Parents urged to avoid tapping retirement savings for college costs

Financial advisers caution U.S. parents against withdrawing retirement savings to fund their children’s college tuition. Data from a 2025 Sallie Mae survey show parents cover about 49% of college expenses, while scholarships and grants account for roughly 27%. Around 17% of respondents reported using their own retirement accounts for these payments.

Experts recommend families explore scholarships, careful budgeting, and other financing options instead of compromising retirement security or incurring high‑interest credit‑card debt. Maintaining long‑term retirement goals while supporting education is presented as the sustainable approach.