Families misjudge college savings, study finds
Parents and students have unrealistic expectations about what college will cost— and what graduates will make
Parents saving for their children’s college expenses may be in need of a reality check, according to a new study from Fidelity Investments. While Massachusetts families expect to pay most of their children’s college costs, the typical family won’t even reach 25 percent of their goal by the time college rolls around, the study said. Parents in the state also have unrealistic expectations about their child’s salary upon graduation. Those who nudged their child towards a particular major in hopes they would earn more money said they expected their child to earn an average of $70,300 upon graduation. The average starting salary for the class of 2012? Just $44,442.