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The average age of starting a family continues to grow, not just in the United States, but around the world. The New York Times published her 2021 report, which found that since 2007, the fertility rate for women in their 20s has fallen 28% from hers, while that for women in their 30s and her 40s has risen. .
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According to Forbes, there are many reasons for this fluctuation, including more women focusing on careers and the rising costs associated with having children. For those who delay having a family, there may be another economic impact of delaying retirement.
In Slate’s Jan. 17 advice column, a reader in the “work indefinitely” guise was described as a 50-year-old with children aged 4 and 6, and posed the following question: Has your child graduated from college? Will college cost $1 million a year in 14 years? Is there a particular reason people have to work while their kids are studying?”
Lillian Karabaic, a columnist and retirement adviser for Slate, gave some reasons for hope, and said there may even be benefits to retiring when the kids are just starting out in dorms.
“If we can scale the distribution of retirement plans so that FAFSA household incomes are less, we will have better financial assistance when we retire,” she said. I’ve even seen retired parents move stateside to get in-state status for their children’s desired colleges.”
However, Karabaik advised that “retirement savings should be a priority” because there are no loans available for retirement like there are for students. She further advised the audience to make wise choices with their income while their virtual parents were still working.
Be prepared to work longer and consider a 529 plan
Her advice echoed that of Monica Ma, Chairman of the Investment Committee of CFP, CFA, Blankinship & Foster LLC. Ma said it would be best for her to “actively save for her retirement.” Mr Ma said: Universities have financial aid, but retirees do not. ”
She also said: [retirement and a child’s college expenses]Her other tips include buying a modest home, saving as much as you can while managing your debts, and, of course, buying life insurance for your grandchildren after you die. was
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Another good idea is to open a tax-deferred 529 education savings account to fund your child’s college education from birth. This way you have time to mature and reap the benefits of compound interest.
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