Take God at His Word When Saving for College

Education is a fundamental part of child development and a medium used to open up opportunities to help one embark on many different journeys. Many people dream to afford themselves or their children a college education. However, in many cases, it seems far-fetched due to the rising cost of tuition. The good news is there are various ways we can budget or plan for college.

How do God’s principles impact how you save money or set goals for spending on something as expensive as college? 

Attaining a college education is a realizable goal that requires work. As the saying goes, “Nothing in life comes easy.” To be debt-free of college expenses means setting smart goals and staying the course, even when it seems impossible. The Word of God reminds us in Jeremiah 32:27, “Behold, I am the Lord, the God of all flesh: is there anything too hard for me?” 

There were many times in my personal and professional life where the Scripture above is where I took refuge in who God is and what He can do in my life. I remember when I wondered how I would pay for college, and all I had was $200! It was not enough for my tuition, so I prayed and told God I would sow it into His kingdom and allow Him to make a way where there seems like no way. As an international student at the time, I was unable to get a student loan, but God took what seemed hard for me and made it possible. He blessed me with an academic scholarship that covered my tuition. I find it to be vital in my life that in all I do, to put God first, and to seek His guidance and direction as I plan and set goals in life.

Below are a few sources to assist in gaining funds for higher education, which I found helpful as I planned for my daughter’s college education.

• Start a 529 college plan – According to the U.S. Securities and Exchange Commission, it is a tax–advantage saving plan designed to encourage saving for future education expenses. More importantly, it allows any adult within a family or friend to contribute toward college costs. 
• Scholarships – They are financial support awarded to a student based on his or her academic or sports accomplishment and other criteria. Most scholarships are merit-based and need-based and are among the best ways to acquire a college education debt-free; however, it requires students to work hard and be committed. 
• Grants – A way to obtain funding for college that will reduce college costs. To be a recipient of nonrefundable funds from a foundation, corporation, or the government, a proposal or completing an application is necessary for submission. 
• Work-study – This is yet another way students can earn money while in college to help offset their education cost. Most colleges participate in the federal work-study program that provides part-time employment, on or off-campus, to students.
• Student loans — Funds borrowed from the federal government or private sector to cover college costs. It is the last resort but primarily the only affordable means of paying for a college education if you cannot attain any of the above. 

How does saving money and setting goals apply to your personal and professional life?

Saving money is very important because it can safeguard you in the event of a financial or health emergency. Furthermore, it can reduce financial stress, help you purchase a home, pay for a college education, or leave a financial legacy. Equally important, setting goals can help you to gain a long-term perspective and short-term motivation. In other words, it can help you to focus and organize your time and resources, so you get the most out of life. For example, if you were to set a goal to save $1,200 within a year, it would be advantageous to open a “Holiday Club” at a bank. Next, deposit or transfer $50 to that account twice a month from your paycheck or checking account. 

In your professional life, you can set goals based on what level you want to reach or what you want to achieve in your career choice. However, to achieve those goals may mean furthering your study in a specific field, acquiring a certification, or applying for that promotion. One useful way to start the process is to apply the SMART prompt. It is a great tool for setting goals. And remember, it’s never too early to start planning and saving. 

• S – Specific (Significant)
• M – Measurable (or Meaningful)
• A – Attainable (or Action-Oriented)
• R – Relevant (or Rewarding)
• T – Time-bound (or Trackable)

Helpful Resources

An Introduction to the 529 Plan https://www.sec.gov/reportspubs/investor-publications/investorpubsintro529htm.html

Golden Rules of Goal Setting: https://www.mindtools.com

Budgeting for College Students: Where to start                                      https://www.nerdwallet.com/article/finance/budgeting-for-college-students