Women's Money Wisdom
Balancing careers, caregiving, and personal well-being is no small feat—especially for women who often carry the weight of multiple roles. From supporting aging parents to raising children and managing demanding careers, financial planning can easily take a back seat. But your financial future deserves attention, and we’re here to help you take charge.
Welcome to Women's Money Wisdom, the podcast designed to empower women with the knowledge and confidence to build financial security and achieve their dreams. Hosted by Melissa Joy, CFP®, founder of Pearl Planning, each weekly episode offers practical financial insights, expert guidance, and real conversations about money.
Join us to enhance your financial literacy, make informed decisions, and take the next step toward financial freedom. At Pearl Planning, located in Dexter, Michigan, we’re committed to helping you navigate every stage of your financial journey.
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Investment advisory services offered by Pearl Planning, a DBA of Stephens Consulting LLC., an SEC registered investment advisor. Please remember that past performance may not be indicative of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by Pearl Planning, or any non-investment related content, made reference to directly or indirectly in this Podcast will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. Moreover, you should not assume that any discussion or information contained in this podcast serves as the receipt of, or as a substitute for, personalized investment advice from Pearl Planning. To the extent that a listener has any questions regarding the applicability of any specific issue discussed above to his/her individual situation, he/she is encouraged to consult with the professional advisor of his/her choosing. Pearl Planning is neither a law firm, nor a certified public accounting firm, and no portion of the Podcast content should be construed as legal or accounting advice. A copy of Pearl Planning’s current written disclosure Brochure discussing our advisory services and fees is available upon request or at www.pearlplan.com. Content represents the opinion of the speaker and not necessarily that of Pearl Planning.
Women's Money Wisdom
Episode 180: Budgeting for College Life: A Parent's Guide to College Send Off
Are you preparing for college send off but feeling overwhelmed by the looming financial spreadsheet? Relax, we've got you covered. In this episode, Melissa Fradenburg shares personal experiences and insights to help you prepare for this financially demanding life event. Budgeting is crucial for managing expenses during the college years. We provide practical tips for creating a budget that covers living costs and talk about the importance of setting spending expectations with your college bound child.
Resources:
- Learn more about Melissa Fradenburg, AIF® and Pearl Planning .
- Listen to Episode 166: Late-Stage College Planning with Brad Baldridge
- Listen to Episode 170: The Case for 529 Plans for College Savings w Ann Garcia
- Watch the replay Summer Economic Update and Investment Outlook
Links are being provided for information purposes only. The information herein is general and educational in nature and should not be considered legal or tax advice. Tax laws and regulations are complex and subject to change, which can materially impact investment results. Pearl Planning cannot guarantee that the information herein is accurate, complete, or timely. Pearl Planning makes no warranties with regard to such information or results obtained by its use and disclaims any liability arising out of your use of, or any tax position taken in reliance on, such information. Consult an attorney or tax professional regarding your specific situation. Please note, changes in tax laws or regulations may occur at any time and could substantially impact your situation. Pearl Planning financial advisors do not render advice on tax matters. You should discuss any tax matters with the appropriate professional.
The previous presentation by PEARL PLANNING was intended for general information purposes only. No portion of the presentation serves as the receipt of, or as a substitute for, personalized investment advice from PEARL PLANNING or any other investment professional of your choosing. Different types of investments involve varying degrees of risk, and it should not be assumed that future performance of any specific investment or investment strategy, or any non-investment related or planning services, discussion or content, will be profitable, be suitable for your portfolio or individual situation, or prove successful. Neither PEARL PLANNING’s investment adviser registration status, nor any amount of prior experience or success, should be construed that a certain level of results or satisfaction will be achieved if PEARL PLANNING is engaged, or continues to be engaged, to provide investment advisory services. PEARL PLANNING is neither a law firm nor accounting firm, and no portion of its services should be construed as legal or accounting advice. No portion of the video content should be construed by a client or prospective client as a guarantee that he/she will experience a certain level of results if PEARL PLANNING is engaged, or continues to be engaged, to provide investment advisory services. A copy of PEARL PLANNING’s current written disclosure Brochure discussing our advisory services and fees is available upon request or at https:...
Welcome to the 52 Pearls Weekly Money Wisdom Podcast. I'm Melissa Joy, a certified financial planner and founder of Pearl Planning, and I'm Melissa Friedenberg, financial advisor with Pearl Planning. Pearl Planning is a financial planning and investment management company located in Dexter and Gross Point, michigan. We work with clients all around the country. The purpose of our podcast is to explore specific financial topics and provide advice you can use in your everyday life.
Speaker 2:Hello and welcome to the 52 Pearls Weekly Money Wisdom Podcast. This is Melissa Friedenberg, and this week I am going to be talking about a college send-off. It's really starting to hit me. I'm seeing on Facebook and Instagram, bill, that I know Aqueduct Getting ready to send off their kids. I'm starting to see pictures of college send-off and when you go into a store there's a big back to school and dorm room section and, of course, my favorite store, target, but the extra long twin sheets are on display everywhere, and so I thought it would be interesting to do an episode talking about setting expectations as well as budgeting for that first year in college.
Speaker 2:Thinking back to my time in college, I remember getting all of the things and not using everything. I mean, like we had all sorts of crates and snacks and I don't know cinder block lifts for the bed, and then you know I'm not really coordinating very well with my roommate who you know, also had things. So there was a lot of waste of money just with that initial haul, if you will, that you bring to college. But there are so many other expenses that I think parents I'm not going to say aren't prepared for, but something to consider and really think about setting those expectations with your kids Because, especially if they don't already budget like an allowance or they don't really have a limit on things like how often they can door dash food or order pizzas, go out to Starbucks I say this because I know the struggle is real. I deal with this with two teenagers in my house. If there really haven't been firm expectations on limits, if you will, on those types of things, college is going to be really tough, first and foremost, and I totally am going to fall for it. I already see in the pictures when parents take that picture of the dorm room after they set it up and schlep all that stuff up and down the stairs, usually with minimal air conditioning, you deserve to post a picture of that room all set up. It will never look that way again. It's going to smell like a gym locker room very shortly, boys and girls.
Speaker 2:But can we just talk about the decor that is available for dorm rooms now? I see coordinating fabric headboards and chandeliers that go over the dorm room, lighting and all sorts of stuff laying down nicer than my bedroom at home going out in these dorm rooms. So I can only imagine the bill from Target, walmart, bed, bath and Beyond any of these stores that you're going to to get these things. And I feel for you because my first thought is, oh my God, I'm going to miss my kids and my heart goes out to these parents who are sending them off. And my second thought is, oh my God, I got to start saving now, even though my oldest is just going to be a freshman this year, because this stuff is expensive. I get it, it's emotional time, kids are nervous and they want all of the things because they're going to be leaving the comfort of their home. So, for those initial items and food and favorite snacks, stocking up, I get it. It's the other expenses you may not be thinking of, that you want to have at least a conversation of hey, I'm putting a certain amount on your card every month, or here's the credit card that can be used for X semester basis, so that there aren't surprises One when you open up the credit card, or two for your kids when they run out of money and then can't afford basic necessities like toothpaste, deodorant, that type of thing when they run out First thing, outside of those initial dorm room necessities, if you will, that you may be hit with when you get to the college campus are textbooks, right?
Speaker 2:So that's going to be in that first drop-off week. And yes, there are used textbooks, but those things are expensive and maybe at the end of the semester, if you don't lose them and I say it because I know one of my children will at least lose one textbook a semester I know which one to. But the cost per semester for textbooks depending obviously on the major and how many courses is $500 to $1,200, even for used books. That's the average in the United States. So you've got to budget that out. If that's not covered by anything that you have prepaid for or have some sort of a scholarship for, that is an expense that they're going to hit you with day two on campus. So first day is schlepping all that stuff into the room and by day two you're in the bookstore just for textbooks alone. You know you're going to get the college sweatshirt and t-shirt and jammy pants, all those things Meals outside of the meal plan.
Speaker 2:I'm 43. Doordash was not available. I'm pretty sure there was like one place you could order delivery food from. It was called Pizza House and they would come into the dorm and yell Pizza House and people would come running to get their pizzas. But they really weren't at least at my college the kind of food options that are available today. And yet we still managed to somehow spend a ridiculous amount of money on food outside of our meal plan, and that's because we were doing other things when the dining hall was open and also the food wasn't fabulous. So, yeah, and it was a social thing to do to get together in a group in a dorm room or a common area and order wings or order pizza and get together. It's really part of that college experience.
Speaker 2:But there has to be a limitation, even for the uber-wealthy. Because it's so important to turn it into a life lesson for kids, because once they graduate from college they're also going to have to budget how often they eat out and go to Starbucks and all of the things. So really, by setting that expectation before you go off to college. So there are difficult conversations when that first bill rolls around or when they go to take money out of their account and it's empty. The other sneaky expense that we'll add up depending on the setting of the college and the location and whether or not you can bring a car transportation. So whether it's public transportation or ubering, which I really hope my kids do in college, so they're not drinking and driving.
Speaker 2:I went to school in Gettysburg, pennsylvania, so there really wasn't public transportation and there was plenty of parking, so we were able to have a car even as a freshman there Something that I don't think kids really think about or talk about with their parents and you figure hey, here's a credit card, you can use this for gas money, thinking that this is what they're going to use when they drive home for breaks or to come home and see you and do laundry and that's all swell. But I guarantee you, once they realize their freedom, they're going to plan a trip. We used to go to Baltimore Inner Harbor for formals, for just shopping, because Gettysburg is not exactly the mecca of shopping. If you want a history lesson, civil War reenactment or ghost tour, it is your place. It is not the place to purchase anything outside of what you can get at Walmart. So we and we did a lot of damage there at Walmart, for sure, but we would often take these day trips and I don't really know what I was thinking like the cost of gas to fill up the car and go two, three hours there and back. That adds up.
Speaker 2:So, again, thinking about how much you can give your kids on a semester basis and what expenses that needs to cover so that they can help make it stretch. Same with if you're in a city setting and maybe you're taking the subway or trains or taxis. That's all going to add up, because one thing about college students is they like to go out and do things. Then, of course, there's just the cost of admissions, transportation and food and, being completely realistic, realizing when you're sending off a freshman they are not 21,. But if you haven't faced the reality of this yet, college students drink before they're 21. They also find a way to purchase alcohol, whether it's a fake ID or a friend. That's 21,. They will be spending money on alcohol. Alcohol is expensive, especially if they're in a city setting and they're going to bars. So it's not necessarily giving them permission to drink. But again, having that conversation about what things cost and really allocating whatever funds are available, having a real conversation of this, is how much I can help out with if you're spending more than this. Talk about potential job opportunities.
Speaker 2:I mean, I was in a different situation. I did work, study, I bartended a few nights a week and I also worked over breaks at a restaurant that I had worked at over the summer or over summers and in high school, and I was lucky to have that job and be able to save money. Where now the environment where my kids are growing up, I feel like that's not the norm, that most parents pay for college and they pay for living expenses and don't expect kids to have a job or to use money that they have earned through babysitting and summer jobs to really pay for these types of things in college. So I know so many clients that just get like an American Express bill every month and it's their kids' bar tab essentially. So I don't know what I'm gonna do. I'm still trying to get through, like the early teen years personally, but I do know that I spent a lot of money on alcohol, on transportation, formals I did have to pay for a lot of those things out of, again, my own work money. So my parents did not offer or did not have the money on top of what they had to pay towards tuition to pay for those types of things. But again, even if you do, it's a great way for them to start learning how to budget. So essentially what I'm saying is don't be afraid to set those expectations.
Speaker 2:One thing I will add to that where I went to college, there were a lot of wealthy students, mostly from New Jersey and Long Island. Again, I was not one of them, but I will say that my friends whose parents gave them what seemed to me at the time unlimited funds for those types of things Often they were ordering from JCrew and Abercrombie and these boxes would arrive, and the thing about it is the kids that got the most money from parents always seemed to be out of money, like I don't know what happened, but it didn't seem to last. So even though I had to make money, they were often borrowing from me, from my bartending and work study job. So I thought that was interesting, that I would just mention that that, again, having to earn a little bit or put a little skin in the game sometimes does help in making careful decisions with how money is spent.
Speaker 2:Lastly, something to think about, really maybe not for that first year, because you probably are either living in a dorm or have something set up, but as your college student gets older, they may be eligible for off-campus housing and rent. I will say one thing about this renters insurance. I have had several things stolen in college and it was a pretty safe campus. But if they're living off-campus, I highly recommend that. The other thing to think about is maybe having a conversation, not again with the college send-off for freshmen, but about their plans as they progress into other years, maybe as early as sophomore year, about off-campus housing. I know I sprung to my mom that I needed a $750 check overnighted or express mail to my potential landlord with very little warning, so I really feel bad about that now thinking about it. But it is something that you want to talk about in advance. Make sure you're prepared for. And then I'm a huge fan.
Speaker 2:As I mentioned, formals and sorority dues. I really enjoyed Greek life and I think it was super. It wasn't just partying. I still have great friendships from my sorority, which was Delta Gamma. So if any DGs are listening, anchor's away and I will say I think it was worth it. And again, I did have to pay for it myself.
Speaker 2:But these are things that you don't want to get the phone call of hey, I joined a sorority. I need a check for $1,200 for this year to join. These are things that if it's not in the budget. Please, please, have that conversation and set expectations and don't feel guilty. Don't fall into the trap of keeping up with the Joneses. If this is something that's important to them, maybe they can find a part-time job or even babysitting near campus something to help out with those expenses.
Speaker 2:The worst thing, though, is when it's sprung on you and you're not prepared. So I really just wanted to record this episode to prepare you for some of those additional expenses besides the initial target run and carload full of things that will make the dorm room feel more homey, and I get it. If I have completely wigged you out, I apologize. Hopefully you found this helpful, gave you some things to think about when it comes to that send off. And again, my mom heart goes out to you because, as annoying as my kids can be, see these send off, and it makes my heart hurt, but it's an important rite of passage. It's exciting at the same time, but emotional, so hang in there.
Speaker 2:I'm going to link in the show notes.
Speaker 2:If this is giving you like hives, it's probably too late if you're sending off this August, but if you're listening, because you will be sending kids off soon, I'm going to link an episode to our late stage college planning episode with Brad Baldridge and then also a few episodes on college savings with Anne Garcia, who is a regular guest on the 52 pearls podcast.
Speaker 2:I will link those other episodes in the show notes. And if you're listening in the gross point area and you subscribe to the gross point news, look for my blog post on the same topic of college send off and college savings and that will be issue and date, but it will be sometime in August and once it's available I will link it below. And if you know someone who is sending off a student in the next few weeks or maybe even just the next few years, but you want to have them prepared, please do share our episode. We love when you do that. Our listeners are growing and we could not be more grateful. So thanks for listening and I hope you're having a great day. You can access our first two seasons of this podcast on our website at wwwpearlplancom or on Spotify.
Speaker 1:If you're interested in learning more about pearl planning, feel free to sign up for our newsletter, also found on our website.
