Your financial future: 6 key questions

Author(s):The Chicago Sun-Times Date: April 9, 2007 Page: 58 Section: Financial

 
Question #5 of the 6 key questions,

How do I choose between funding my retirement and my children’s education?

By Mark LaSpisa

If faced with the choice of funding your retirement or your children’s education, always select retirement.

There are three basic sources of retirement income; Social Security, employer-provided retirement plans and personal savings. By contributing to your personal savings, you increase your certainty of retiring with dignity and with financial security. One of the side benefits of successfully funding your retirement is the gift you indirectly give your children: your independence.

They will appreciate the knowledge that they are free to raise their own children without the additional worry of caring for a parent at the same time.

There are many ways a dedicated and motivated child can attend college.

The funding choices range from loans to scholarships, to work, to military service, just to mention a few. The benefit to children is accomplishment, pride and increased appreciation for their own education as a result of self-funding. Plus they learn to be self-reliant, which will pay dividends for the rest of their lives.

When you are successful funding your retirement, you can always repay your children at a later date if you feel obligated to do so.

Mark LaSpisa is a certified financial planner and a member of the Illinois Financial Planning Association

Your financial future key questions – Vermillion Financial Advisors, Inc.

Your financial future key questions