Wait a minute, Mom, Dad, you’re not paying for college?
A new national survey of college-bound teens and their parents show a vast disconnect between students’ and parents’ expectations about how college expenses will be paid. Nearly half of teens (48 percent) think their parents will help pay for college, but only 16 percent of parents said they plan to help pay for post-secondary education, according to a new survey by Junior Achievement USA and The Allstate Foundation. The 2015 study was conducted online on Junior Achievement’s behalf by Harris Poll in January 2015 among 801 parents of teens ages 13-18 years old and 800 teens ages 13-18 years old. The survey also reinforces that parents serve as teens’ biggest teachers when it comes to money management skills. Eighty-four percent of teens report looking to their parents for information on how to manage money, but more than 34 percent of parents said their family’s approach to financial matters is not to discuss money with their children and “let kids be kids.” The survey results point to the need for parents and teens to have honest conversations about money management, including paying for college, said Nick Colletti, president of Junior Achievement of Central Iowa. An executive summary of the 2015 Junior Achievement USA/Allstate Foundation Teens & Personal Finance Survey is available, here.