Factors That Affect Your College Investment Choices
How do you respond to the different factors that affect your college investment choices. In addition to choosing the right investments so your funds grow, there are a couple of other things to consider. Timing and fees are two other factors that can affect the overall benefit you receive from saving toward college investment. Let’s discuss these two in more detail!
Timing: Get Started Early
One of the biggest factors that will affect how much investments can grow your funds saved is the time you allow it to grow. The longer the funds have to grow the higher the likelihood you can really benefit from investing. People often think it’s insignificant to save an amount like $25 per month into an account to get an account started. But consider that each year you would be adding $300, plus any growth you’re receiving. Don’t discount the value time can provide and get started as soon as you are able.
Fees: The Cost to Invest
Not only do we want our investments to grow but we also want to keep as much of those funds as possible. So an important consideration is to review the funds for having an account and also for having the funds you choose. There are accounts available where the fees are very minimal so you keep a large portion of those funds you’re saving.
These two considerations should be thought about in addition to our previous post talking about choosing the right investment options.