In tough times like these, people are considering many different ways to save on a college education. And it's not just the middle class. According to a new poll from Sallie Mae, the well off are taking more steps to save some cash on education than usual, as families across the nation seek ways to keep their spending lean.
It seems odd, but one way wealthy families (those earning above $100,000) are keeping college costs down is by borrowing more. Reuters reports that these families borrowed about $3,399 last year, up from $2,306 in 2010. Students from those families took out more loans, too. In 2011, they borrowed about $2,591, which is up about $500 from 2010. Additionally, the number of families (including those earning between $35,000 to $100,000) eliminating schools because of their costs jumped to 70 percent last year, compared to 64 percent in 2010.
For young people, perhaps the most frightening stat to emerge from Sallie Mae's report was that more families — regardless of earnings — are keeping the kids at home instead of paying for a dorm room as a way to keep costs low. Almost half of students from wealthy families (47 percent) and just over half (53 percent) of students from middle class families are living at home. That's not only an effective way to save money, it's also a great way to keep your kids away from keggers. Hopefully!