So after speaking with my mother-in-law who has her last son on his mission (Elder Ian Makechnie!) and talking about the financial cost of a mission and crappy medical care on a mission I had a major panic attack. Maybe just a reality check. Saving for college and missions. It looms. It creeps upon us closer and closer.
If any of our children go on a mission and the cost is still $300/month, then $300 x 24 months = $7200. That’s not pocket change! If the cost is $400 a month, then $400 x 24 months = $9600. Ah, the panic…we’re teachers living on teacher salary. Must have plan.
Years ago we set up a tax-exempt Fidelity account strictly for education. Only $50 a month is put in but guess how much it has accumulated? $14,211.16. Cool. That will buy some books at least! Really though, it’s pretty amazing how fast it accumulates and it’s sobering to see the HUGE pay-offs by starting early. We also use a UPromise credit card which contributes a % of spending to college funding.
Alright, so I went to our on-line banking system, ING. I love ING. It’s a savings account that gives the best interest I know of. I set up an account strictly to store money for our tax bill that is due every Christmas. I also set up an account for each child. Click here to start saving with ING.
Now, thinking of missions and college. Nelson is the most likely to go on a mission so I set up a recurring transfer from our local bank to his fund. Only $50/month = $600/year. A doable monthly expenditure. But in ten years when he needs money? He’ll have $600 x 10 years = $6000. I’m counting on him working his booty off in high school. He’ll hopefully be able to earn the remaining $1200 or $3600.
Now for the girls. I didn’t set up as big a transfer though they may need it as well. Just $10/month. $10 x 12 months = $120. $120 x 10 years = $1200. It’s something.
Maybe we’ll discover $20/month is doable. Maybe we’ll earn more money in the future and be able to contribute more. For now, this is good.
So, the point is: SAVE. PLAN for the future. I feel so much better.