Sending a child off to college is one of life’s most emotional and meaningful transitions. For parents, it often comes with a mix of pride, nostalgia, and a long to-do list. Amid the packing, paperwork, and tuition payments, it’s easy to overlook one of the most important lessons they’ll need: how to manage their finances.
At Keel Financial, we believe that financial literacy is one of the most valuable tools you can send with your child. While we work with families to plan for education costs well in advance, we also encourage conversations that help students take ownership of their financial habits and future.
What Your College-Bound Student Should Know
Here are a few key concepts to share as your student begins this next chapter:
1. Budgeting Basics
From meal plans to textbooks to weekend expenses, understanding where money goes is the foundation of financial health. Help them create a simple monthly budget and track spending—apps like Mint or YNAB can be helpful tools.
2. The Power (and Danger) of Credit
Many students are offered credit cards early on. It’s important they understand interest rates, payment cycles, and the long-term impact of credit scores. Used responsibly, a credit card can help build a credit history. Used poorly, it can create a cycle of debt that follows them for years.
3. Banking 101
Make sure your student understands how their checking and savings accounts work—especially if they’re using mobile banking or switching banks in a new state. They should also know the difference between debit and credit cards and how to avoid overdraft fees.
4. Student Loans Are Not “Free Money”
If loans are part of the equation, now is the time to discuss repayment timelines, interest accrual, and long-term impact. A clear understanding of loan obligations can help students make informed decisions about majors, internships, and future salaries.
5. Financial Independence Is a Process
Learning to manage money doesn’t happen overnight. Encourage your student to ask questions, make mistakes, and learn from them. Offer guidance, but let them build the skills and confidence that will serve them for decades.
For Parents: What You Can Do Now
- Talk openly about how college is being funded—whether it’s savings, current income, loans, or a combination.
- Revisit your financial plan. College can change your cash flow, retirement timelines, and estate planning considerations. We’re here to help you adjust accordingly.
- Involve your student in the process. The earlier they understand the value of money—and what it takes to earn and grow it—the more prepared they’ll be for life beyond the classroom.
A Milestone Worth Planning For
At Keel Financial, we view college not just as an education investment—but as an opportunity to empower the next generation with the tools and habits that lead to lifelong financial wellness.
Whether you’re sending your first child to school or your last, we’re here to support your family at every step—from tuition strategy to estate planning strategies to those first budgeting conversations.
Let’s make this next chapter a confident one—for you and your student.
Connect with us at keelfinancial.com/connect-with-keel/ to schedule a conversation.
Disclosures
Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual.
Financial planning is a tool intended to review your current financial situation, investment objectives and goals, and suggest potential planning ideas and concepts that may be of benefit. There is no guarantee that financial planning will help you reach your goals.
This material was prepared using Artificial Intelligence (AI) tools.
