In 1982, my grandfather responded to a letter from “Dave,” asking him to dispense some of his knowledge on monetary matters (Part 1, Part 2, Part 3). After wrapping up his discussion on life insurance, he concluded with some advice on helping children with college expenses.
Don’t buy burial insurance, for your wife, your children or yourself. Invest the money instead. Don’t buy insurance on the life of your children. They’re going to live. Gamble on it. Invest the money instead. Why share the profit with the insurance company? Don’t buy an endowment policy to cover college expenses. Invest the money instead.
Here is as good a place as any to cover the matter of sending your children to college. Don’t. Let them go on their own. And be sure they pay their own way. Does that sound cruel? It isn’t. It’s for their own good. And yours. The college expense of children is not a proper expense for parents.
Most anyone will accept a dole, whether they need it or not. Young people need the discipline, the rigor and the experience of working for what they want . . . and to be willing to pay the price. The Biblical principle is, “no work, no eat . . . no work, no get.” If a young person is to go to college he needs to know the purpose for which he is going, the conviction that he needs what he’s after, and the gumption to work for it. To have a college education handed to one on a platter is a misuse of funds. If the young person is truly purposeful in his desire to go to college and is willing to work for it he is then entitled to a little help along the way, if necessary. Just make sure that ANY assistance he gets always comes as a surprise. He should never get help if he expects it.