Most wealthy Americans encourage their children to participate in athletics, arts or extracurricular activities to better their chances of being admitted into college, a new CNBC survey of America’s millionaire population found.
In May, CNBC surveyed 750 Americans, representative of the affluent population, to get an idea on the amount of money that wealthy families spend to get their kids into college.
The survey revealed that wealthy parents with at least $1 million of investable assets, on average, spent $1,000 to increase the chances of getting their children accepted into a college.
20 percent of millionaires ages 55 and younger spent more than $50,000 to increase their child’s college of choice entrance odds, and most of them, including female and working millionaires, said these efforts were helpful.
When it comes to the most common college preparatory efforts, 33 percent of millionaires encouraged their children to participate in extracurricular activities, athletics, and arts. Nearly 7 percent of the surveyed parents said they would hire a college entrance exam tutor, 2 percent said they would donate to a particular school, another 2 percent said they would hire a college admissions counselor, and 55 percent of those surveyed did not choose any response.
Earlier in March, the U.S. Department of Justice uncovered a national college admissions scandal in which 50 people were charged, including famous Hollywood actresses Felicity Huffman and Lori Laughlin, for allegedly paying bribes to get their children accepted into top higher education institutions. The scandal involved 33 affluent parents, nine college athletic coaches, two SAT/ACT administrators, one exam proctor, and one college administrator.
Last week, a federal court sentenced Stanford University woman’s sailing team coach John Vandemoer to one day in jail, six months of home confinement, two years of supervised release and a $10,000 fine.
The idea of tuition-free college at public schools, paid for by the federal government, also did not resonate with most of the millionaires. Instead, they supported a wealth tax on Americans with $50 million or more in assets.
Pertinently, most of the candidates seeking the Democratic presidential nomination are proposing either a debt-free or tuition-free college experience. Last month, Julián Castro released a comprehensive plan to eliminate tuition at public colleges, universities, community colleges, and technical and vocational schools.
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