Skating Through Hockey Costs: Smart Savings Strategies for Hockey Parents

 Hockey Isn’t Cheap—But a Smart Game Plan Can Help

If you’re a hockey parent, you already know—this game isn’t for the faint of wallet. Between registration fees, skates, travel, and that inevitable mid-season growth spurt that makes last year’s gear useless, the costs add up fast.

As former competitive athletes (and now parents), Casey and I understand firsthand the financial commitment sports require. But beyond our time in the sports, our day job is running a financial brokerage, where we help families set up smart, long-term financial plans. Just like a great player needs great coaching, a well-executed financial game plan needs a licensed professional leading the way. Our goal? To help hockey parents navigate these costs without stress, ensuring their kids can chase their dreams while staying financially secure.

Let’s break down real strategies to help parents save smarter, protect their families, and make hockey more manageable.

1. Start Early: The Power of Compound Interest

Time is your best teammate when it comes to saving. The earlier you start, the less you have to contribute over time—all thanks to compound interest.

For example:

• If you invest $100/month when your child is 5 years old, by the time they turn 18, you could have $43,000+ saved with moderate growth.

• Wait until they’re 12, and suddenly you need to save nearly double per month to reach the same goal, and you still only end up slightly ahead at $45,000.

Think of it like training. A player who skates once a week for five years won’t develop the same way as someone who skates daily from day one. Your money works the same way—the earlier you start, the bigger the results.

The Rule of 72

A simple way to understand compound interest is the Rule of 72—divide 72 by your expected annual return rate, and the result tells you how many years it takes for your money to double. For example, with a 6% return, your investment doubles in 12 years. This is why starting early is so powerful—it gives your money more time to multiply.

The 4 D’s of Investing

1. Discipline – Stick to your plan even when the market fluctuates. Investing is a long-term game.

2. Diversification – Don’t put all your eggs in one basket. A mix of stocks, bonds, and funds helps manage risk. Mutual funds are great tools to achieve this.

3. Dollar-Cost Averaging – Invest a set amount consistently, whether the market is up or down, to average out costs over time.

4. Duration – The longer you stay invested, the more opportunity your money has to grow. Time is your best friend.

2. The Right Accounts for Hockey & Education Savings

Every family’s situation is different, but here are a few smart options that maximize savings and tax advantages:

➡️ UTMA/UGMA Accounts

A Uniform Transfers to Minors Account (UTMA/UGMA) allows parents to save and invest money in their child’s name, which they can use for hockey, college, or other expenses once they reach adulthood.

Pros:
✔️ Can be used for more than just education—money can go toward hockey, business opportunities, or anything else that benefits the child.
✔️ Potential for tax advantages depending on contributions and withdrawals.

Cons:
❌ Becomes the child’s asset at adulthood, which means they have full control over how it’s spent.
❌ May impact financial aid eligibility for college.

Best for: Families who want flexibility in how the money is used, whether for hockey, education, or other future opportunities.

➡️ 529 College Savings Plans

Even if your child’s dream is the NHL, it’s smart to have a backup plan for education. A 529 plan offers tax-free growth and withdrawals for schooling, and some plans even allow penalty-free rollovers if hockey scholarships come into play.

Pros:
✔️ Tax-free growth when used for qualified education expenses.
✔️ If one child doesn’t use it, another child in the family can benefit from the funds.

Cons:
❌ Funds are restricted to educational expenses—if used for anything else, there are penalties.
❌ Fewer investment choices compared to other accounts.

Best for: Parents who are certain they want to save specifically for education expenses and want tax advantages for doing so.

The Costs of Higher Education:

• Public Four-Year Institutions:

  • In-State Students: Approximately $11,610 per year in tuition and fees.

  • Out-of-State Students: Around $30,780 annually.

• Private Four-Year Institutions:

  • Average tuition and fees are about $43,350 per year.

• Trade School Programs:

  • Typically range from $12,000 to $20,000 per year, depending on the program and institution.

Considering these figures, a four-year degree at a public in-state university could total over $46,000 in tuition and fees alone. This estimate doesn't account for additional expenses such as housing, meals, books, and supplies, which can significantly increase the overall cost.

➡️ Emergency Money Market Accounts

Hockey can be unpredictable. Whether it’s an unexpected travel tournament, new skates, or a team change, a liquid savings account can prevent last-minute financial stress.

Pros:
✔️ Higher interest rates than checking accounts—your money is always working for you.
✔️ No penalties for withdrawals, offering financial flexibility.

Cons:
❌ Interest rates are lower than stock market returns, so it’s best used for short-term needs.

Best for: Families who want quick access to their money for unexpected hockey expenses while earning a better return than a traditional savings account.

Think of an emergency fund like a great general manager. It’s always looking for ways to improve your team—keeping cash available for when you need it most while making sure it’s still working efficiently.

3. Parents Need to Protect Their Own Financial Future, Too

➡️ Life Insurance: Protecting Your Family’s Future

Life insurance is a product designed to protect your income, not your life. You will be long gone, and the life insurance is there to provide a financial influx for your family, ensuring they don’t suffer financially in your absence.

Key Considerations: 

✔️ Term Life vs. Whole Life Insurance – Term life is a lower-cost product that covers you for a set period, allowing you to invest the difference into the stock market and utilize the Rule of 72 for growth. Whole life insurance builds cash value over time but comes at a higher cost.

✔️ Loss of income protection – If something happened to you, would your family be able to maintain their current quality of life? Would your kids still be able to play hockey? Could your spouse afford to hire help for transportation?

✔️ Tax-free benefit – Life insurance policies pay out tax-free to the beneficiary, ensuring maximum financial security.

✔️ Coverage rule of thumb – Carry a policy that is at least 10 times your annual income. Most employer-provided life insurance policies do not meet this standard, making it crucial to review your coverage.

✔️ Free medical exams – Some policies offer free medical exams to help lower costs. These exams also provide insights into your health and where you can improve your lifestyle.

✔️ The best time to buy – Life insurance is always less expensive if purchased when you are younger and healthier. If you’re just starting your journey, locking in a policy now ensures the best deal to protect your team.

➡️ Roth IRAs: More Than Just Retirement

A Roth IRA is valuable as an investment tool because it allows contributions made with after-tax dollars to grow tax-free, meaning you can withdraw your money in retirement without paying any taxes on the earnings. This makes it particularly beneficial for individuals who expect to be in a higher tax bracket during retirement compared to their current income level. Additionally, you can withdraw your contributions at any time without penalty, offering flexibility for emergencies, and there are no required minimum distributions (RMDs) like in a traditional IRA, allowing your money to continue growing tax-free for longer.

Key Benefits of a Roth IRA: 

✔️ Tax-free growth – Investments within a Roth IRA grow tax-free, allowing for greater compounding over time.

✔️ Tax-free withdrawals in retirement – When you meet eligibility requirements (age 59.5 or older and account open for at least 5 years), qualified withdrawals are completely tax-free.

✔️ Contribution flexibility – You can withdraw your original contributions from a Roth IRA at any time without penalty or taxes.

✔️ No RMDs – Unlike traditional IRAs, you are not required to take minimum distributions from a Roth IRA during your lifetime.

✔️ Potential for estate planning – Beneficiaries can inherit a Roth IRA and withdraw contributions tax-free, depending on the account’s age.

➡️ 401(k) Plans: Managing Your Retirement Savings

Have you recently changed jobs or careers? Did you have an employer-sponsored savings program that you haven’t touched? Many people have old 401(k) plans sitting with previous employers, often forgotten or overlooked.

Rolling over old 401(k) plans from employer-directed programs into self-directed investment accounts is a smart way to regain control over those funds and potentially maximize growth. Employer-sponsored programs pool funds from numerous employees, which means your money is being invested without a personal strategy tailored to your needs. Do you think the money manager overseeing your company's entire labor force is personally focused on your portfolio? What incentive do they have to make your money work harder for you?

By rolling over a 401(k), you can:

✔️ Choose how your money is invested based on your personal risk tolerance and financial goals.

✔️ Potentially reduce fees associated with employer-sponsored plans.

✔️ Avoid penalties while ensuring your money continues to grow for retirement.

If you’re unsure about your old 401(k) accounts, it’s time to track them down and make sure they’re working as efficiently as possible for your future.

The best players don’t just focus on today’s shift—they think three steps ahead. The same applies to financial planning.

4. A Great Game Plan Needs a Great Coach

Parents spend time, energy, and money making sure their kids get the best coaching in hockey—so why not do the same for their finances?

While only about 0.11% of youth hockey players will ever play a single game in the NHL, and even among NCAA Division I players, fewer than 2% make it, 100% of players eventually graduate from hockey and move on to college, trade schools, small businesses, or the job market. And when that time comes, understanding how to maximize your dollars is just as important as knowing how to take a good first pass.

Think of smart financial planning like having a rock-solid third line—the kind you never have to worry about. They’re out there shutting down the other team’s top line, throwing pucks on net, staying a plus player, and eating minutes on the penalty kill. They might not get the highlight-reel goals, but when the game’s on the line, you’ll be glad they’re doing the little things right.

That’s what a well-executed financial plan does—it quietly works in the background, making sure you’re always in a position to win, whether it’s covering hockey costs, paying for school, or setting up long-term security for your family.

Final Buzzer: Making Smart Plays Off the Ice

Hockey teaches discipline, preparation, and strategy—your financial approach should reflect that. The sooner you start planning, the easier it is to navigate hockey costs, education savings, and long-term security without unnecessary stress.

If you have questions, need guidance, or want to make sure you’re on the right track, Casey and I are happy to chat. The best players have great coaches, and the best financial plans do too.🏒

About the Authors

Casey and Darrell have dedicated their professional lives to helping families navigate financial planning. Casey started their brokerage 18 years ago, and after they got married in 2017, Darrell got licensed to extend his ability to help families—especially those he works with in the hockey world. Whether their kids make it to the pros or not, they want to make sure they understand the power of the dollars they earn and how to make their money work for them. Their goal is to educate families on making smart financial decisions so that hockey—and life—can be a little less stressful. If you ever need guidance, Casey and Darrell are happy to help. Financial planning is like hockey—having a great game plan makes all the difference.