Grandparents at 62 Ask How to Fund Granddaughter's College
A couple at 62 with no college background seeks ways to pay for their granddaughter's education after gaining custody.
You're 62, you never went to college yourself, and now you're raising a granddaughter whose early life was anything but easy. That's a lot on your plate — and figuring out how to fund her higher education on top of it can feel overwhelming. But here's the thing: it's not impossible, and you have more options than you think.
First, your age actually works in your favor in one specific way. Financial aid formulas treat grandparent-owned assets differently than parent-owned ones, which can sometimes mean more favorable aid calculations depending on how you structure things. That's worth knowing before you open any savings account or make any moves.
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If you haven't started saving yet, a 529 college savings plan is still your cleanest vehicle. Contributions grow tax-free, and withdrawals for qualified education expenses won't get hit with federal taxes. Even modest, consistent contributions over several years can add up more than you'd expect with compound growth working in your corner.
Don't sleep on scholarships and grants either — especially ones targeted at students who've experienced hardship or been raised outside their birth household. Your granddaughter's background, while painful, may actually open doors to financial support that other applicants simply don't qualify for. Do the research early, because deadlines sneak up fast.
At 62, you're also close to retirement, which means you can't afford to blow up your financial security for tuition bills. The hard truth is that your granddaughter can borrow for college — you cannot borrow for retirement. Balance the support with protecting yourself. Continue reading at MarketWatch.com
