Wow, I feel like I've already missed the train on a great thread here!

I think Dave's initial post here really hit the nail on the head for the primary issues. Your options for getting access to money to fund college are more flexible and available than what you can do if you don't have enough money for retirement. Some financial planners draw an analogy to the warning you hear during the safety demonstration on an airplane - you need to put on your own air mask before you help others; or in this case, you need to secure your own financial future before you try to help others. Otherwise you run the risk that by spending more than you can afford on your children's college education, you may end out depending on your children to support you in retirement. In some families that's a "normal" family tradition, but more and more I see parents that wish to avoid this, if only for fear that they may become a burden on their children.

In addition, many families are finding that they actually PREFER to have children fund at least some portion of their own college education, either via their own savings or via their own loans. Why? Simply put, because in many cases children who have a direct financial stake in their college education take the investment more seriously. Of course, this varies by the child and the family, but in many cases parents are starting to prefer to have children help with their own college funding - which of course, also leaves you more flexibility to save for your own retirement as well.

I won't reiterate the rest of Dave's great points, but let me just add quickly that ultimately this is still a very personal decision. Some families have a strong preference to fully fund a child's college education, even if it means sacrificing their own retirement future. Ultimately, that's a trade-off decision that we all make for ourselves. But from a general planning perspective, securing your own retirement financial future will leave you in a capable position to help your children at many points throughout their lives (and your children just might take college more seriously if they have a financial stake in it). Sacrificing your retirement future to fund a child's college education increases the risk that you may become depending on the children in the future. But in the end, you still have to make the decision for yourself based on your own family goals and beliefs!

I hope that helps a little!