They thought raising 4 kids would get cheaper once care and braces were behind them—then college bills hit
Expected relief after high school
The parents had spent years navigating costly phases of raising children, sometimes asking them to help pay for items or wait for birthdays and Christmas. As their eldest son and daughter finished high school, both parents were earning more than ever, and they expected to have extra money for a cushion and their two younger children’s sports.
That expectation changed when they began planning for college. The parents knew their children would need to borrow, and they intended to help as much as they could.
Aid left a tuition gap
After submitting the FAFSA in May, the family learned that their middle-class income made them ineligible for need-based aid, while college remained difficult to afford. Their daughter received federal subsidized and unsubsidized loans, but the family’s calculations still showed a shortfall.
She also received thousands of dollars in scholarships, supported by a high GPA earned while completing an associate degree at a local community college. She had obtained that degree for free through a privilege available to pandemic high schoolers in Maine, but the awards still did not cover all her tuition.
Loans and out-of-state costs
The parents were offered a Parent PLUS Loan, capped at $20,000 a year per child. Unlike their daughter’s federal loans, which she is responsible for repaying, the Parent PLUS debt belongs to her parents. Even with that loan, her federal borrowing and scholarships, the family still could not cover tuition, a meal plan and a dorm room.
Their daughter chose a state school 2,300 miles from home. The family said students from Arizona and some nearby Western states may qualify for in-state or reduced tuition, but their daughter does not; they also face travel costs as out-of-state students. They considered other schools, but her choice was among the few U.S. colleges offering a B.S. in Forensic Psychology.
Parents worry about long-term debt
The family took out a personal loan for their daughter, which her parent cosigned. The parent said the loan could release them from cosigner debt quickly once their daughter starts making payments, but its interest rate is high despite a very solid credit score.
The unexpected expense has pushed the parents back into financial strain just as they felt they were emerging from debt tied to raising four children. The parent worries that the children could spend decades repaying loans taken on to pursue careers with livable wages and opportunities for advancement, and wonders whether the cost is worth it.
Key points
- The parents expected greater financial comfort as their eldest children left high school.
- Scholarships and federal student loans did not cover their daughter’s college costs.
- Her parents took on a Parent PLUS Loan and cosigned a high-interest personal loan.
- The family worries about the long-term burden of college debt.