• Report

Parental financial support for undergraduate education. Contractor report (NCES 92-390)

Citation

Choy, S., & Henke, R. (1992). Parental financial support for undergraduate education. Contractor report (NCES 92-390). Washington, DC: National Center for Educational Statistics (NCES); U.S. Department of Education.

Abstract

This report describes the role of parents in providing financial support for their financially dependent undergraduate children. It presents information on the extent to which parents provide their children with gifts, loans, and in-kind contributions; the amounts they provide; how the amounts compare with the expected family contributions determined by the student financial aid system; and the various types of savings and loan programs that parents use. The report used data from the 1986-87 National Postsecondary Student Aid Study to identify parents of 27,415 undergraduate students; these parents were sent questionnaires. Report highlights include the following: (1) 92 percent of financially dependent undergraduates received gifts (67 percent), loans (11 percent), or in-kind contributions (83 percent) from their parents, averaging $3,274; (2) white students were more likely to receive gifts than black students (70 percent versus 43 percent); (3) overall, 42 percent of the students had parents who saved to help them with their postsecondary education; (4) among the students whose parents saved, 46 percent had started when the student was in elementary school or before; (5) among students whose parents saved, 71 percent had set up accounts in the parents' names; and (6) only 14 percent of the students had parents who assumed one or more types of loans. The appendices contain technical notes and methodology and discussion of selected standard errors and unweighted Ns. (GLR)