I don’t have a very substantial savings account for retirement.  When I worked before my daughter was born I contributed to my 401(k) like clockwork, but when I came home to be a stay-at-home mom I rolled my funds into an IRA and then let it sit there.  It’s been bruised and battered as the stock market goes up and down, but I haven’t bothered to add any more money to it at all.  Every year around tax time I tell myself I’ll get another IRA going, but I never do it.

On the other hand, both of my kids have college savings accounts that have been in place since they were each three months old.  We have automatic payments every month that go directly from the checking account into the college funds without fail, and slowly but surely the balances in their college funds have started to rival what I have in my retirement account.

Although I know that we’re supposed to save for our kids’ college educations, I also know that I’m not really going about this the right way.  The simple truth is this: My kids can borrow money to go to college, but I can’t borrow money to go into retirement.  If I stay the current course then my kids will go to college with no financial worries – if they choose to go to college – but I’ll be in the poor house when retirement rolls around.

Here is what I should be doing instead: I should automatically contribute to a retirement account for myself while also contributing to my children’s college funds.  Although this will reduce the amount of money they will eventually have to pay for their college educations, it will ensure that I have enough money to fund my eventual retirement.

By the way, if you’re worried about my husband’s retirement fund, don’t.  He’s been contributing 10% of his income to an employer-sponsored retirement account for as long as I can remember.  Apparently I’m the only one in the family who isn’t prepared for the future.

If you’re a stay-at-home parent without an income you can look into a Spousal IRA, but if you’re like me and you’re employed then you have plenty of options for retirement accounts.  Should you save for your baby’s college education? Yes, you should, but you shouldn’t disregard your own financial needs for the future too.