Nothing in savings? You should have 6 month's set aside just for an emergency fund by now, to say nothing of money towards your retirement and money set aside to pay for, or at least start off your kids in college. My spouse was making about the same amount as you when he retired and we put all 3 of our children through college (although we have a pension which younger people are no longer getting).
This is December. I assume that your two kids (twins?) won't be starting college till September of next year. That at least gives you 9 months to save hard.
We don't know what your monthly mortgage payment is, but if you make 130K income (for how many years?) and yet have nothing in savings then you either bought a home 'way more expensive than you can afford or you spend money on other things far beyond your means (I suspect you also own 2 expensive cars). Sit down and figure out where the money is going, and cut your spending to the bone. Consider selling your home and down-sizing. Your children can take out student loans but be very careful–student loans are the most dangerous kind of loans as they are not dischargeable through bankruptcy (oh, and BTW, you might have to co-sign for those loans). Let your children start college at junior colleges to cut costs and tell them to get summer jobs to help cover the cost of college. They might also have to get part-time jobs while in college.
Find a trustworthy financial planner to help you figure out how to save money. Look up Suze Orman online and learn from her–she's the Ordinary Person's financial advisor. And don't waste big money on Christmas gifts any more.
so what's the problem? are you saying you want to send your kids to college and you have no money to do that and they can't get grants and such? Well look, you're responsible for your kids till they're 18, so they need to get minimim wage jobs and take a course at a time at the local community college and pay for that as they earn. Pull together some good references for them and help them do some volunteer work for experience, and if they learn well from the computer courses get them some basic freshman courses that they could transfer to a college near you. Check first if a college will accept those (check with the Dept of Education). Maybe you have relatives in a less expensive state where your kids could go live with them and at least get 2 years of college or vocational school completed. At some point and if your kids are 18 and live off on their own they may be able to get government student loans.
You and an entire generation, over 75% of families are living paycheck to paycheck. More then 55% of households will struggle trying to pay for a simple $400.00 unexpected debt. Average being carried on credit cards is now more then 10 grand. An entire generation who started building their lives from 90 or so to 2010 or so, are making the same as when they started. No one counted on that, it isn't how it has always worked, it's the same with those carrying all that college debt now. The jobs and the expected wages just are not there. Downsizing is really what you need to do.
More money, more problem. This quote is based upon men's greed, and nothing else. The money itself doesn't bring more problems, but people these days are too materialistic and greedy. The more money they make, the debt gets deeper and deeper. It's because they keep on buying things they don't need, maybe to create the illusion that they're better than the next person. You're probably a troll. You make good money, and with that amount, you shouldn't be in debt. You should've have at least $15,000 save, but you "needed" a house you couldn't afford.
What is your house actually worth? If it's worth something like $500k, you might be able to get a home equity loan or line of credit, which can help pay for college. Or sell it and move into a cheaper place (if you aren't underwater in it). Also have your kids get jobs and/or win scholarships to help with college costs. Local community colleges or trade schools can be more cost-effective, too, instead of big universities. Maybe speak with a financial advisor to see what you need to change about your lifestyle that has kept you from putting any money into savings.
And what is your question?
Is it short-sighted to have no savings, no emergency fund, no college fund for the kids? Yes!
Should you plan for your future, for retirement? Yes, NOW.
Did you buy more house than you could afford and do you have substantial debt? Yes!
Incremental change is the answer. Fund retirement starting now. Pour your Xmas bonus into retirement savings and extra principal Payments on home. Put something aside every month, creating an emergency fund, even if just $20 every payday.
I see there are several responses to your statement. I have no idea as to what your question is as I do not see one.
What we do know is that you have a house where the mortgage balance is around $390K. Also your annual
income is around $130K.
You have two children ready for college and you have no savings.
That being said by you, what is your question?
I hope this has been of some benefit to you, good luck.
Not everyone needs to go to college and certainly not right after high school. They can work for a year or two and save money towards college. Or, loans, grants or other financial aid avenues.
The kids need to be hustling their buns getting scholarship coverage.
And who can't live on 130k a year? DOWNSIZE your spending, cut out all items from the budget that are not necessary. You way overdid your ability to have that house.
They will get loans. Help them choose schools that are good fits and majors that they will stick with, because they'll still be stuck with the loans if they drop out.
And work on saving up an emergency fund.