Costs of competitive sports
The summer Olympic Games in Rio de Janeiro, Brazil wrap up this weekend, leaving behind of trail of inspiration for young athletes around the world.
Parents are making financial investments in competitive sports that may break the bank.
T.D. Ameritrade surveyed 1,001 parents of competitive athletes who said they’ve spent $100-$500 a month per child.
Nearly 20% spend $1,000 per month, but 57 percent said they don’t have a long term financial plan.
Local financial adviser Mark Goldstein of SAFE-Money Alliance in Las Cruces said parents are not planing for the future like they should.
“They’re so devoted to their children that they’re jeopardizing, they’re putting at risk their own future financial health and well-being,” Goldstein said.
Goldstein said parents “need to be realistic” and not rely on a potential scholarship for their child.
The survey said parents spend 10-12 hours at practices. Goldstein said parents should use that time wisely by learning about how to manage personal finances.
He added that a financial adviser can help parents stay on the right path when it comes to balancing the cost of the a child’s future and financial stability.
ABC-7 spoke with Annie Rester, whose 4-year-old daughter takes weekly gymnastics classes.
Emma’s skills have garnered national attention from a talk show.
Rester said Emma is still two years away from competing and traveling, but already realized it will be a major investment.
She spends about $300 per month in classes and a private lessons.
“I know our expenses are definitely going to go up by a lot, especially when you include traveling,” Rester said.
Rester and her husband are also realistic about Emma’s interest in gymnastics.
“She’s so little that maybe in a year she won’t want to do gymnastics anymore and that will be fine. Right now, it’s just about fun,” said Rester.
If you ask Emma, she sounds confident about her chances at an Olympic medal.
“I want to go there some day.”
Emma said she wants to be like Olympic gymnasts Gabby Douglas and Simone Biles.
As Emma gets older and realizes gymnastics is her passion, her mother said she and her husband willing to do anything to help make her dreams come true.
