Guest Post: The Savings for College Challenge: Part Two – Choosing a 529 Plan

About the authors: For over 25 years, Cynthia S. Meyers, CFP®, MBA, has assisted people with their Lifetime Financial Planning–helping to build and preserve wealth in every area of life.  Jenny Hood, CFP® has been a paraplanner with Cynthia S. Meyers for five years and enjoys being a part of the financial planning process.  They offer…

Continue Reading

Student Debt = Future Income Spent Today

Know the terms (i.e. repayment, interest rates) and possible consequences of taking student loans for college–essentially bringing future income into the present. (FYI: colleges are not obligated to disclose the terms of the loan BEFORE accepting them as part of a student aid package.  Students MUST ASK.  Also, students are not forced to accept student…

Continue Reading

“Why Do You Want to Go To College?” Has New Meaning

“How do employers look at college names?”  is a typical question parents ask us, when trying to narrow their senior’s choices for application.   Two meanings emerge from this question: What’s the value of a college degree? How, if at all, is value different for different colleges? The value in college question will be answered differently…

Continue Reading

Changes to Subsidized Direct Student Loans for Fall 2012

For Fall 2012 and future Fall 2013 Subsidized Direct Loan Borrowers: The Federal Government will no longer withhold interest during the six-month grace period before loans go into repayment.   According to Federal Student Aid, “the interest will be capitalized (added to the principal amount of your loan) when the grace period ends.”  Borrowers do not need…

Continue Reading

Guilt? I Didn’t See that On My College Bill

Without understanding the value of a college degree, students can sense, what they often term, “guilt.”  They may not confidently understand why their families, and increasingly themselves (in the form of student loans), are paying the thousands of dollars (and rising each year) that a college degree costs. Listen to the following podcast, featuring Julie…

Continue Reading

Prudent Fiscal Planning (Part 5): What I Am Worth

Now that we understand income,  expense and net income–which we arrive at by subtracting expenses from income in any given period–we are now ready to look at the balance sheet, which few understand, but is essential when trying to get a truer understanding of one’s net worth. Everyone’s fiscal interactions with others, which happens everyday…

Continue Reading

CA Budget Affects Cal Grants for Private, Non Profit Colleges

Proposed reductions in funding for the Cal Grant program, in the current 2013 Fiscal budget plan, would reduce private, non-profit university student’s grants by 17% by 2014 to $8,056 per year.    (Examples of  private non-profit colleges are the University of Pacific or University of Southern California.)    Current Cal Grants for private, non-profit university students are…

Continue Reading

Prudent Fiscal Planning (Part 3):You can’t always get what you want

In the third part of my ongoing series on Prudent Fiscal Planning, let’s discuss the often bugaboo topic of expenses. After following the suggestions from the last article in the series,  you should now have drafted at least your income scenarios for the short, immediate, and long term. Now, you are ready to look at the other…

Continue Reading