That's a huge challenge especially as the price keeps rising. Here's some ideas:
1) start saving young- put the law of compounding on your side
2) Use tax free accounts- There are 2 types of accounts that can be tax free: the 529 and the Coverdell ESA. Each has its own advantages (maybe an accountant can chime in), but the point is that you are saving money on taxes...
3) Negotiate- I know schools now ask for a life history just to give a tuition break, but they still give some discounts. When I created software for a school biller his biggest challenge was managing all the discounts he gives out. If nothing else maybe you can negotiate a better payment plan i.e. pay later...
I'd love to hear other ideas.
"You see those charts that say if you put away $500 a year
starting at age 20, by the time you're 50 you'd have a gazillion
dollars. It just makes you ill that you didn't do it. You almost
want to grab young people and shake 'em and say, 'Please don't
make the same mistake I did. Please.'"
-- James Carville
Posted: Fri Jun 04, 2004 2:16 pm Post subject: Yeshiva Cost
As Heshy mentioned, there are 2 accounts, but a 529 is only good for college tuition, not yeshivah. It was originally assumed that it worked for k-12 private schooling, but NY in particular, has been very vocal about it being college level studies, and only those approved by the State (there are literally thousands). The Coverdell is good for Yeshiva, but very limited in amount that you can put into it on a yearly basis, so it's of limited help, although it's still a plus.
There is no right way, but working with a financial professional can help you determine where some extra funds may be found in your budget. For those interested in a free financial profile, I can be reached at avis@insagency.com. There is free insurance information available at my website (www.insagency.com) as well. A profile, while free and no obligation, does take a considerable amount of time and effort, so for those interested, know it is a serious committment.
Posted: Tue Jun 08, 2004 11:40 am Post subject: Paying Yeshiva Tuition
If Yeshiva Tuition is too expensive just sends the kids to a public school then have them attend Yeshiva University when they are older where they will be eligible for college loans and scholarships. That way they will still get a good Jewish Education. Also make sure they attend Synagogue too. This way they can still have an enriched Jewish life without sending you to the poorhouse.
This is a HUGE problem. Part of the reason that costs are so inflated are because everyone gets/wants a discount - the idea is make everyone bargain down from $15K so that you get an average of $10K/student
Another part of the reason is that our success has driven up costs. Here is the rule of thumb - if you are living in a $500,000 house, where is the teacher going to live? he/she will need to afford to live in the same area, and have the same expenses. The school's expenses will also be greater.
Given this, there are three things that you can consider, but I don't know if any will work for you per se:
1) Try to find an area where costs of living are relatively lower but not by as high a percentage as salaries are.
2) If you can, work as a teacher - most of them get significant discounts on tuition. Some schools give a flat discount , others prorate - i.e. you get another percentage of tuition for your kids the longer you work in the school.
3) Many schools (especially the most expensive) break up the tuition so that a portion of it is a mandatory donation. So a school charging $15K/year might have a 'tuition' of $8-9K and mandatory donations of '$6-7K' These donations are tax deductible. In addition, the donation portion is eligible for matching funds from many employers. (I know someone who's company will match up to $5K, and his kids school is on their list!). On a minimal level, many retail companies donate to your schools when you purchase items with their credit cards (like Target) - this will basically give small amounts of money to your school (say, 1% of purchases), but those could be applied to your tuition.
4) Competition keeps prices low - if you live in an area where there are an abundance of schools, or an abundance of Jews, costs will probably be lower, because schools need to compete. That's why tuition in Brooklyn is lower than it is in Manahttan or Westchester, and why Teaneck is lower than, Highland Park. It also gives you more choices for your kids
5) Ultimately, you can make Aliyah, where one of your options are MaMaD schools - which are religious public schools.
Posted: Wed Jun 09, 2004 4:02 pm Post subject: Paying Yeshiva Tuition
Soccer Mom, How come you posted your message about coping with Yeshiva Tuition on Shabbat? That doesn't seem to be an appropiate time. I'd like to hear an answer from you. Oy vey.
The time register probably is not functioning correctly. I doubt any of those postings here on a subject about Yeshiva are being done on Shabbat. Perhaps the editors can fix this.
Jacob, Mort was right- the time on the board is off because of the time zone. We are working on this problem.
Another example of how we should always listen to the other person's side of the story...
(No offense meant to Jacob- this is a conclusion a lot of people would draw.)
Note this site doesn't discriminate against anyone whether "religious" or non-religious, Jew or gentile.
Last edited by jewcentral on Mon Jun 14, 2004 12:38 pm; edited 2 times in total
Posted: Thu Jun 10, 2004 2:43 pm Post subject: yeshiva tuition
Unfortunately, the idea of sending kids to public school and then to yu probably won't work in practice. why would a child after 12 years of relative freedom and short days and hanging out with anyone want to go to YU? if anything, you have much more sway over children ion their early years and college is their time for rebellion and making their own choices.
also unfortunately, I'm not so sure competition really keeps prices low. I'm in an area with lots of high priced yeshivas.
however, i totally agreed with the rest of yonah's suggestions. i will make an effort to work at a school, somehow and wish i worked for a company that matched charity.
Posted: Thu Jun 10, 2004 3:14 pm Post subject: Paying Yeshiva Tuitions
I apologize for my earlier comment to soccermom.
As far as answering the question, how about a hybird solution incorporating meistermensh's idea. Have the child attend public school but in the summer they can attend a camp which has Torah study such as Camp Dora Golding at fraction of the price of Yeshiva. Now the child also gets to spend the summer outside the city whereas one who is struggling to pay Yeshiva costs obviously won't have the $ to send their child to camp. This idea would save about $10,000 a year and includes going to summer camp, studying with well known Rabbis and giving soccermom a two month vacation.
It's been about a week since soccermom asked the question. I wonder if she can comment if any of the ideas presented to her are helpful.
Lots of interesting ideas. I dont think the public school idea would work- I want to instill Jewish values/learning in my children as they grow up and doing it part time may not be enough. Besides they probably wont feel like they belong in either crowd...
Thanks for the responses, I'll look into some of the others.
You cannot post new topics in this forum You cannot reply to topics in this forum You cannot edit your posts in this forum You cannot delete your posts in this forum You cannot vote in polls in this forum
Community :
Forum FAQ
Search
Usergroups
Profile
Log in to check your private messages
Log in
