Grandparents Helping their Grandchildren Pay For College

The rising price of college has made it hard for many families to afford a higher education. In fact, the College Board reports that the average cost of tuition and fees at a four-year public college has increased by 26% over the last decade. At private colleges, the average cost has increased by 28%.

As a result, many grandparents are helping their grandchildren pay for college. A recent study by AARP found that 63% of grandparents have given money to their grandchildren for college expenses. The average amount given is $5,000.

There are a number of reasons why grandparents are willing to help their grandchildren pay for college. Some grandparents want to make sure their grandchildren have the same opportunities that they did. Others want to help their grandchildren avoid the burden of student loan debt. Still others simply want to show their love and support for their grandchildren.

Whatever the reason, grandparents can make a significant contribution to their grandchildren’s college education. Here are a few ways that grandparents can help:

• Give money. This is the most direct way to help pay for college. Grandparents can give their grandchildren money for tuition, fees, books, or living expenses.
• Pay for a specific expense. Grandparents can also help pay for a specific expense, such as a study abroad program or a new laptop.
• Help with the FAFSA. The FAFSA (Free Application for Federal Student Aid) is the form that students must fill out to apply for federal financial aid. Grandparents can help their grandchildren fill out the FAFSA and make sure they understand the process.
• Provide emotional support. College can be a stressful time for students. Grandparents can provide emotional support by listening to their grandchildren’s concerns and offering encouragement.

Helping your grandchildren pay for college can be a rewarding experience. It can help you build a closer relationship with your grandchildren and give them the opportunity to achieve their dreams.

• The rising cost of college
• The burden of student loan debt
• The stress of paying for college

• Wanting to help grandchildren succeed
• Wanting to avoid the burden of student loan debt
• Wanting to show love and support

• Give money
• Pay for a specific expense
• Help with the FAFSA
• Provide emotional support

• Start saving early. The sooner you start saving, the more money you’ll have to help your grandchildren pay for college.
• Consider opening a 529 plan. A 529 plan is a tax-advantaged savings account that can be used to pay for qualified education expenses.
• Talk to your grandchildren about their college plans. The earlier you talk to your grandchildren about college, the more time they’ll have to prepare financially.
• Help your grandchildren budget. College students often have to budget carefully to make ends meet. Help your grandchildren learn how to budget so they can avoid unnecessary debt.
• Encourage your grandchildren to apply for scholarships. Scholarships can help reduce the cost of college. Encourage your grandchildren to apply for as many scholarships as they can.

• The College Board
• AARP
• Saving for College

Table 1: Average Cost of College

Table 2: Percentage of Grandparents Helping Grandchildren with College Expenses

Table 3: Average Amount Given by Grandparents for College Expenses

Table 4: Ways Grandparents Can Help Pay for College