Educational costs can be a significant financial obligation for many families. With varying educational options, expenses can add up quickly at any age. That is why it is important to understand your needs in advance and plan accordingly. In the Plan for Education life event, we help you estimate the expected educational costs for anyone in any walk of life they may be in. BodesWell is designed to help anyone plan education costs, whether they are planning to attend college, currently attending a private elementary school, or planning to go back for that master's degree they've been dreaming about.
When adding this life event to your timeline, you are first prompted to enter the anticipated school start date and end date. You are then asked to select between a public or private college. If you select public, you will then be able to specify whether the institution is in-state or out-of-state. We calculate the estimated college tuition costs using current year national averages for each of these combinations. As of May 2021, the average annual tuition for in-state public colleges, out-of-state public colleges and private colleges are $9,580, $10,500, $27,437 and $37,200, respectively. You can also enter an estimated financial aid package and a total estimated room, board and book cost.
The total expected education costs equal the annual tuition multiplied by number of years minus total financial aid plus total room, board and books costs.
If you manually enter your own college cost amount, your estimates replace the default estimates from BodesWell.
Based on the information you provide, we evaluate the feasibility of affording these education costs given your current financial plan. You can also create a savings goal to work towards future education expenses.
My Financial Plan acknowledges that not all educational costs are college-related. For this reason, we’ve generalized the Plan for Education life event to also include other types of educational costs. The Planned start date and end date drop-downs are designed to accommodate timeframes outside of the standard four years of college. They can be used for any timeframe and even include the option to enter partial years. For example, if you are planning for only 2 and a half years of educational costs, My Financial Plan will identify that and show 2 years and six months as your timeframe. If further customization is required for your educational planning needs, you can scroll down and click “Enter your own education cost amount”. Here you can enter any timeframe and anticipated cost. Once you press enter and save your inputs, My Financial Plan will display that cost on your timeline and help you plan accordingly.