How to Educate Your Children without Breaking the Bank

As President of Trump University, I have the opportunity to work with some truly brilliant people. That was the case recently, when some of the smartest people I know came together to cooperate on our newest book, Trump University Wealth Building 101. I was in meetings with Gary Eldred (one of the most formidable real estate experts in the world), Philip A. Springer (the authority on retirement wealth) and Richard Parker (a man whose entrepreneurial wisdom is extraordinary).

During one work break, we started to talk about reducing the costs of a college education. Some great ideas started to fly all around, and I wanted to share them with you today.

If you must borrow for tuitions costs, make a bank your last destination. Start by asking the financial aid office at your child’s college for information on targeted low-interest loans. Ask about specialized scholarships for people of your ethnic or religious heritage - or from your union or your profession. Leave no stone unturned.

Go face-to-face. If you haven’t gotten the financial aid you need from a college, visit its financial aid office and ask for it. A “face-to-face” approach works better than any paper form.

After your kids start at a college, get very involved as a volunteer in fundraising and lots of other activities. There is no better way to network your way to people who will be in a position to help you or your child secure funds when you need them.

If your children are not sure what they want to do after graduation, encourage them to take time off while they think about it. There’s not much point in spending a lot of money for them to study subjects that they will never need later in their lives.

Ask your parents or other relatives to help you pay for your children’s schooling. They’ll feel good about it - and you will too.

Consider sending your child to a low-cost community or state college for two years before transferring to a more expensive school. However, don’t jeopardize your kids’ futures by pushing for this tactic too hard. Remember that a quality education will repay your children richly over the entire course of their lives. What could be a better investment?

If your child will live on a campus, don’t send him or her with a car. Temporarily take the vehicle off your insurance policy and leave it in your driveway to save insurance costs. 

Encourage your children to start working while they are in college. They should take part in internships while they are in school - especially at companies where they will later apply for jobs. Also urge your children to use their colleges to network to successful alumni who might hire them after graduation.  It’s a great way to get extra value from the tuition dollars you’ll pay.

In an emergency, consider raiding your IRA to pay for tuition costs. If you are 59½ or older, the money you take from your IRA to pay for tuition is no longer subject to a 10% penalty. Speak with your CPA first.

If your child will live off campus, consider buying a condominium for him or her to live in. You will enjoy the tax benefits of property ownership and save on rent at the same time. Even better? Buy a multi-family home and let your son or daughter live in it as an on-site manager.

Encourage your children to start a company while still in college. The business faculty and successful alumni will offer high-ticket advice at no charge - and your young entrepreneur will graduate with a business underway.

If you have good ideas to add to the ones I mention here, please post them. With college costs surging to $50,000 or more at many schools, we all need to save every dollar we can. There is no reason why we can’t educate our children well - without ending up in the poor house ourselves.