Personal Finance and Investing

Almost everyone at some point or the other wonder sometimes whether they are doing what they are supposed to be doing, whether they are using their potential to the fullest or not. Lot of people work for 9 to 5 job, with the same routine going to office and coming back, going to office and coming back, following the same routine for years and years together. This monotonous lifestyle gets them out of the loop many a times and finally leads them to frustration.

Many college and school kids suffer from this type of thinking process. They are often unsure of what to do with the rest of their lives. Many of these lost college and school kids look for career planning and life coaching programs.

For lost college kids, career planning and life coaching is very good, this can be taken during the college years as well as once out of college, whether completed graduation or a simply drop outs. Many young college goers are often confused while pursuing their education at college about what to major in; therefore these students stay with the general curriculum and kind of float through the college years deciding what they want out of life.

Some of the students are well planned and know very well what they will choose to take major as while starting the college but as the time passes they kind of loose interest and get to the square one, of not knowing what to do with their lives.

For such lost students career planning and life coaching is very helpful to get them back to the right track. The career coaches spend time with the students evaluating their personality, their area of interest, their aims, their goals and their talents etc.They also record student’s educational qualification. Career planning and life coaching will evaluate where the interest of the student lies and what will best suit the student for a career.

The best thing about career planning and life coaching for these college students is that it guides them to different ways which are possible and very much within their reach.
By this they can attain certain set goals easily in the future. They would overcome any hurdle between them and their goal when they are convinced that they can do it.

If any student has financial problems, they are guided to many scholarships, financial aid programs and grants that are there for the students but many are not even aware of it. The career planning and life coaching for these lost students will guide them by causing awareness of these programs also helping them to apply for it.

Students can go for multiple sessions of career coaching and life coaching if required or if they feel like going for multiple sessions. For some students, many sessions maybe required for evaluation, for testing, feedback and also for counseling before they finally realize what their life time goal is.

Career planning and life coaching is quite effective for students with disability, it makes them realize that getting educated and a career is rather easy than they ever thought;

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With lower-paying jobs after graduation and several student loans to pay off, twenty year old students can be deep in a financial hole with a long climb out. Timely information on what an unsecured loan can mean will help a college student preserve their finances.

Parents Role

Parents should do explain how fast interest can pile up on a credit card and help their college student determine a budget to pay any personal loan. If parents are going to provide their child with a credit card they have several options. But be sure to tell your student about how hard it is to get an unsecured loan with bad credit.

You can consider adding your college student to your credit card account or open a separate account for him as long as you set some ground rules and limits. One option lets your child have a prepaid credit card set up against his bank account. He can deposit his earnings or allowance into the account and pay his car loan. Nothing helps teach your child the value of money than using his own! That way he doesn’t get behind and he won’t have to look for a home loan with bad credit.

Thinking Ahead Can Be Thought

Buying a home or vehicle may seem way down the road for your child, but explain to him that a loan with bad credit is difficult to come by. Make sure he knows that even one late payment could show up on his credit report. Young students need to understand that their current decisions will affect their future and limit their ability to get finance and make their dreams possible.

Personal Loans As a Source of Finance

A short term personal loan may be an option if a student needs finance due to getting over-extended. Don’t just give him the money, however. Set up payments for him to pay you back. This is an excellent way to teach proper financial behavior. Even though the loan is in your name, you can make him think that he or she is the one who owes the money and create the sense of responsibility that is needed in financial life.

You can explain the concepts: interest rate, loan term, repayment program, loan installment, income, debt, income to debt ratio, etc. You can also explain what the consequences of late payments or missed payments are, how credit is measured, how it can drop and how it can rise and what can happen to their credit score if they fail to meet their obligations (default and bankruptcy). At this stage young people can assimilate a lot of information so it is wise to explain to them what will help them live a life with ease in the future.

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News item: conservative politicians want “law abiding” college students and professors to be able to carry guns on campus so that they can have shoot-outs with gun-toting thugs who might be a threat to others.

This idea lacks merit. Here’s why:

The definition of “law abiding” is slippery. Persons in our society do not conveniently fall into categories of law-abiding or lawbreaker. Many violent felons have not yet been arrested and prosecuted, and as a result, they blend in seamlessly with the rest of society. They can legally buy guns and they can get concealed-weapon permits if they wish. If conservative politicians think these persons should be allowed to wander about college campuses with their guns, but most people-especially those with sons or daughters in college-would strongly disagree.

Second, if these politicians had actual experience with firearms (such as through military service), they would know that possession of a firearm by itself does not guarantee protection from someone who seeks to do harm to others. Guns in the hands of untrained owners (the usual case) are notoriously inaccurate at distances over 15 yards. A person firing such a weapon in a crowded classroom is as likely to hit a student as an armed intruder. The more other students join in the shooting, the greater the hazard becomes.

Third, even in the rare case where a handgun is carried by a person who is trained to be a good marksman, the hazard to others persists. The reason: thugs use the element of surprise to their advantage. That’s how they kill policemen. Thus, an intruder at a college is in a position to shoot or disarm anyone who attempts to interfere with his diabolical plans. Again, the threat to innocent bystanders is enormous.

Finally, firearms in the hands of students are a hazard to others because the weapons are not easily stored, transported or handled. Members of the armed forces, though trained in the use of firearms, are frequently victims of what are euphemistically called accidental discharges. The same will happen to college students who keep guns in dormitory rooms or who carry the weapons to frat parties, to athletic events and to other student activities. In his movies, Arnold Schwarzenegger brandished a variety of weapons with ease, but in real life things do not always work that way. Even Vice-President Dick Cheney managed to shoot another person while hunting outdoors.

In sum, firearms, especially handguns, are inherently dangerous. They have no place on a college campus except in the hands of the campus police.

Well, can anything be done to improve security on our college campuses? Sure. To begin, the number of campus police officers should be increased, perhaps even doubled. Next, their level of training must be improved. Each campus police officer should be required to requalify annually with both pistols and rifles. Finally, each college should have an alert plan which will allow administrators to transmit text messages to all students immediately if there is any sort of danger on campus.

But allow students and professors to tote guns? No. That will only worsen the situation.

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Many parents try to get their child ready to become financially independent and mistakenly believe that a practical financial education is given in high school. Since personal money management isn’t taught at most schools its up to parents and teachers to make sure their children are prepared.

One of the reasons college students are notoriously ‘broke’ is that no one has really taught them how to deal with their finances, or reinforced positive spending habits. In this article, we’ll go over some of the ways you can make sure that by the time your child needs to deal with his or her own money, they are ready to do so.

Educating your child or student in certain areas is crucial when it comes to financial responsibility. Areas important to youth financial literacy include general knowledge of how the banking system, credit and debit cards, investments basics, the mental game of money and related aspects personal money management.

There are a number of emerging youth financial literacy programs however most focus on impractical, theory based aspects of personal finance. Check with your local school district, community center and/or city council about program designed to help parents give their children a real world financial education.

Perhaps the most important person you can educate on youth financial literacy is not your child, but yourself. Children tend to learn more from example than from being told how to do something. If you practice financial habits that are healthy and responsible and inform your child about why and how you do them, it will make a significantly greater impression than simply lecturing them about why they should spend their money a certain way.

Also be sure to raise awareness about the importance of receiving a practical financial education. Simply informing your children or student about why you make certain purchases instead of others and how to act in certain financial situations is enough to show them how responsible behavior with money can affect personal finances.

Due to the emerging financial crisis, young people need to know more than ever how to properly deal with money, especially when the younger generation comes from an era of relatively free spending. Youth financial literacy is being stressed more and more across the country, and important information regarding financial literacy can be found online.

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If you were asked how many years it takes to earn a Bachelor’s Degree from college, you would probably say 4 years right? Unfortunately, if you go by the averages, you’d be off by 2 years. Those 2 extra years can cost you thousands of dollars.

It’s No Longer “4-Year College”

According to a study by the U.S. Department of Education, the average time it takes to earn a Bachelor’s Degree is now 6.2 years. Only 36% of those who begin public 4 year college graduate in 4 years!

Why is it taking longer? Research shows that there are a handful of key reasons:

Just Enough to Get By Many students view college as an entitlement. They go to college not because they see value in it, but because it’s what is expected. As a result, these students do just enough to get by. Without the motivation, direction, or focus, they take longer to graduate or ultimately, drop out. Not Prepared Many students simply aren’t prepared for the academic challenge of college. Without planning early in their high school years, they opt out of the more challenging classes that would have prepared them for college. As a result, when they reach college, they need remedial courses to catch up. “I’ll Decide Later” Some students don’t take the time to think through what they’ll do after they graduate. Without some idea of their interests and aspirations, they find it easier to postpone decisions about their future. College becomes a comfortable place to hangout until they decide. Transfers Studies have shown that students who transfer from one college to another (even once), typically take longer to graduate. Changing Majors It is not at all unusual for college students to change their majors. But the further a student is into their college experience, the greater impact changing majors can have on meeting graduation requirements. Working Their Way Through College With today’s high cost of college, many students are having to work their way through school. Juggling the demands of both school and a job can delay graduation.
The Cost of Delayed Graduation

Based on data from The College Board’s 2006-07 Annual Survey of Colleges, if a student takes 6 years to graduate, the cost difference could be anywhere from $33,000 to $67,000 more than planned! The data shows that the average cost of attending a 4-year college including tuition, fees, room and board, books and supplies is:

Public In-State:
4 Years: $65,428 6 Years: $98,142 Difference: $32,714
4-Year Public Out-of-State:
4 Years: $105,216 6 Years: $157,824 Difference: $52,608
4-Year Private College:
4 Years: $133,204 6 Years: $199,806 Difference: $66,602
Don’t Pay More Than You Have To

Many factors such as financial aid will determine what you’ll actually pay for college. But why spend any more money than you have to? If you focus on the things that you can control to insure on-time graduation, college doesn’t have to be a 6 year journey.

Step 1:
Increase Self-Knowledge. The more a student knows about his/her own interests, strengths, and aspirations, the easier it is to focus and direct one’s educational path.

Step 2:
Plan Ahead. By taking advanced placement classes in high school, students accomplish two things. First, they increase their chances of getting accepted to the college of their choice. And second, they can actually “place out” of college level classes which can accelerate earning a degree.

Step 3:
Get Guidance. College is a big investment. Getting advice from someone trained in education and career guidance can save you time and money. Guidance can replace guesswork with a planned approach to deciding which college to attend, what to major in, and how to align an education with best-fit career options.

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