to last.
Northeastern was just not affordable for us, and it sounds like it is just not affordable for you either. Our daughter who was accepted to Northeastern went somewhere else, did very well, and is currently doing well in a very good graduate program.
I had heard the 4% rule before. I’m only 46 so this money has another 15 or so years to grow. Money usually doubles in 8 years I was told. I plan to retire when it makes sense. (probably age 60+) Also I’ll be eligible for my husbands social security which is about $3400/month and I can start collecting when I’m 60, although it will be reduced from $3400 (about what I currently bring home). I know I cant depend on social security being around. I’m also the beneficiary on my parents house which is in an irrevocable trust and the house is in a city where its easily worth 1m+ and would probably just get torn down and rebuilt. So I have that in the cards as well. I don’t have any debt besides the house and a small used car loan for about $3400, and I have another $20k in a HYSA. I’m trying to be responsible about the money I have and I really hope that GWU wins over my daughter this weekend. Its clearly the smart choice.
I don’t know much about GW, but DC is such a great location for young people. So much happening politically, culturally. Some of the best museums and monuments in the world— all free. Fantastic public transportation. Mountains and beaches not super close, but accessible to go to with friends with friends for a weekend, if I recall correctly.
Also, very convenient to the Amtrak rail line that goes to NYC and other major east coast destinations.
Amtrak is nice, but seems much better to fly. I think the Amtrak takes about 12 hours to go from DC to Burlington VT(essex Jct actually), and its around $170 round trip. You can sometimes get a flight for about that much.
True. I was thinking more for a long day/weekend trip to NYC with new friends.
But her goal is an easy trip home to see her boyfriend and vice versa? Is he staying local next year or do they need to figure out his college location? And if local this year, that doesn’t mean he might not be in a better (or worse!) location next year?
He already goes to UVM, so close to home.
I have no idea where you came up with this but as OP says it’s not accurate, not to mention the judgment and tone…why the shouting? Maybe an apology is in order?
If you have those assets already, and expect more, then you can afford to send her to any of the three places. Personally, I would encourage her to make the decision based upon which school she likes the best, not upon how easily she can see her high school boyfriend. The reality is that most high school relationships do not survive college, don’t even survive the first semester of college.
I came up with it based upon the title of the thread and the details that she gave. After I had posted the truth, which is that a widow with a big mortgage payment and only 600K in life ins and an income of 50K/yr cannot afford much for college, especially when there’s another kid who needs to be put through college, and I had given an example of a widow in exactly that position who wound up destitute because she couldn’t say no to her children, OP then gave more extremely relevant information, that actually she has a large retirement account and is expecting a large inheritance, and that the grandparents are helping to pay for college, all of which of course makes things very different - but that’s not what she had originally posted!
I didnt post that because I didnt think what I had in retirement funds really mattered for college. Its not like I can take that money out right now. I also have no idea when I will get my inheritance. Her grandparents are in poor health and I don’t want to depend on them helping outside of the 529 $$ they have set aside. I agree that Northeastern is too expensive, but I don’t think $25k/year will bankrupt me seeing as how we have over 50% of that in a 529 to use. I thought $25,000 was cheap for college nowadays.
Some colleges will want to know what you have in retirement money. They will want to know whether your child is the beneficiary of other 529 accounts. Of course, you don’t need to tell them about anticipated inheritances that you haven’t yet received.
But having ample retirement money set aside and grandparents who have 529 accounts for the grandkids puts you in a much better position. 25K/yr is really not much more than it would cost for her to attend U Vt while living at home, and probably less than U Vt while living on campus. It’s an amazing deal for GW. I hope she is wise enough to take it.
Yes, I do too. I’ve been trying to gently push her in that direction. I think it might be working.