I haven't written about higher ed issues (costs, value, etc) in part because my children have graduated (debt free, thank heavens) and because the issue is still too depressing. The kinds of issues I was struggling with years ago (is it "worth it" to go for a more prestigious college? how can one save if college costs rise at twice the rate of inflation? do schools offer "merit aid" and then nullify it with tuition increases in subsequent years, and so on). are--alas--with us still. Indeed, they are perhaps exacerbated by the fact that the job market is still difficult for recent graduates.
My clever title is borrowed from a piece I recently read in a new-to-me publication. The costs, the growth of the administrative class, the growth of the non-tenured instructor/part-timer class, yeah, I've seen it all. I used to tell my children that I felt that higher ed involved "trickle-up economics," with the borrowing/paying student enriching all those who stood to profit. The article in the link puts it better: higher education is a cash cow and the student is the cow.
Among the beneficiaries: the Testing Industries, you know, GRE, SAT, GMAT, MCAT, LSAT, and all others. Miss Em recently took the GREs and I was stunned to learn that the test cost over $160. Thankfully, she does not plan to take it again, having done well enough the first time.
I had this in mind when I received an email from Educational Testing Service, which puts out the tests. ETS wanted to know what works little old me taught in a survey course. I could contribute to the public weal (and to the AP Exams) by taking a survey. AND--as a reward--I could request a copy of the results.
You have got to be kidding, Mr and Ms ETS. My late father was in the survey biz and I remember that professionals who took surveys were compensated. So I shot back an email--which no doubt was not read--saying that if the ETS made money on the tests (it does) then the ETS should compensate with SOMETHING. I got another email a few days later, to which I made the same useless reply.
Take this out of your library!
Showing posts with label College Finances. Show all posts
Showing posts with label College Finances. Show all posts
Tuesday, 19 November 2013
Thursday, 29 August 2013
Instead of a Rant about TIAA Reps, An Uplifting Story About Small Frugalities Adding Up
I just got off the phone with TIAA, where 3/4 of my net worth resides. Two out of three reps made me upset (with the first, I cried). They must have terrible training scripts!
But instead of writing about that experience, I will share a happy story about small frugalities. I am a pennywise person. I don't think I'm pound foolish, but I'm definitely not poundwise. Every time I try to save on a big ticket item (insurance, for one thing), I end up confused and frustrated.
Generally it's hard to figure out what effect these small frugalities have. Sometimes I feel like I'm nuts: I will NOT spend that for a jar of peanut butter! That kind of thing. Finally, though, I have some evidence of how things add up. Miss Em graduated last May. She just got her final settlement check from her university. Yes, a check FROM her university. It was pretty hefty for a recent grad.
$1600 of the check was for Dining Dollars. Each semester, students are required to buy $300 in Dining Dollars. This is mostly for coffee and snacks at the campus Starbucks, but can be used in the dining halls and at some off-campus venues. Miss Em reports that many of her friends blew through the money in a few weeks. Miss Em obviously spent some--out of $2400 (8 semesters), she spent $800. She said, I used it to go out with friends, not to get caffeine. She pointed out that--in addition to her dorm room where she had a coffee and teapot--she had access to the free coffee in various organizations and offices, in her case, the Honors College, the University Fellows Program office, and Creative Campus. She also carried her little thermos everywhere. In fact, the Starbucks was rather out of the way for her so the thermos was a time- as well as a money-saver for the most organized and time-efficient member of my family.
You go girl!
P.S. The check covered her new laptop and she still has some left over.
P.P.S. Should I move my money to Vanguard when I retire?
But instead of writing about that experience, I will share a happy story about small frugalities. I am a pennywise person. I don't think I'm pound foolish, but I'm definitely not poundwise. Every time I try to save on a big ticket item (insurance, for one thing), I end up confused and frustrated.
Generally it's hard to figure out what effect these small frugalities have. Sometimes I feel like I'm nuts: I will NOT spend that for a jar of peanut butter! That kind of thing. Finally, though, I have some evidence of how things add up. Miss Em graduated last May. She just got her final settlement check from her university. Yes, a check FROM her university. It was pretty hefty for a recent grad.
$1600 of the check was for Dining Dollars. Each semester, students are required to buy $300 in Dining Dollars. This is mostly for coffee and snacks at the campus Starbucks, but can be used in the dining halls and at some off-campus venues. Miss Em reports that many of her friends blew through the money in a few weeks. Miss Em obviously spent some--out of $2400 (8 semesters), she spent $800. She said, I used it to go out with friends, not to get caffeine. She pointed out that--in addition to her dorm room where she had a coffee and teapot--she had access to the free coffee in various organizations and offices, in her case, the Honors College, the University Fellows Program office, and Creative Campus. She also carried her little thermos everywhere. In fact, the Starbucks was rather out of the way for her so the thermos was a time- as well as a money-saver for the most organized and time-efficient member of my family.
You go girl!
P.S. The check covered her new laptop and she still has some left over.
P.P.S. Should I move my money to Vanguard when I retire?
Tuesday, 29 January 2013
Helping Adult Children Buy Houses: A Little Disclosure
There are so many issues involved, some of which were brought up in the comments to my last post. One has to think of one's own finances, especially retirement. One has to worry about creating dependency: The Millionaire Next Door authors talk about how Economic Outpatient Care weakens adult children and leads to less productivity. And: what about the other kid?
Well, who knows about retirement. Will we have enough? I have no idea. But my frugal chops are well-developed.
As for dependency: so far Frugal Son seems quite independent in his actions, especially considering how low his income is.
As for the other kid: both kids have similar profiles, for which see below.
The reason I am thinking about this is that--after almost 5 years of severe despondency and throwing my 403b statements in a box unopened, I took a peek recently and things seem OK, at least till the next bubble. When I say I, I mean we, by the way. I just do most of the planning, while Mr FS does the gardening, painting, and home and car maintenance. Since we are both frugal by nature and nurture, and because we fantasized about sending the two children to PRIVATE LIBERAL ARTS COLLEGES, we saved and saved, even as the cost of college soared at double the rate of inflation. We even started a 529 account, in which we amassed room and board expenses for four years, because we knew that if our children chose an in-state public institution, tuition would be free via the TOPS program.
As it happened, the dear children weren't as enamored of the private colleges as we were (perhaps there is a lesson there). They received some merit aid at private colleges. Each child also received room and board scholarships on top of tuition at public colleges. For that, we can all thank the test-taking gods or the fact that the children had genetic material from two families with good test takers. (Mr FS told me long ago that his older brother had perfect SATS. I have not independently verified this claim.) They each chose a public institution. Each is happy with that choice.
So, if you have been reading with any attention, you may have figured out that the 4 years of room and board fees remain untouched. Mr FS said "Why not let the kids share in the consequences of their choices?" I say, "No one would question our having spent this money on room and board or a car when they were in college, etc etc."
My musings will continue...
And, if you haven't read this, you should. It was a life changer for me.
Well, who knows about retirement. Will we have enough? I have no idea. But my frugal chops are well-developed.
As for dependency: so far Frugal Son seems quite independent in his actions, especially considering how low his income is.
As for the other kid: both kids have similar profiles, for which see below.
The reason I am thinking about this is that--after almost 5 years of severe despondency and throwing my 403b statements in a box unopened, I took a peek recently and things seem OK, at least till the next bubble. When I say I, I mean we, by the way. I just do most of the planning, while Mr FS does the gardening, painting, and home and car maintenance. Since we are both frugal by nature and nurture, and because we fantasized about sending the two children to PRIVATE LIBERAL ARTS COLLEGES, we saved and saved, even as the cost of college soared at double the rate of inflation. We even started a 529 account, in which we amassed room and board expenses for four years, because we knew that if our children chose an in-state public institution, tuition would be free via the TOPS program.
As it happened, the dear children weren't as enamored of the private colleges as we were (perhaps there is a lesson there). They received some merit aid at private colleges. Each child also received room and board scholarships on top of tuition at public colleges. For that, we can all thank the test-taking gods or the fact that the children had genetic material from two families with good test takers. (Mr FS told me long ago that his older brother had perfect SATS. I have not independently verified this claim.) They each chose a public institution. Each is happy with that choice.
So, if you have been reading with any attention, you may have figured out that the 4 years of room and board fees remain untouched. Mr FS said "Why not let the kids share in the consequences of their choices?" I say, "No one would question our having spent this money on room and board or a car when they were in college, etc etc."
My musings will continue...
And, if you haven't read this, you should. It was a life changer for me.
Sunday, 11 November 2012
Should College Students Reap the Benefits of their Choice
Mr FS and I attended musical event last night. At the break, we talked to an acquaintance. Our chat followed a familiar course.
Acquaintance: How is Miss Em?
Me: Fine. How's Sarah?
There follows a 10 minute monologue detailing Sarah's many accomplishments. Poor Miss Em! The inquiry is perfunctory really: the acquaintance is only interested in blabbing about her daughter.
Las night the conversation took an unexpected turn. Instead of the expected bragfest, Mom said "I can't wait till Sarah graduates. I told her: that's it!" After some questions, I learned that Sarah--who attends a mid-range private college--got a lot of grants ("the tuition is over $40,000"). Still, Sarah faces $20,000 in debt and Mom and Dad pledged to pay it off.
I said, "$20,000 isn't all that bad for 4 years in a private college."
Mom said, "That doesn't count the $1800."
Me, "A year?"
Mom, "No, a MONTH."
I love math, as long as it's low level, so I quickly computed that we are talking about around $100,000 in after-tax income. Mom is a paralegal and I'm not sure what Dad does--something with maps.
Then I started thinking. If Sarah had elected to go to a state school, she would have received the Louisiana tuition scholarship (TOPS). Mom and Dad would have been on the hook for about $10,000/year for room, board, and books.
That totals $40,000. What about the other $60,000? Well, that could buy Sarah a car post graduation, leaving around $40,000 for a house down payment.
While I've heard some parents offer a wad of cash in lieu of a wedding to the happy couple, I've never heard of anyone offering to let the student reap all or even part of the financial benefit of choosing a lower cost school.
What do you think of this modest proposal?
Acquaintance: How is Miss Em?
Me: Fine. How's Sarah?
There follows a 10 minute monologue detailing Sarah's many accomplishments. Poor Miss Em! The inquiry is perfunctory really: the acquaintance is only interested in blabbing about her daughter.
Las night the conversation took an unexpected turn. Instead of the expected bragfest, Mom said "I can't wait till Sarah graduates. I told her: that's it!" After some questions, I learned that Sarah--who attends a mid-range private college--got a lot of grants ("the tuition is over $40,000"). Still, Sarah faces $20,000 in debt and Mom and Dad pledged to pay it off.
I said, "$20,000 isn't all that bad for 4 years in a private college."
Mom said, "That doesn't count the $1800."
Me, "A year?"
Mom, "No, a MONTH."
I love math, as long as it's low level, so I quickly computed that we are talking about around $100,000 in after-tax income. Mom is a paralegal and I'm not sure what Dad does--something with maps.
Then I started thinking. If Sarah had elected to go to a state school, she would have received the Louisiana tuition scholarship (TOPS). Mom and Dad would have been on the hook for about $10,000/year for room, board, and books.
That totals $40,000. What about the other $60,000? Well, that could buy Sarah a car post graduation, leaving around $40,000 for a house down payment.
While I've heard some parents offer a wad of cash in lieu of a wedding to the happy couple, I've never heard of anyone offering to let the student reap all or even part of the financial benefit of choosing a lower cost school.
What do you think of this modest proposal?
Saturday, 11 August 2012
We are all College Cooks
What is a College Cook? Someone with limited time, space, know how, and facilities. In truth, I have only one genuine College Cook in my immediate circle: Miss Em, who is heading into her last year of dorm life.
Frugal Son just moved to an apartment in New Orleans: he packed his beloved rice cooker. Mr C--an affiliate of our family, though not officially a member--just moved into his post-grad apartment and received his first rice cooker (courtesy of me and Goodwill) and a copy of the little guide Frugal Son and I put together:
This is not just a collection of easy recipes: we recommend 20 easy to buy and store products; we then offer 2 weeks of recipes that can be put together quickly, with little mess, in rice cooker or microwave, two college approved appliances. Oh, and did I mention that you or your cook will save a ton of money--not to mention time?
We priced it as low as Amazon can go for our program: $2.99. For the same price, you can order it from us and receive an ebook.
Even though I like to cook, I am as lazy as the next person (lazier, probably). I cook with my rice cooker most nights.
Check out our college Cooking blog for occasional posts and suggestions too.
Any other suggestions for the College Cook--even if the College Cook is long out of college?
Frugal Son just moved to an apartment in New Orleans: he packed his beloved rice cooker. Mr C--an affiliate of our family, though not officially a member--just moved into his post-grad apartment and received his first rice cooker (courtesy of me and Goodwill) and a copy of the little guide Frugal Son and I put together:
This is not just a collection of easy recipes: we recommend 20 easy to buy and store products; we then offer 2 weeks of recipes that can be put together quickly, with little mess, in rice cooker or microwave, two college approved appliances. Oh, and did I mention that you or your cook will save a ton of money--not to mention time?
We priced it as low as Amazon can go for our program: $2.99. For the same price, you can order it from us and receive an ebook.
Even though I like to cook, I am as lazy as the next person (lazier, probably). I cook with my rice cooker most nights.
Check out our college Cooking blog for occasional posts and suggestions too.
Any other suggestions for the College Cook--even if the College Cook is long out of college?
Tuesday, 15 May 2012
A Gift for the Grad: Using My Talents
The best gift, of course, is one the recipient wants. I recently bought a wedding gift, using the registry. Gnashing my teeth all the while, thinking I could get 10 things for the price of the one (biggish) gift I am buying. It was the right thing to do though. Right now, I am in the process of buying a graduation gift for Mr C, a recent family friend. On Saturday, I noticed that the 2.8 million dollar home a few blocks away had a yard sale sign. So off we went. Mr C found some sport coats (cashmere and camel hair!) in his size. I said: Let me buy those as part of your graduation pres. He was pleased, so I got him a nice belt too. Hmmm. This is really using my frugal talents. Next, I'm going to buy him a slow cooker (new) and a stick blender (ditto). I already gave him a second-hand rice cooker and a copy of the little ebook Frugal Son and I put together. Finally, I am going to get some food staples for his first real cooking adventures. Mr. C will be working in a Vista program next year while studying for the dreaded MCAT exam. If he learns to cook efficiently, he will have skills that will take him through med school and beyond. I've finally found the perfect recipient! Happy Graduation Mr C!
Thursday, 15 March 2012
FAFSA Update
Sooooo, I and 10 zillion other people received this correction. I sent a query to the FAFSA people--I assume I was not the only one pointing out that the income tax filing date is more than a month away and that the email was incomprehensible.
We recently sent an e-mail advising you to update your tax data on the FAFSA once you have filed your tax return. Please note that the e-mail stated in error that the federal tax filing deadline has passed. You should disregard that sentence. The federal tax deadline this year is April 17. We apologize for any confusion this may have caused. You should still update the tax information on your FAFSA after you file your federal taxes, and we strongly encourage you to do that by importing your 2011 income tax information from the IRS into your FAFSA using the IRS Data Retrieval Tool.
U.S. Department of Education
It seems that the real message is that you can import 2011 tax info from the IRS website. That would have been a one-sentence email.
I could be wrong....
We recently sent an e-mail advising you to update your tax data on the FAFSA once you have filed your tax return. Please note that the e-mail stated in error that the federal tax filing deadline has passed. You should disregard that sentence. The federal tax deadline this year is April 17. We apologize for any confusion this may have caused. You should still update the tax information on your FAFSA after you file your federal taxes, and we strongly encourage you to do that by importing your 2011 income tax information from the IRS into your FAFSA using the IRS Data Retrieval Tool.
U.S. Department of Education
It seems that the real message is that you can import 2011 tax info from the IRS website. That would have been a one-sentence email.
I could be wrong....
Wednesday, 14 March 2012
College Aid: The FAFSA Yet Once More
Ugh. For some reason, I hate filing the FAFSA (Federal Financial Aid form or whatever). My children did not receive Federal Aid, but the form is still the gateway to other aid, of the sort they got. So, I filled out what I thought would be my last one (for Miss Em). Since it was not crucial that all my numbers be accurate (because those numbers are used for Federal Aid such as Pell Grants and subsidized loans), I completed the form before I completed my taxes, as I had in the past.
Here's the email I got yesterday. Hold on to your hats.
Recently your information was provided in the parental section of your student's 2012-2013 Free Application for Federal Student Aid (FAFSA). The information you provided indicated that you were going to file your taxes and were providing estimated 2011 tax information. Now that the federal tax filing deadline has passed and you have probably filed your 2011 tax returns, it is time for you to update your student's FAFSA.
Updated information can be provided once your student accesses their FAFSA at www.fafsa.gov. You should change your answer on the FAFSA (question 79) to reflect that you have "already completed" your tax return. Once you've made this change, you will need to update the information you initially reported on the FAFSA to reflect the actual information from the 2011 tax return you filed. If you filed a federal tax return with the IRS, when you update the information online, you may be eligible to use the IRS Data Retrieval Tool, which is the best and easiest way to provide accurate tax information. With just a few simple steps, you can view information from your IRS tax return and transfer that information directly into your student's FAFSA.
If you are unable to use the IRS Data Retrieval Tool, you are still required to update the income information so that it reflects the information on the 2011 tax return you filed. The tax-related questions you should review on your student's FAFSA include adjusted gross income, income tax paid, number of exemptions, and income earned from work. You should also ensure that your FAFSA correctly identifies the type of tax return that was filed (IRS 1040, 1040A, 1040EZ, foreign tax return, etc.) and that you have entered the correct amounts for Additional Financial Information (questions 91a-f) and Other Untaxed Income (questions 92a-i).
It is important that you make the necessary changes to the tax information so that your student's FAFSA includes the same information that was included on your tax return. However, when making corrections based on your completed federal tax returns, do not update other information that was correct at the time you filed your FAFSA. For example, do not change your answer for household size (question 72) or for number in college (question 73); unless your answer was incorrect as of the date you originally signed the FAFSA.
Keep in mind that if the FAFSA also contains estimated tax information for your student, that information should also be updated to reflect the actual information from the 2011 tax return your student filed. If your student filed a federal tax return with the IRS, they may also be eligible to use the IRS Data Retrieval Tool when they access the FAFSA online. If you or your student has not completed the 2011 federal tax returns at this time, you must be sure to update your FAFSA information once the returns have been completed. Your student's ability to receive federal student aid can be impacted if you do not make the necessary updates or corrections.
Thank you for your attention to this important matter. If you have additional questions regarding the IRS Data Retrieval Tool, online help is available. Visit www.fafsa.gov and click the "Browse Help" feature on the FAFSA home page for information on the tool and the FAFSA process.
U.S. Department of Education
This is nearly incomprehensible, even to me, with my excellent reading skills. My favorite part is the statement that since the federal tax filing date has passed, I should update my form. UMMMMM. APRIL 15, anyone?
Oh, how I loathe these emails. Surely, the bureaucrats can find someone in need of a job....WHO CAN WRITE CLEARLY. And know what the federal filing date is.
Here's the email I got yesterday. Hold on to your hats.
Recently your information was provided in the parental section of your student's 2012-2013 Free Application for Federal Student Aid (FAFSA). The information you provided indicated that you were going to file your taxes and were providing estimated 2011 tax information. Now that the federal tax filing deadline has passed and you have probably filed your 2011 tax returns, it is time for you to update your student's FAFSA.
Updated information can be provided once your student accesses their FAFSA at www.fafsa.gov. You should change your answer on the FAFSA (question 79) to reflect that you have "already completed" your tax return. Once you've made this change, you will need to update the information you initially reported on the FAFSA to reflect the actual information from the 2011 tax return you filed. If you filed a federal tax return with the IRS, when you update the information online, you may be eligible to use the IRS Data Retrieval Tool, which is the best and easiest way to provide accurate tax information. With just a few simple steps, you can view information from your IRS tax return and transfer that information directly into your student's FAFSA.
If you are unable to use the IRS Data Retrieval Tool, you are still required to update the income information so that it reflects the information on the 2011 tax return you filed. The tax-related questions you should review on your student's FAFSA include adjusted gross income, income tax paid, number of exemptions, and income earned from work. You should also ensure that your FAFSA correctly identifies the type of tax return that was filed (IRS 1040, 1040A, 1040EZ, foreign tax return, etc.) and that you have entered the correct amounts for Additional Financial Information (questions 91a-f) and Other Untaxed Income (questions 92a-i).
It is important that you make the necessary changes to the tax information so that your student's FAFSA includes the same information that was included on your tax return. However, when making corrections based on your completed federal tax returns, do not update other information that was correct at the time you filed your FAFSA. For example, do not change your answer for household size (question 72) or for number in college (question 73); unless your answer was incorrect as of the date you originally signed the FAFSA.
Keep in mind that if the FAFSA also contains estimated tax information for your student, that information should also be updated to reflect the actual information from the 2011 tax return your student filed. If your student filed a federal tax return with the IRS, they may also be eligible to use the IRS Data Retrieval Tool when they access the FAFSA online. If you or your student has not completed the 2011 federal tax returns at this time, you must be sure to update your FAFSA information once the returns have been completed. Your student's ability to receive federal student aid can be impacted if you do not make the necessary updates or corrections.
Thank you for your attention to this important matter. If you have additional questions regarding the IRS Data Retrieval Tool, online help is available. Visit www.fafsa.gov and click the "Browse Help" feature on the FAFSA home page for information on the tool and the FAFSA process.
U.S. Department of Education
This is nearly incomprehensible, even to me, with my excellent reading skills. My favorite part is the statement that since the federal tax filing date has passed, I should update my form. UMMMMM. APRIL 15, anyone?
Oh, how I loathe these emails. Surely, the bureaucrats can find someone in need of a job....WHO CAN WRITE CLEARLY. And know what the federal filing date is.
Sunday, 14 August 2011
College Costs and Parental Resentment: After Graduation
No, not my resentment. I have noticed a common theme in my chats with parents of recent grads: resentment at the costs.
I was chatting with a volunteer at the Food Bank Thrift the other day. I mentioned that I was searching for some nice clothes for Frugal Son, a recent grad.
Her:Do you feel that you were paying to fund a small country?
Me: No. Frugal Son made use of TOPS, a Louisiana free tuition program. He also got some other scholarships. I'm so glad he chose to go to a public institution.
Her: My daughter didn't. She went to *** (some private college I've never heard of in Iowa??? It must be fairly obscure if I've never heard of it.).
Me: Oh, well at least she's done. I hope it was a good experience.
Her: She liked it. I paid for it all. Then she went to grad school for physical therapy and dropped out after a semester. She's working at the Y and living at home.
Me: It's great that she has a job! And a lot of kids are living at home, so that's OK too.
Her: No, it's not OK. I told her to figure out what she wants to do. She's going to have to pay for it herself.
WOW!!! I don't know if I managed to convey the resentment and even anger emanating from this normally sweet-natured woman.
Anyway, it's probably too late for the soon-to-be college students, who have already made their choices and paid their tuition. Still, the message to parents has been let your child follow his or her bliss. The message from colleges is we're worth it! The abysmal job market for recent grads has perhaps revealed to parents some unarticulated and unacknowledged expectations.
Thoughts?
I was chatting with a volunteer at the Food Bank Thrift the other day. I mentioned that I was searching for some nice clothes for Frugal Son, a recent grad.
Her:Do you feel that you were paying to fund a small country?
Me: No. Frugal Son made use of TOPS, a Louisiana free tuition program. He also got some other scholarships. I'm so glad he chose to go to a public institution.
Her: My daughter didn't. She went to *** (some private college I've never heard of in Iowa??? It must be fairly obscure if I've never heard of it.).
Me: Oh, well at least she's done. I hope it was a good experience.
Her: She liked it. I paid for it all. Then she went to grad school for physical therapy and dropped out after a semester. She's working at the Y and living at home.
Me: It's great that she has a job! And a lot of kids are living at home, so that's OK too.
Her: No, it's not OK. I told her to figure out what she wants to do. She's going to have to pay for it herself.
WOW!!! I don't know if I managed to convey the resentment and even anger emanating from this normally sweet-natured woman.
Anyway, it's probably too late for the soon-to-be college students, who have already made their choices and paid their tuition. Still, the message to parents has been let your child follow his or her bliss. The message from colleges is we're worth it! The abysmal job market for recent grads has perhaps revealed to parents some unarticulated and unacknowledged expectations.
Thoughts?
Wednesday, 27 July 2011
Gifts for the College Bound: NO to extra-long sheets and quarters
Everywhere you look in the blogosphere, you see lengthy lists for the college bound: lamps, garbage cans, fans, fridges, even ironing boards! When we brought our scholars to college, we would see huge SUVs unloading masses of stuff--including cases of bottled water. Almost every scholar brought a dorm fridge and microwave--even though the dorms at my daughter's school had fridges and microwaves in EACH ROOM. So the tiny rooms were outfitted with 3 fridges and 3 microwaves. UGH.
Miss Em always brings too much; still she is restrained compared to most others.
Anyway, a cornerstone of frugality is WAITING. You can buy stuff at the college town, if necessary. And I am here to say NO to two commonly suggested necessities.
--Extra-long twin sheets. If you can get a good deal on these, go right ahead. I am kind of picky about sheets and only buy combed cotton. I found some combed cotton stretchy sheets at Ross for my dear child. What the scholar REALLY needs is a FOAM or FEATHER MATTRESS PAD. Dorm mattresses are thin. Once you put the pad on, you will discover that you can put your regular twin sheets ON THE MATTRESS PAD. Unless your kid is on the basketball team, a regular twin mattress pad will suffice and then you can use your regular twin sheets.
--Quarters for laundry. A lot of kids will NEVER do the laundry. And before you start saving quarters, find out if the machines even take them. At some schools, students have plastic cards that are loaded with cash. These can be used at vending machines, laundry rooms, coffee shops, and so on.
One expense from which there is no escape is textbooks. UGH. A gift card from the college bookstore or even good old Amazon would be much appreciated, I am sure.
Miss Em always brings too much; still she is restrained compared to most others.
Anyway, a cornerstone of frugality is WAITING. You can buy stuff at the college town, if necessary. And I am here to say NO to two commonly suggested necessities.
--Extra-long twin sheets. If you can get a good deal on these, go right ahead. I am kind of picky about sheets and only buy combed cotton. I found some combed cotton stretchy sheets at Ross for my dear child. What the scholar REALLY needs is a FOAM or FEATHER MATTRESS PAD. Dorm mattresses are thin. Once you put the pad on, you will discover that you can put your regular twin sheets ON THE MATTRESS PAD. Unless your kid is on the basketball team, a regular twin mattress pad will suffice and then you can use your regular twin sheets.
--Quarters for laundry. A lot of kids will NEVER do the laundry. And before you start saving quarters, find out if the machines even take them. At some schools, students have plastic cards that are loaded with cash. These can be used at vending machines, laundry rooms, coffee shops, and so on.
One expense from which there is no escape is textbooks. UGH. A gift card from the college bookstore or even good old Amazon would be much appreciated, I am sure.
Sunday, 19 June 2011
Advanced Degrees Worth the Debt
Something useful from Kiplingers: 5 Advanced Degrees Worth the Debt.
There are no big surprises in the list. What is especially useful is that you get information on average indebtedness, average salaries, and--most useful--AVERAGE MONTHLY REPAYMENTS.
You also see what a relative bargain in-state medical and law degrees prove to be.
College students should take a look also. Then they should look at this.
There are no big surprises in the list. What is especially useful is that you get information on average indebtedness, average salaries, and--most useful--AVERAGE MONTHLY REPAYMENTS.
You also see what a relative bargain in-state medical and law degrees prove to be.
College students should take a look also. Then they should look at this.
Sunday, 12 June 2011
How Much Is Too Much?
Oh, that question! Once you get beyond subsistence living, life is full of choices. The most recent query comes from Miss Em, blissing out in Florence.
I have a monetary question. Frugal goddess, please answer my queries.
How much is too much?
At first glance, it seems like the answer to that question here in
Italy is: EVERYTHING. Everything is too much. Coffee is too much.
Gelato is too much. Everything is expensive.But then again, one can't think like that. I spent a lot of money toget the plane ticket over here; what's the use of scrimping and saving and wasting energy thinking about how much things cost? That would only waste my valuable time here.
Summary follows of what other kids are doing: lots of bar-hopping, pub crawls (yuk?!!), side trips to Pompeii and even Switzerland, lots of souvenir shopping. Miss Em was horrified by the girl buying a daily 4-6 euro coca-cola!
Miss Em is nosing around Florence, exploring museums and neighborhoods. It should be noted that she will be traveling around Europe with her friend Maggie for SIX WEEKS after her program ends.
Ughhhh I guess that what I'm trying to say is, I see pretty things I
want, and some pretty things I've already bought! My purchases are WONDERFUL (will give account of them later) but they seem like such anexpense. How much should I budget for these material things for myself?
But the question remains: how much is too much? Or, how much should I budget for this month for food, so I can take the difference and buy myself something?
We did not give her a budget at all, relying on her good sense to know when to say yes and when to say no. It's easier to have a flat amount, of course: you can't spend more than xxx euros. OR, which may be true for some students, no budget because we have tons of money.
How we crave boundaries. Any ideas of a basic budget for students in Florence? Her lodging, a few meals, and several side trips are all v=covered. So far, even one gelato was covered!
I have a monetary question. Frugal goddess, please answer my queries.
How much is too much?
At first glance, it seems like the answer to that question here in
Italy is: EVERYTHING. Everything is too much. Coffee is too much.
Gelato is too much. Everything is expensive.But then again, one can't think like that. I spent a lot of money toget the plane ticket over here; what's the use of scrimping and saving and wasting energy thinking about how much things cost? That would only waste my valuable time here.
Summary follows of what other kids are doing: lots of bar-hopping, pub crawls (yuk?!!), side trips to Pompeii and even Switzerland, lots of souvenir shopping. Miss Em was horrified by the girl buying a daily 4-6 euro coca-cola!
Miss Em is nosing around Florence, exploring museums and neighborhoods. It should be noted that she will be traveling around Europe with her friend Maggie for SIX WEEKS after her program ends.
Ughhhh I guess that what I'm trying to say is, I see pretty things I
want, and some pretty things I've already bought! My purchases are WONDERFUL (will give account of them later) but they seem like such anexpense. How much should I budget for these material things for myself?
But the question remains: how much is too much? Or, how much should I budget for this month for food, so I can take the difference and buy myself something?
We did not give her a budget at all, relying on her good sense to know when to say yes and when to say no. It's easier to have a flat amount, of course: you can't spend more than xxx euros. OR, which may be true for some students, no budget because we have tons of money.
How we crave boundaries. Any ideas of a basic budget for students in Florence? Her lodging, a few meals, and several side trips are all v=covered. So far, even one gelato was covered!
Monday, 16 May 2011
Student Debt Encore Encore
I'm supposed to be relaxing; I turned in my grades last night. But this morning I listened to yet another installment of Student Debt Woes and Warnings. This time it was NPR.
I noticed that the students with the most debt attended private colleges. I can't help thinking that these schools, with their increases at double the rate of inflation for many years, are to some degree complicit in the problem. There are fewer articles on how student debt is GOOD DEBT. (Similarly, there are fewer articles on how MORTGAGE DEBT is GOOD DEBT). The idea was that GOOD DEBT was an investment in an appreciating asset, while bad debt was spending on a depreciating asset--like a television.
All I have to say at the moment: consider public education. Your debt will be smaller.
I have other things to say too, but will do so later. Oh yeah. Can't resist. Take the student debt quoted when you apply for your loan and MULTIPLY BY FOUR. And add on for the inevitable inflation factor.
Any words of wisdom on this topic?
I noticed that the students with the most debt attended private colleges. I can't help thinking that these schools, with their increases at double the rate of inflation for many years, are to some degree complicit in the problem. There are fewer articles on how student debt is GOOD DEBT. (Similarly, there are fewer articles on how MORTGAGE DEBT is GOOD DEBT). The idea was that GOOD DEBT was an investment in an appreciating asset, while bad debt was spending on a depreciating asset--like a television.
All I have to say at the moment: consider public education. Your debt will be smaller.
I have other things to say too, but will do so later. Oh yeah. Can't resist. Take the student debt quoted when you apply for your loan and MULTIPLY BY FOUR. And add on for the inevitable inflation factor.
Any words of wisdom on this topic?
Sunday, 1 May 2011
Frugal Son has a Net Worth!
So, fingers crossed, Frugal Son is about to graduate from college. He went to State U, incurring costs of zero. I had a lot of ambivalence and conflict about his not going the private route, probably more than he did. As far as I can tell, he is no more or less happy with his choice than other kids he knows, whether they chose private or public school.
Over the years, he has amassed bits and pieces of cash, either from working, or from gifts. This last year, he decided to buy stocks and utilities! He is ahead of me, since I've stuck to mutual funds in my fearful way.
He informs me that his net worth, some of which is in a Roth IRA, is a little over $16,000. And he has no debt.
I think this is a good start. In fact, he's bugging me about letting him choose investments for ME. I think I'm going to buy a few things.
MY SON THE FINANCIAL ADVISER. Any mom would be proud. Of course, I'm his only client and he's doing it pro bono. Credentials: a BA in English. Wow!
Over the years, he has amassed bits and pieces of cash, either from working, or from gifts. This last year, he decided to buy stocks and utilities! He is ahead of me, since I've stuck to mutual funds in my fearful way.
He informs me that his net worth, some of which is in a Roth IRA, is a little over $16,000. And he has no debt.
I think this is a good start. In fact, he's bugging me about letting him choose investments for ME. I think I'm going to buy a few things.
MY SON THE FINANCIAL ADVISER. Any mom would be proud. Of course, I'm his only client and he's doing it pro bono. Credentials: a BA in English. Wow!
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