Survey finds grandparents pitching in for college - WAFB 9 News Baton Rouge, Louisiana News, Weather, Sports

Survey finds grandparents pitching in for college

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The survey by Fidelity found the median contribution to college funds by grandparents to be $25,000. (Source: CNN) The survey by Fidelity found the median contribution to college funds by grandparents to be $25,000. (Source: CNN)

(CNN) - Many grandparents are putting tens of thousands of dollars towards helping their grandchildren pay for college, according to a new survey.

The survey from Fidelity shows 53 percent of grandparents are already saving or planning to start saving for their grandkids' education.

While the median contribution is $25,000, many expect to give $50,000 or more.

That's even as a lot of grandparents are worried about saving for their own retirement goals.

An expert at Fidelity said it's an emotional topic, and many grandparents want to make sure their grandchildren are set up for success.

About a third of those surveyed said they contribute to a college savings plan on a monthly basis. Another third do it in the form of occasional gifts.

While some grandparents give the money to their adult children to distribute, most manage their own funds, like putting the money in a 529 savings plan or including it in their wills.

Starting the saving early can open up a lot more opportunities for kids approaching college, especially at a time when so many adults are still struggling to pay off their student loans.

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