Loans - How much (if anything) is reasonable?

Paying for College
1

My dd2 is heading off to college in the fall, and was offered a $5000 Perkins loan. The question is, “Should she take it?” Our total out of pocket for dd2 will be 16,000/yr.
We have another d who will be a junior next year (she has taken an institutional loan of $1800 per year and our cost for her is $12000/year), and one who will be a hs junior.

We are regular middle class people - we can pay the entire amount, but should we? For dd1, we really wanted her to have some"skin in the game". She’s done extremely well, and we will likely pay off her loans for her, as she will likely go on to grad school. (Dd2 also plans on grad school.)

Any thoughts or experiences you’d like to share?

2

If she is going to take a loan, Perkins is a “good” one. The interest is subsidized, so it won’t begin to accumulate until she graduates or drops out.

3

If you are regular middle class and can pay $28000, that’s great. I will have 3 in college this fall, and cash flow is tighter than yours. I hate debt, so I will take the smallest loans possible. I do expect them to have skin in the game, like you. How can anyone truly appreciate the opportunity if they don’t know any cost?