The Importance of FAFSA

The Importance of FAFSA 

By: Allison Bunyer

Personal Finance- B2

To many Seniors, October 1st meant the start of October and the opening of FAFSA. FAFSA is the Free Application for Federal Student Aid, which is controlled by the US Department of Education. This form, full of questions about   
 the parent’s and student’s bank accounts, assets, and taxes are put together to determine a student’s EFC or “expected family contribution”. This number is the amount a family can ideally provide to go towards their student’s education each year. By determining this number, the Department of Education can determine if you can be considered for grants, loans, work-study programs or scholarships. FAFSA can be very important to fill out, even if you and your family do not believe you will qualify for aid.

In 2015, “around $2.9 billion of federal grant money was left unclaimed after high school seniors eligible for Pell Grants -- which don't have be paid back” was reported by USA Today. This means that many people who do not think they qualify for aid, in reality do. By applying for FAFSA, you can save yourself a lot of money in the long run. Many students opt for loans to pay for college, and many of them come with high interest rates. Subsidized loans are one of the best, as the interest does not start accruing on the loan until you finish your bachelor's degree. These loans can help you pay off your loans faster, and hopefully allow you to start saving for retirement or buying a house faster. Whatever your financial goal is, it can probably happen quicker if you do not have mountains of college loans to pay off.

FAFSA can offer you loans, but they can also offer your scholarships or grants. These do not need to be paid back, and in a sense are “free money” for you to use on your education. You can be awarded these scholarships or grants by filling out your FAFSA, and sometimes these can help pay for a majority of your college tuition. Personally, I don’t want to miss out on free money and possibly have to get less money for college in the form of loans. Another form of financial aid is a work-study program. This is awarded once again by FAFSA, and is only available to students who fill out FAFSA. These programs vary by the college or university, but gives students the chance to work for their institution and earn the minimum wage, which can help pay for tuition. This can be very helpful for building a resume for after college, as most of the time, the job is related to your chosen major.

        Now FAFSA can be helpful for paying less for college and possibly building up your resume, it can also help you attain your financial goals sooner. According to CNBC, “Almost one-fifth of people with student debt who apply for a mortgage are denied because of their “debt-to-income ratio,” what a person owes versus how much they make, according to the National Association of Realtors.” This means, for many young people, they need to pay off their student loans before they can make any large purchases. Plus, if they are slow at paying back their loans, this can lead the loans to build up even more interest and cause you to take even longer to pay them off. The main point is, if you file FAFSA there is a chance you have less in student loans because of qualifying for work-study programs or scholarships. This causes you to hopefully be able to reach your financial goals sooner in life, because of the low amount of loans you have to apply for.

Works Cited

AnnieReporter. “Why Buying a Home Can Be Almost Impossible with Massive Student Loan Debt.” CNBC, CNBC, 20 Apr. 2018, www.cnbc.com/2018/04/19/student-loan-debt-can-make-buying-a-home-almost-impossible.html.

Imam, Medha. “$2.9 Billion Unused Federal Grant Awards in Last Academic Year.” USA Today, Gannett Satellite Information Network, www.usatoday.com/story/college/2015/01/20/29-billion-unused-federal-grant-awards-in-last-academic-year/37399897/.

“Types of Aid.” Federal Student Aid, 17 Feb. 2019, studentaid.ed.gov/sa/types.

Vuong, Sandra, and Sandra Vuong. “5 Things to Do After Filing Your FAFSA® Form.” ED.gov Blog, 3 Oct. 2017, blog.ed.gov/2017/09/5-things-filing-fafsa-form/.

Health Care Spending on the US Economy

Health Care Spending on the US Economy
Written by: Katie S.

In the past few years, health care spending in the US has greatly increased. The factors that are causing this spending growth have been greatly examined and solutions are being created to reduce this growth. The spending growth in health care is because of health care utilization, advances in medical technology and price inflation. America’s level of spending on health care are by far the highest in the developed world, according to data from the Organization for Economic Co-Operation and Development.

Health care spending is mostly viewed as beneficial seeing that it creates increased wages for health care workers, health care jobs, and increases the demand for medical goods and services. In the chart below, each cost pressure in the US is fairly small and increases at a consistent rate, while healthcare costs more than double from the second greatest cost of litigation.

In 2017, the US spent $3.5 trillion on health care expenditures, which is more than twice the spending of other developed countries. Of that $3.5 trillion, $1.5 is directly from the federal government. By 2028, it is estimated that $2.9 trillion of the $3.5 trillion will be directly financed by the federal government, which dedicates resources of 9.7 percent of the economy to health care.

In 2013, national health expenditures rose to $3.4 trillion and $10,709 per person. Just ten years before then, in 2003, the total national spending on health was $1.7 trillion and $5,670 per person. On the overall economy, health care spending has grown 9.3 percent, while the overall economic growth is only 3.6 percent. This means that more resources are being put towards health care than all other goods. This affects both private and public sectors of the economy. Companies who have larger health care spending will cut out other expenses, reduce wages and reduce health insurance benefits.
In 1960, public funding made up 25 percent of healthcare spending and in 2002 it doubled to 46 percent. An important part in this increase is Medicare and Medicaid programs. In order for the government to put such great amounts of money into healthcare, it relies on increased taxes and borrowing money, which can reduce the money that households have for other activities. By borrowing money for healthcare costs, has the same impact on the availability of other resources.
In 2002, the average household spent $2,350 a year on health care. In 1999, the average household only spent $1,959 on health care a year. Though this is an increased expense, it may benefit households by providing improved access to healthcare and wage and employment growth in health care. On the other hand, as health care costs increase, fewer families will be able to afford medical bills and health care costs. In 2003, 20 million families could not pay their medical bills and found it very challenging with rising costs in health care. Income would also usually be used to buy goods or save and put to use for education and retirement, but it is going more towards health care services instead in most households. This can cause a conflict between putting money towards health care or simply paying for the necessities of living. Over 60% of US families have reported having problems paying for necessities like food, rent and clothes.

In 1970, major health programs only used 5 percent of the federal budget. That increased to 20 percent by 2000 and 28 percent by 2017. By 2028, one-third of the federal budget will most likely be going to healthcare and 40 percent by 2040. Overall, the costs going towards healthcare are crowding out all other costs and making the income of American citizens put towards almost entirely health care and so much so that other necessities and more important household costs are being pushed to the side.

In conclusion, health care spending has already consumed an immense part of the federal budget and that spending continues to grow. Today, health spending is out of control and is consuming the income of Americans and the budget of the government and needs to be better controlled in order to allow spending and more focus on other important areas of the US budget.

Works Cited 

“American Health Care: Health Spending and the Federal Budget.” Committee for a Responsible Federal Budget, 30 May 2018, www.crfb.org/papers/american-health-care-health-spending-and-federal-budget.

“Effects of Health Care Spending on the U.S. Economy.” ASPE, 21 Feb. 2017, aspe.hhs.gov/basic-report/effects-health-care-spending-us-economy.

Sherman, Erik. “U.S. Health Care Costs Skyrocketed to $3.65 Trillion in 2018.” Fortune, Fortune, 21 Feb. 2019, fortune.com/2019/02/21/us-health-care-costs-2/.

Is Buying a Brand New Car the Right Decision?

Is Buying a Brand New Car the Right Decision?
Written By: Patrick B.

According to,“Why Does a New Car Lose Value After It's Driven off the Lot?”, most brand new cars will drop by about 15% to 20% immediately after they are driven off the lot. Brand new cars can not only be insanely expensive but they also don’t hold value well at all. New cars are terrible assets to have because of there history of losing value quickly and immensely. There are exceptions however. If you end up buying a car that may be rare or is more sought out this car may hold value well and may even appreciate in value as long as it is kept in good shape; however this only happens in very rare cases. So what should you do when looking for a new car? Well, there are plenty of other good options that are simple and will save you money as you move forward with a car that is just as sufficient.
One option that a lot of people turn to when they see the outrageous prices at a new car dealership is to buy a car that may have been bought by someone and immediately returned. While this is a huge mistake by the person who returned the car immediately after they brought it, this could be a lucky break for you. According to, “Edmunds: The Worst Financial Mistake a Car Buyer Can Make.”after just two years about 40% of the cars value is lost just from use. When a car is returned to a dealership(even with minimal miles on it, the dealership is forced to lower the price of the car substantially because it is no longer considered “new”. Because of this a car that may only be a few months old may drop in price by $5,000 or more. This is a perfect time to shop for one of these cars because of the extreme drops in price that occur. This is just one instance when buying a car would be a much better idea than to buy a brand new car.
Another option that many people will look at would be simply buying an older used car from either a used car dealership or from an independent seller off a website like Autotrader or Craigslist. Although you may not get the new car like you may have wanted, there are plenty of great options that are not only a much lower price but will deliver a very close performance as the new car you had wanted. There are always going to be people online that have cars they are just trying to get rid of. Because of this cars sold from some independent sellers will tend to be at much lower prices even if they are worth much more. Buying a used car also saves you from losing the original 15% to 20% when you drive the car away because it is already used and won’t lose value for a few extra miles. Not only can you find older cars on these websites and at used car dealerships, but sometimes you can also find new cars that people refuse to sell back to the dealership because of how much money they will lose. Overall this is a great option for most people but is found to be highly beneficial for teenagers and people with less money who want a quality car but can’t afford one. The biggest price dropper on cars is the amount of miles that have been racked on. This can take a car worth $50,000 at one point to a car down to a mere $5,000 dollars because of how many miles have been put on. This may be the perfect car for someone who needs a temporary car that doesn’t need to last long. As you can see this mode of buying cars is highly used.
The last and one of the most popular forms of owning a car is to lease it. You probably see this form of car buying daily while watching tv or even through listening to the radio. Leasing a car is very popular with car dealerships and there are always deals going on in order to make the deal even sweeter. Leasing a car doesn’t always mean the same thing but will most often consist of a deal that either has to do with how many miles are put on the car or a total amount of years you own it. Sometimes it may be a mix between these two and whichever limit you hit first will be when the car is returned. This is a great option for many people because of the combination of low price, a new car, and you can own the car for as long or short as you want without losing much money. Many people choose to go this route because they like change and aren’t a fan of owning the same car for a long time. The only downside to leasing a car is that some car companies may drag you into a deal that you aren’t able to get out of if you dislike the car. Along with this, the price that has to be paid if the car is damaged can be very high. Overall when deciding whether to lease or buy your new car you have to think about your own personal use and which option would best fit your lifestyle. Either way if you are looking for a cheap alternative or if you are just picky and don’t like owning a car for very long, leasing may be the correct form of buying a car for you.
Overall buying a new car can be a tough decision but one that can be made smartly and decisively in order for the buyer to save as much money as possible. As you have seen here, there are plenty of ways to buy a car and overpaying for a brand new car isn’t always needed. While there are so many choices for new cars that can be purchased and this can be enticing, you will find that the used car industry is much broader and may offer you something you didn’t know was a better fit for you.

Works Cited

“10 Days That Offer the Best Deals on Used Cars.” DePaula Chevrolet, www.depaula.com/10-days-that-offer-the-best-deals-on-used-cars/.

“Lease or Buy?” Buying vs. Leasing | New & Used Nissan Dealer | Champaign, IL, www.obrienteamnissan.com/buy-vs-lease.

“New Used Cars for Sale Near Me- Delightful to Be Able to My Personal Blog, in This Time We'll Teach You with Regards to u...: Good Used Cars, Used Cars near Me, Cheap Used Cars.” Pinterest, www.pinterest.com/pin/803540758489442559/.

Shama, Elijah. “Car Dealers Struggle to Sell 2018 New-Car Inventory to Make Room for 2020 Cars.” CNBC, CNBC, 5 Aug. 2019, www.cnbc.com/2019/08/05/car-dealers-struggle-to-sell-2018-new-car-inventory-to-make-room-for-2020-cars.html.

“Why Does a New Car Lose Value After It's Driven off the Lot?” CarsDirect, www.carsdirect.com/used-car-prices/why-does-a-new-car-lose-value-after-its-driven-off-the-lot.
kathleen_elk. “Self-Made Millionaire: Buying a New Car Is 'the Single Worst Financial Decision'.”

CNBC, CNBC, 11 Oct. 2018, www.cnbc.com/2018/10/11/david-bach-says-buying-a-new-car-is-the-single-worst-financial-decision.html.

Epic Games and Rocket League

Richard Loescher

On May 1st, 2019 Rocket League announced that Epic games had bought Psyonix studios. Now this was a good profit for the people working at Psyonix because they got some of the money as well, however on August 6th, 2019 Rocket league made an article about upcoming updates and which was about crates going away forever which everyone in the Rocket League community doesn’t like, because ever since the game came out there’s been crates for cosmetic items that can be worth the money, so ever since the game came out there’s been a lot of trading going on, and this was how Rocket league was making its money through crates which are their import to the players, and then the players would open them making an export to other players and then the players would sell those items to get other items or get keys.

But how this affects the community is it makes the Rocket League trading community not be able to make money off of the items in the game, and now those items are just sitting there with all this money inside of their inventory wasted. Which means that they can’t make money now which is bad for them, but there is a compromise because the items they have are probably items that were released in the beta and alpha stage of Rocket League which means the Epic Games won’t put those on the store they’re going to be adding to Rocket League, so that means that these items will be rare and still be worth money but it will be really hard to get profit or PayPal off of them, and by that it will be really hard to make money off of the items of Rocket League anymore, and because of that the Rocket League trading community will soon be gone.

Epic Games has destroyed the Rocket League trading community to a point where people can’t make money off of the game anymore. Because they want to make it more like Fortnite. Which is making the Rocket League community unsupportive. Which means that a lot of people will either quit the game or complain to the developers of the game to  make crates come back, which is limiting Epic Games marginal benefit because now people will only spend money on like Coins or in-game currency instead of a key to open a crate to try and get a certain item.


Works Cited

McWhertor, Michael. “Epic Games to Acquire Rocket League Studio Psyonix.” Polygon, Polygon, 1 May 2019, www.polygon.com/2019/5/1/18525843/epic-games-buys-rocket-league-psyonix.

 “How to Trade. (Rocket League).” MadCast Gaming, 16 Sept. 2019, www.madcastgaming.com/ips/forums/topic/26164-how-to-trade-rocket-league/.

Team, Psyonix. “Crates Leaving Rocket League Later This Year.” Rocket League® - Official Site, Rocket League, 6 Aug. 2019, www.rocketleague.com/news/crates-leaving-rocket-league-later-this-year/.

An Economic Analysis of Immigration

Alan Acosta-Villareal

One of the most talked-about topics currently in the United States involves the numerous amounts of immigrants coming to the U.S. Often, people who talk about this topic say that immigration will be the end of the economy, or that immigrants are stealing American jobs. However, this may not be the case, in fact, it could be the exact opposite of the truth.

One of the largest arguments created by the surge in immigration has to be the “they’re taking our jobs”. Although this may seem truthful at first, academic research proves otherwise. Evidence provided by the University of Pennsylvania states that “Immigrants are often imperfect substitutes for native-born workers in U.S. labor markets. That means they do not compete for the same jobs and put minimal downward pressure on natives’ wages.” This clearly shows that the effect given by the immigrant population is not a problem that could lead to economic disaster. This is also true, due to the fact that many of the jobs taken by immigrants are jobs that not many Americans would do.

As shown by this image the majority of immigrants will take jobs like maids/housekeepers, miscellaneous agricultural workers, and construction laborers. The main reason immigrants are well fit for these types of jobs is the fact that these are examples of blue-collar jobs that do not require a more advanced education to do, and instead rely on physical labor.

Just by living in the US, immigrants also help out the economy. This is because they buy food, entertainment products, etc. This helps the economy as it increases demand, and therefore creates jobs to build homes and the products they buy. According to cbpp.org, “They work at high rates and make up more than a third of the workforce in some industries.” This shows how much immigrants do for this country, and it also shows how much they do for the economy.

In conclusion, there are many people who are misinterpreting immigration in the U.S. One of the largest reasons for this would be the fact that many people fail to do research on this topic and rather just listen to what is put in the news. I am not saying that what the news says is a lie, but in many cases what the news companies do is exaggerate the truth to a point that makes the immigrants look bad. This is why it’s best to research more and find out different perspectives on the case to allow all of us to be better informed.


Works Cited

PPI, Wharton. “The Effects of Immigration on the United States' Economy.” Penn Wharton Budget Model, Penn Wharton Budget Model, 27 June 2016, budgetmodel.wharton.upenn.edu/issues/2016/1/27/the-effects-of-immigration-on-the-united-states-economy.

Sherman, Arloc, and Danilo Trisi. “Immigrants Contribute Greatly to U.S. Economy, Despite Administration's ‘Public Charge’ Rule Rationale.” Center on Budget and Policy Priorities, 15 Aug. 2019, www.cbpp.org/research/poverty-and-inequality/immigrants-contribute-greatly-to-us-economy-despite-administrations.

Tanvi Misra, CityLab. “Immigrants Aren't Stealing American Jobs.” The Atlantic, Atlantic Media Company, 29 Aug. 2016, www.theatlantic.com/politics/archive/2015/10/immigrants-arent-stealing-american-jobs/433158/.

How to Save Money on Thanksgiving Dinner

How to Save Money on Thanksgiving Dinner
Karamea Tran

          Thanksgiving is an exciting holiday for many Americans. In 2019, the cost of feeding 12 people is about $130 (The Penny Hoarder). The cost of preparing a Thanksgiving dinner can get expensive. Here are some ways to cut down the costs.
          One great way to make Thanksgiving more budget friendly is by hosting a potluck! Everyone invited can bring a side dish or dessert, and that way everyone will feel that they made the day special. Many Americans experience leftovers for days following thanksgiving. One way to prevent overstocking your refrigerator or pushing your budget is to plan out the number of guests and the portions. Consider buying a smaller turkey and adding more side dishes. Shop early. Buy the turkey early and put it in the freezer until the day arrives. If there are a lot of guests, buy from a bulk retailer for great savings. Instead of using disposable silverware and plates, invest in plates that can be used for a long time. This will help save money on cutlery and plates while also minimizing unnecessary plastic waste. Decorations can get pricey. Pinterest is just one of many websites that has thanksgiving inspiration ideas. Instead of splurging on expensive thanksgiving decorations, DIY your decorations. Purchase a candle for a few dollars and gather leaves and pine cones from the backyard for a fun and inexpensive festive decor.
          With Thanksgiving just around the corner, share these ideas with your friends and family! While it is an exciting season, the last thing we all want is to spend too much when there are simple ways to cut costs.


Works Cited

“Fred Meyer : Shop Groceries, Find Digital Coupons & Order Online.” Fred       Meyer : Shop Groceries, Find Digital Coupons & Order Online, www.fredmeyer.com/.

“Investing and Personal Finance News and Research - US News Money.” U.S. News & World Report, U.S. News & World Report, money.usnews.com/.

The Economics of the NFL

The Economics of the NFL
Written by: Vince Zipperer

Since 1920, the National Football League has been a prominent influence over the people of the United States. With 5 teams forming the initial establishment of the NFL, the Arizona Cardinals, Green Bay Packers, Chicago Bears, Detroit Lions, and the New York Giants set up the first framework to a money-making machine. Now a 32-team league, the NFL has a net worth of $91.4 billion as a total of all of the teams, making it more valuable than Chick-Fil-A, Tesla, and Under Armour combined.

An ever expanding business, the NFL has been steadily growing since its startup in 1920. As shown below, the Dallas Cowboys, the NFL’s most valuable franchise, at $5.5 billion, has grown absurdly since 1989.
The graph by Forbes shows the dramatic increase in growth since 2000, with the average net worth of each franchise less than $1 billion, growing to $2.86 billion in 2019. This is more than 100% growth in a span of less than 20 years. This massive growth is largely due to television deals and an uptick in advertising. Dealing with 4 major television stations; ESPN, CBS, Fox, and NBC, the National Football League rakes in almost $5 billion from T.V. deals annually.


Aside from the National Football League itself, football drives the U.S. economy in multiple other ways. First, is the world of Fantasy Football. Thousands of Americans participate in fantasy football leagues all across the country. With numerous ways to play; ranging from “freemium” sites to daily contests, sites such as ESPN, Yahoo, CBS Sports, DraftKings, and FanDuel benefit from the league and players through a website. Most free sites make their money off of advertising, but “freemium” sites allow consumers to enter leagues for free, but can pay a premium to upgrade to a more customized, consumer friendly option. Beyond the free sites, DraftKings and FanDuel charge entrance fees for weekly cash prizes, and amass enough profit for a seperate industry: fantasy football.

After ticket sales, television deals, concessions, and fantasy leagues, the National Football League gives an unexpected boost to grocery sales around the country. The Super Bowl, an annual game to crown one champion, provides a major boost for all grocers in the snack industries, coming in second to sales at Thanksgiving time. This makes Super Bowl Sunday more profitable for grocers than Christmas, Fourth of July, and Easter. After that, during the NFL’s 20+ week schedule, the price of chicken is driven up, along with the price of beef. The football season creates an increase in demand for chicken wings and beef, driving the price of both products up.

Clearly, the National Football League is an essential part of the American Economy. With effects reaching down to the price of chicken and beef, the NFL influences not just the economy, but the culture of the people of the United States. So, when you are taking in your favorite player or team on gameday, take some time to truly appreciate the economic influence that player or team has on your everyday life.

Works Cited

Gaines, Cork. “Jerry Jones Paid a Record $140 Million for the Dallas Cowboys - the Team Is Now Worth $4.8 Billion.” Business Insider, Business Insider, 26 Sept. 2017, www.businessinsider.com/jerry-jones-dallas-cowboys-purchase-price-2016-9.

Kaplan, Daniel, and 2018 October 29. “NFL's TV Deals Hedge against Work Stoppage.” Sports Business Daily, www.sportsbusinessdaily.com/Journal/Issues/2018/10/29/Leagues-and-Governing-Bodies/NFL-TV-deals.aspx. Pymnts. “NFL Football Spending Drives The US Economy.”

PYMNTS.com, PYMNTS 60 60 PYMNTS.com, 8 Sept. 2017, www.pymnts.com/news/retail/2017/nfl-football-ecommerce/.

 

How to Save on Utility Bill

How to Save on Utility Bill
By Jack Borckmann

The future is waiting for us to worry about our utility bills and there is many ways to help, ake it less of a problem. Most of us are not paying a utility bill yet because we don’t own or rent a building. I assure you though in the future sometime you will be looking at your bills and wondering why they are so high and how to bring them down. The average cost of a utility bill in the U.S. is about $2,060 per year according to energystar.gov. The utility bill that we will all be worried about in our future is on average made up of about 6 different categories. Including heating, cooling, water heating, appliances, lighting, and electronics. This pie chart by energy star shows how the average utility bill is broken up.

As you can see the majority of the average cost is in the heating and cooling bills. According to angieslist the best way to help lower your cost is in the different months is to use the natural temperature of nature and not playing with the thermostat. By frequently adjusting the temperature in your house you are using more energy to do so, the best way is to find a comfortable temperature and to stick with it. Another great tip is to use the nature so if you need to open the windows, or in the winter open the curtains for the side of the house with the sun, or in the summer close your curtains to keep the sun from heating up the inside of your house.

Now after looking at how to lower the major cost of your average utility bill lets looks at the best way to help finance it. If you take the average cost per year from EnergyStar and make it monthly that would be about $172 a month. According to mint.com the best way to start budgeting for each month is to do the first step of checking your monthly bills so you can get the average amount a monthly bill is for you specifically. Next is the use of some type of budgeting tool to help make sure you have enough put aside each month for your bills. The top budgeting app that mint.com recommends is obviously mint.com. But from personal budgeting app experience, there isn’t just one good one, it all depends on the person so just go through multiple apps and find the best one for you.

As you can see that each month your utility bill can cost a lot and everyone who owns or rents a house or an apartment will have to deal with. This can be something that will be a major problem to some but if you get the right mindset and find ways such as these before to help plan, this doesn’t have to be a major problem and you can get ahead of the problem before it even is one. So try to remember there is ways to help lower your monthly cost, you just need to be smart about everything.

Works Cited

“8 Ways to Save Money on Heating and AC Energy Costs.” Angie's List | Join for FREE to See 10 Million Verified Reviews, 28 Oct. 2015, www.angieslist.com/articles/8-ways-save-money-heating-and-ac-energy-costs.htm.

“Breaking Down the Typical Utility Bill.” ENERGY STAR, www.energystar.gov/products/ask-the-expert/breaking-down-the-typical-utility-bill.

“Planning for Utility Costs in Your Monthly Budget.” Mint, 16 Dec. 2014, www.mint.com/budgeting-3/planning-for-utility-cost-in-your-monthly-budget.

Starting a Roth IRA as a Teenager

Personal Finance Blog
Starting a Roth IRA as a Teenager
Written By: Brianna K.

Any teenager can start a Roth IRA right now and be rich by the time they are retired. But what are Roth IRAs? How can they help you? Why are they important to start at a young age? What are the advantages? Roth IRAs are tax-advantaged, retirement savings accounts that will allow you to withdraw your savings tax-free. In simpler terms, it is a special retirement account that allows you to put in money and pay taxes now instead of later. Therefore, if taxes are higher in the future, you do not have to worry about it then, to pay off.

Anyone who has a taxable income can contribute to a Roth IRA. Therefore, if your annual income is above a certain amount, you are eligible. The maximum annual contribution an individual can make in 2019 and 2020 is $6,000. Those that are 50 years old and up can contribute up to $7,000. Usually teenagers start Roth IRAs when they start receiving paychecks from their first job. Starting an IRA can help you save for your future and retirement. But, minors IRA's must be set up as a custodial account by a parent and/or other adult. There are a few different types of IRAs for minors. The difference between a traditional and a Roth IRA is the time you pay taxes on the money. With a traditional IRA, you pay taxes when you withdraw the money (during retirement). As for Roth IRA, you pay taxes when putting your money in the account. There are many advantages for minors starting Roth IRAs young. As for opening an account for a child it is the same as an adults account. Although, the opening amount to invest can be less than the brokerages's usual minimum. The only main difference is having custodial or guardian on an account. All you need is your social security number when you open the account. Some firms that currently open accounts for minors include: Charles Schwab, E*Trade, Merrill Edge, Fidelity, TD Ameritrade, & Vanguard. You can fund your Roth IRA at this age by having earned income from a job.

It’s never too early for you to start a savings for retirement account. One of the biggest advantages for starting an IRA at a young age is the end result. The more time you have an account and are actively depositing, means more growth. If you save $360 per month, by the time of retirement you will be a millionaire. You can use the account for multiple purposes. You may not get to withdraw your money for a long time, but you can use it to save for other purposes, too. (It does not have to be just a retirement account). It is a perfect time for teenagers to start saving with this type of an account. As well as getting a return after many years. Roth IRAs can make a large difference in the long term for results. It is important to start investing your money at a young age because it will only grow and go up.

Works Cited

Max, Sarah. “It's Never Too Early to Get Your Kid Saving for Retirement. Here's How.” Roth IRAs Are Ideal for Your Teenager to Start Saving for Retirement - Barron's, Barrons, 16 Feb. 2019, www.barrons.com/articles/roth-ira-for-teenagers-51550247933.

O'Shea, Arielle, et al. “Why Your Kid Needs a Roth IRA.” NerdWallet, 12 Aug. 2019, www.nerdwallet.com/blog/investing/why-your-kid-needs-a-roth-ira/.

Segal, Troy. “The Complete Guide to the Roth IRA.” Investopedia, Investopedia, 7 Nov. 2019, www.investopedia.com/terms/r/rothira.asp.

So.... Socialism?

So.... Socialism?
Written By: Becca R.

Thanksgiving is coming up, so you know what that means. Arguments over who gets to sit at the adult table, repeatedly getting asked why you’re still single and where you’re going to college, and political arguments between that one uncle and other family members that actually know what they’re talking about. If your family is anything like mine, there’s a decent chance the 2020 Democratic candidates will come up. Perhaps one of the most controversial aspects of this discussion topic (besides Mayor Pete jumping the gun and claiming it’s between him and Warren, or Warren’s Medicare for All plan that we still don’t know how to pay for) will be Bernie Sanders and his “socialism.” But how socialist is he really, and what would his policies do to the United States’ economy?

Maybe you’re not a nerd like I am for current issues and politics, so let me fill you in. Bernie Sanders is the guy who had a heart attack a few months ago while campaigning. He’s (somewhat) fine now, and still running for the Democratic spot to go up against Trump in 2020. He’s probably best known among our age group for wanting to make college free (and considering how many blog posts are on here about student debt... it’s pretty relevant). He’s a self proclaimed “Democratic socialist,” but he hasn’t really explained a whole lot of what that means.

He wants free medicine and education, livable wages, guaranteed jobs. His campaign often has the phrase “we must create an economy that works for all, not just the very wealthy” (Gregory). So, would socialism work?

The Council of Economic Advisers released a report titled “The Opportunity Costs of Socialism” in 2018. In it, the report detailed that should the United States adopt Nordic countries’ (Sweden, Norway, and the like) socialism, “its real GDP would decline by at least 19 percent in the long run, or about $11,000 per year for the average person.” Now, if the United States were to adopt more “hard core” socialist policies, like those in Venezuela (which, sure, isn’t exactly the poster child of economic/political stability right now, but we’ll ignore that), “[they] would reduce real GDP at least 40 percent in the long run, or about $24,000 per year for the average person.”

Now, a 40% reduction in the US’s GDP? As of 2017, our GDP was 19.39 trillion. 40% of that, as in how much we’d lose in the long run, would be 7.756 trillion dollars. Safe to say Bernie better not start pitching adopting Venezuelan policies. As for his actual policies... they’re extreme, to say the least. “All told, Sanders’s current plans would cost as much as $97.5 trillion over the next decade, and total government spending at all levels would surge to as high as 70 percent of gross domestic product. Approximately half of the American workforce would be employed by the government. The ten-year budget deficit would approach $90 trillion, with average annual deficits exceeding 30 percent of GDP.” (Riedl) And if we want to compare that to some European social democracies that seem to be used as role models for US socialism, it still doesn’t look so good. Those countries average 43% of GDP in government spending.

We can argue for hours about whether or not the US’s brand of late capitalism has overstayed its welcome or is just getting started. But Bernie’s radical ideals would not work in our current economy. Even when trying to emulate countries that have made it work for them, our GDP would be reduced in a way in which the opportunity cost is just too high. Socialism may or may not be the answer, and I’m not about to tell you what you should believe, but at the end of the day there’s just no way to pay for Bernie’s plan.

Works Cited

“GDP.” U.S. Bureau of Economic Analysis (BEA), www.bea.gov/data/gdp.

“How Socialist Is Bernie Sanders?” Hoover Institution, www.hoover.org/research/how-socialist-bernie-sanders.

Riedl, Brian, and Manhattan Institute. “The Unaffordable Candidate.” City Journal, 15 Oct. 2019, www.city-journal.org/bernie-sanders-expensive-spending-proposals.

“You Can See America's Future Under Socialism, And It Isn't Pretty.” Investor's Business Daily,
Investor's Business Daily, 25 Oct. 2018, www.investors.com/politics/editorials/socialism-poverty-democrats-standard-of-living/.

Is Black Friday Worth It?

Is Black Friday Worth It?

By Allison Moysis

In the United States, there were about 5.9 billion dollars in revenue from Black Friday shopping in 2018 (Felix Richter). From the weekend as a whole, there were about 23.4 billion dollars in revenue. While all this revenue might be good for the economy, Black Friday weekend does not benefit the consumer in the same way. Between November 1st and December 24th, shoppers spend about $1,007.24 on average (Kimberly Amadeo). About $637 are spent on gifts and $215 is spent on food and decorations. However, the rest of this money (about $154) is spent on getting seasonal deals and promotions. Shoppers should be saving money by using promotional offers - like those offered on Black Friday. This makes me wonder, is shopping on Black Friday worth it?

Stores are known to offer giveaways and many promotions on Black Friday, but if you read the fine print, many of these giveaways are only valid “while supplies last” or “to the first 50 people.” Some stores have even been known to advertise an item being 50% off, only to have “from 6 am to 7 am” in the fine print. If you are willing to get up very early and wait in lines to be eligible for the giveaways given out to the first few people, Black Friday can be advantageous. However, to the average consumer, Black Friday is not as good as it is advertised to be.

Every year, stores imply that these Black Friday prices are the lowest yet, however a study by Harris Poll discovered that 93% of ads used on Black Friday are the exact same as the year before. This same study also found out that many Black Friday deals are offered at other times of the year. Some retailers increase their prices before Black Friday (around November 1st) to make the deals at Black Friday seem like better offers.

If you are willing to fight the crowds and stand in lines for hours on Black Friday to get your holiday shopping done early, make sure to research promotions beforehand. Ensure that what is advertised as a deal would be considered a deal even at other times of the year, when the original prices aren’t increased. Shopping on Cyber Monday seems safer - since there are no crowds or lines to deal with, but the promotions offered then tend to be the same as those offered on Black Friday.

Works Cited

Amadeo, Kimberly. “How Much Do Americans Spend on Black Friday?” The Balance, The Balance, 25 June 2019, www.thebalance.com/what-is-black-friday-3305710.

Investopedia. “How Thanksgiving and Black Friday Affects Stocks.” Investopedia, Investopedia, 12 Mar. 2019, www.investopedia.com/ask/answers/102714/how-stock-market-affected-thanksgiving-and-black-friday.asp.

Luna, Jennifer. “The Pros and Cons of Shopping on Black Friday.” NerdWallet, 25 Nov. 2015, www.nerdwallet.com/blog/shopping/pros-cons-shopping-black-friday/.

Richter, Felix. “Infographic: The Billion-Dollar Holiday.” Statista Infographics, 21 Nov. 2018, www.statista.com/chart/7045/thanksgiving-weekend-e-commerce-sales/.

Why Are Retirees Afraid to use Their Savings?

Nazir Spencer
11/01/19
Mrs.Straub
Personal Finance A2

Why Are Retirees Afraid to use Their Savings?

When you retire, don’t you want to be able to spend your money that you have saved up for so long? Maybe not on unnecessary things, but on items that may benefit you or/and your family. Retired folks today do not look to spend their money because of the fear of losing all of that money. This is understandable, as if you spend too much, it will lead to lots of controversy with what you may have left in your account. But if you spend all your life saving up for a good, beautiful retirement, why not spend it? Before you keep reading, think about it yourself and what you would do.
How much is too little? This question may come up when withdrawing money from your savings account as a retired individual. Early retirement can lead to this question, as you do not know how much to spend because of your want to not run out of money. From a customer standpoint, items may seem more tempting as you are in your retirement phase and this may lead to a lot of spending on unnecessary things. For example, if you choose to buy something that is over expensive like some sort of technology, is it really beneficial if your losing so much money when you are now in your comfortable, amazing, retired life? Once your retired, it is very likely that it would stay that way as you enjoy yourself more with family, friends, and sometimes just yourself. Spending a load of money on things like that would end up being a negative instead of a positive to your savings account and savings in general.
Now yes, health issues may occur later in life which leads to you having to spend your money that you have saved, but that is what your money is there for as well. A 2009 study estimated that by the time middle income retirees are in their 80s, they still had not touched 3/4 of their savings. Depending on who you are, that could be huge, and a great source of money to use if needed in the health situation.
Overall, when you and I are retired, we may have different ideas and have different ways to spend our money, but remember that you are working now and saving for that wonderful retirement life. Once your retired, spend as you please, but the goal is to be smart and spend only on things that are necessary. Putting yourself in a good spot before retirement is great, but being retired and ending up broke could be very unfortunate!

Works Cited
Samurai, et al. “The Fear Of Running Out Of Money In Retirement Is Overblown.” Financial Samurai, 11 Oct. 2019, www.financialsamurai.com/the-fear-of-running-out-of-money-in-retirement-is-overblown/.

“Squared Away Blog.” img_header_squaredawayblog, squaredawayblog.bc.edu/squared-away/half-of-retirees-afraid-to-use-savings/.

Wasik, John F. “Why Retirees Are Afraid To Spend Their Kitty.” Forbes, Forbes Magazine, 11 Nov. 2019, www.forbes.com/sites/johnwasik/2019/11/11/why-retirees-are-afraid-to-spend-their-kitty/#785170773072.

How Does a College Degree Affect the Average American's Economic Standpoint?

How does a College degree affect the average american’s economic standpoint?

By: Kristopher Johnson
In today's conversations regarding college, we often hear about the debate, “is going to college
worth it, especially with increasing debt?” Unfortunately, we often hear less about the benefits of
college and how they affect your earnings, and more about the negatives. As previous research
has shown, and continues to show, an increase in education level contributes to an increase in
income.

Despite these results and the staggering difference between each level of education, why does
only a third of Americans have above an associates degree? For one, as previously mentioned,
debt. The common assumption is that not going to college is beginning to be a better, more
affordable option than attending, however this isn’t the case. Although many are believed to
enter college only to enter a low paying job, only 20% percent of college graduates enter a low
wage job right out of college. This may seem particularly high, except when you consider that
half of those working low wage jobs with a college degree eventually obtain a high paying job,
leaving only 10% of college graduates with low paying jobs. This is in stark contrast with
workers with only a high school diploma, since out of that group of people a staggering 70%
have a low paying job. Furthermore, the group of people that have some college or less in
education level make up over 65% of unemployment in America, which is a significant amount.

From this data it is easy to conclude that a college education is worth it. An easier way to think
about it is in the long term. It has been proven that on average a person with a bachelor’s
degree or higher will earn approximately one million dollars more by retirement than someone
without a college degree. This is a substantial amount, as I’m sure anyone wouldn’t mind having
an extra million dollars in their bank account. It has also been shown that Americans with a
college degree are more likely to have a retirement fund that will support them (due to the
increased pay), as well as make better financial choices leading up to retirement. Having
enough money for retirement in college is a major problem among Americans, and contributes
to why a lot of elderly have to work low end jobs to make ends meet. The college degree can
help a lot in this instance.

Going to college is a privilege that everyone should have a right to access. The benefits it brings
are substantial, and incredible, so go get a degree!

https://youtu.be/rhiuBqwdlaA

This is a good video for a more in depth look at this particular topic, as well as how college
degrees can help your health as well.

Works Cited

“Measuring the Value of Education : Career Outlook.” U.S. Bureau of Labor Statistics, U.S.

            Bureau of Labor Statistics,

            https://www.bls.gov/careeroutlook/2018/data-on-display/education-pays.htm.

Osborn, Peter. “Do College Grads Really Earn More Than High School Grads?” Cornerstone

           University,

           https://www.cornerstone.edu/blogs/lifelong-learning-matters/post/do-college-grads-reallyearn-

            more-than-high-school-grads.

Reporter, Dailymail.com. “High School Graduates Earn $1MILLION Less over a Lifetime

           than College Grads.” Daily Mail Online, Associated Newspapers, 10 May 2015,

           https://www.dailymail.co.uk/news/article-3075189/High-school-graduates-earn-1-

           millionlifetime-graduate-college-new-report-finds.html.

“U.S. Student Loan Debt Statistics for 2019.” Student Loan Hero,

          https://studentloanhero.com/student-loan-debt-statistics/.

Smart Money Habits: Why You Should Start Saving Now

Smart Money Habits: Why You Should Start Saving Now
Sydni Otto
 12 November 2019

As we get older and get jobs and go to college, money seems to play a bigger factor in our lives.

Though saving seems hard or we think we’ll have time to do it later in life, saving and creating smart habits with you money is more crucial now than it will ever be. The first thing to do is to save every little bit you can, no matter what new pair of shoes is out or that movie you really want to go see. Budget well so you can enjoy those things while also saving for that not-so distant future. Next, make a money habit and stick to it. As soon as you start to put away a certain percentage of your check into a savings account, you’ll soon forget that you even are. If you put 20% of your check away every pay period, soon your money will accumulate in your account and you’ll see the growth in a short time. Another huge factor that plays into smart money habits is, tracking your spending. For most of us, our checks seem to be gone faster than we receive them and you have no idea where it may have gone, by having a budgeting app to simply writing down every transaction you make. Knowing where and who your money is going to is extremely important.

The final factor I would say in creating smart money habits is just setting financial goals for yourself, whether you want to save up to buy that new piece of clothing or just want to save a certain amount for college. Having that end result in mind can better help you save and create that money habit of saving for your futureself.

Works Cited

“10 Money Tips for Teens.” U.S. News & World Report, U.S. News & World Report, money.usnews.com/money/personal-finance/articles/2014/11/05/10-money-tips-for-teens.

“11 Money Management Tips for Teens.” Credit Marvel - The Ultimate Authority on Credit Repair, 10 Aug. 2019, www.creditmarvel.com/blog/11-money-management-tips-to-teach-teenagers/.

Elliott, Candice. “Money Tips For Teenagers: Your Future Self Will Thank You.” Listen Money Matters, 16 Aug. 2019, www.listenmoneymatters.com/money-tips-for-teenagers/.

Budgeting Your Money In College

Budgeting Your Money In College

      By: Nicole Strunsee

 College years will always represent a time of very limited funds lots of endless possibilities to spend your money on. While going to college, budgeting and setting goals is a very important step as it allows you to create a spending plan for your own money, such as tracking where your money is going or where it is being spent. By having a budget, it is proven that it can prevent individuals from going into debt. You're not just going to be spending thousands of dollars for college tuition, textbooks, housing, fees, and transportation as shown on the graph. You are also going to need to take into extent that you are going to have your own personal expenses; which can add up to a significant amount of money in the end. I am going to give you some tips on how to budget your money properly by setting goals for yourself and budgeting your money correctly so you are able to avoid any type of debt in college or after college.

   Setting financial goals is a very important step for students attending college, and even for people that aren't in college. Setting realistic financial goals gives you a head start to create and personalize your own budget. It is important to ensure you're working toward realistic goals you can actually meet so you don't end up disappointed by not accomplishing that specific goal. Think about the goals you want to set realistically, both short- and long-term. An example of a short term goal being for a college student is to save enough money for next semester's books so you can pay in on time and not get behind. Or to try and pay extra money for your student loans each month so you are not overwhelmed later on. A long term goal can be paying off your student loans within the next 4 years. Or getting a job that you like and pays good money. These are called smart goals. A Harvard study found that 3% of their MBA grads made ten times as much as the other 97% combined. They questioned what were they doing differently from the other students? They found that the 3 % of their MBA grads physically wrote down their goals and making them SMART and realistic personalized to themselves.

   Another tip to save your money is to use your student ID or student email while you are in college. Your student ID earns you some student discounts on a lot more items and products than you think. For example, with a valid student email address, you can sign up for prime student on amazon and receive free shipping on millions of items you may need. You can also use your student ID for food, and clothes. Always ask if a student discount is available.

 One last suggestion is to track and budget your money is with an app, or just write it down. First, you need to be honest with yourself about what you are going to be spending your money on. Think about your wants and needs. And when you do spend money on something write it down, so you know what you spend your money on. It's not only important to create a budget; but it's also important to check your budget to see how you are doing. You can use a calculator called a budget checker. Just setting simple goals and budgeting can easily prevent you from going into debt and can save you years of stress trying to pay off everything in time.

Works Cited

“4 Easy Steps to Start A Budget in College.” Frugal Rules, 8 Aug. 2019,

www.frugalrules.com/budget-in-college/.

“Budgeting Tips.” Federal Student Aid, 4 Feb. 2019, studentaid.ed.gov/sa/prepare-for-

college/budgeting/budgeting-tips#get-started.

“Budgeting Tips for Students - Great Lakes.” My Great Lakes,

mygreatlakes.org/educate/knowledge-center/successful-budgeting.html.

“Cost of College Room and Board over Time - 1971 to 2013.” Cost of College Room and Board

         over Time - 1971 to 2013

, www.freeby50.com/2014/09/cost-of-college-room-and-board-over.html.

“What Are the Major Expenses for Students?” College Choice,

 www.collegechoice.net/college-life-3/what-are-the-major-expenses-for-students/.

“Why 3% of Harvard MBAs Make Ten Times as Much as the Other 97% Combined.” Sid Savara, 16

          Mar. 2017,

sidsavara.com/why-3-of-harvard-mbas-make-ten-times-as-much-as-the-other-97-combined/.

The Cost of Living in a Big City

The Cost of Living in a Big City
Austyn Brock

If you’re like me, you may want to live in a big city sometime in the future. All the people, skyscrapers, and things to do are compelling and exciting. The city can seem inviting for young people with its lively atmosphere at all times.

On the other hand, we have all heard of the costs that come with living in the city, which might make us wonder, is it worth it?



One of the most important and costly parts of living is housing. This is also one of the biggest gaps between city and small town living. Housing costs are much more in big cities. This is due to the fact that more people want to live in the city and the limited space drives prices upward. According to Marian White, “while someone making $60,000 a year can afford a 3-bedroom home in Raleigh, NC, they may have to settle for a small, walk up apartment (and several roommates) in New York City.” And as shown in the cart above, the cost of mortgage in a larger city is 359% more than in a smaller town.

Additionally, other everyday necessities such as food, gasoline, and utilities can be over two times more expensive in cities than smaller towns. These costs, although sometimes forgotten about, begin to really add up. Overall, the total cost of living in the city according to Saving 2 Invest is $10,120 while the cost of living in a small town is a tiny $3,815 in comparison. This seems like a huge difference right? Luckily, city living also has its perks and there are ways to save money.

Although city life is about 165% more expensive than small town life, the average monthly income is about $5,500 more than the income of those who live in a small town. This increase in salary is enough to cover the extra costs of living in an urban area. The city also opens up better job opportunities, more options, as well as shorter commutes to work.

There are also a couple of easy ways to save money while living in a city in order to decrease the cost of living.
Living with a roommate
Shopping wisely
Eating at home
Create a budget

In an urban area it is easy to spend more money than you mean to, with increased prices on almost everything, but creating a budget and saving money on things like clothing and food can help you decrease your monthly spending. Living with a roommate can also be a great way to cut housing costs in half. On the same note, living in a city early in life, before having a family, might be the way to go, as the cost of children can seriously increase in the city due to the cost of daycare, clothing, and food.

Overall, although it may seem impossible, living in an urban area after college, might not be as impractical as you think. All things considered, although the cost of living in a city is significantly more, salaries are higher and job opportunities are better, making city living just as sensible as suburban living early in life.

Works Cited
“9 Easy Ways to Save Money Living in NYC.” Metropolis Moving, 27 May 2019, metropolismoving.com/blog/save-money-living-new-york-city/.
Andy, and Sam Dalal. “Monthly Budget Comparison – Big City $10,000 vs. Small Town $4,000.” Saving to Invest, 20 Dec. 2013, www.savingtoinvest.com/monthly-budget-comparison-big-city-10000-vs-small-town-4000/.
Jensen, Carl. “Small Town Vs. Big City: What Are The Pros And Cons?” MoneyMow, 10 June 2019, www.moneymow.com/small-town-vs-big-city-what-are-the-pros-and-cons/.
White, Marian. “Thinking of Moving? Here's What It Costs to Live in These 30 Cities.” Moving.com, Moving.com, 24 Jan. 2019, www.moving.com/tips/how-to-determine-the-cost-of-living-in-a-city/.

Legalizing Sports Gambling

Legalizing Sports Gambling
Written By: Cooper Young

Wisconsin legislature has recently teased the idea of letting the public legally gamble for collegiate and professional sports events in years to come. The Supreme Court recently overturned a 25-year statute prohibiting sports related gambling, allowing individual state chambers to decide whether they will allow sports related gambling. At this time, thirteen states have already legalized some form of sports gambling. Six more states are set to take steps of legalization within the year to come, with many other states eyeing up the idea.

This discussion all began in 2018, shortly after a landmark Supreme Court case. According to the Milwaukee Journal Sentinel, Supreme Court Justices ruled that a federal statute prohibiting sports betting outside Nevada by forcing states to keep prohibitions in their laws was unconstitutional. The court ruling allowed for states to broaden their individual gambling rights, including Wisconsin.

In order for sports gambling to be legalized in Wisconsin, there are numerous factors that legislatures must consider such as federal law, state revenue, and taxation. An Oxford Economics study estimates that if most or all states legalized sports gambling, it could generate a storage tax revenue of about 4.2 billion to about 19.6 billion annually. Nevada earned 20.3 million in tax revenue from sports betting. New Jersey also earned about 20 million in tax revenue as well. New Jersey also inherited over three times as much revenue from online wagers, hinting at several platforms that the transactions and trades could occur. Not to mention the estimated 150 billion dollar illegal sports betting industry that could be beneficially integrated if states such as Wisconsin were to legalize sports betting. With the nationally required 0.25% tax on gambling book keepers, it’s reassured that the government will get their share without discouraging individuals from participating.

If sports gambling were to be legal, tribal groups would be able to establish methods of sports betting inside their casinos. This new surge of sports gambling would bring in a new demographic of gamblers that might have not partaken before. Ultimately more money and accommodations would be exchanged between the two parties and, even though little, would demonstrate economic growth and progress.

So the government decides to legalize sports gambling, how does that benefit those who don’t participate? Uses such as Health Programs, Social Security for those in need, Food and Agriculture are just a few ways that we could put that extra tax revenue to good use. Revenue could also be put to specific uses such as Elizabeth Warren’s proposed 80 billion dollar plan to increase conditions in underprivileged school. The uses for the increased revenue continuous-indirectly benefiting us all.
Although not much further progress has been made, those Wisconsin legislature in favor have been fighting an uphill battle. Numerous proposals have been cast and there is a scheduled hearing in November for furthering of the bill.

College Application Process

Wynter Cianciolo

Personal Finance 

Mrs. Straub

1 November 2019 

As we enter the 2020 Winter season seniors are feeling pretty stressed about the thought of college next fall. Figuring out how to apply for certain colleges, figuring out FAFSA, and on top of all of that figuring out how in the world your going to pay for a 4 year college with no money?!? Although this can be very stressful and things might feel like they’re out of order there are a few steps you can take to make this process a bit easier.

Before you do anything when looking into college, start saving young! Make this process of looking into college easier by starting to save and make money at a young age.

The first thing you want to do: Get to know your financial aid application process. Applying for college is already stressful as a whole but when you know more about the financial aid process you’ll be taking it’s much easier to understand. The next most important thing you want to do: Apply for your FAFSA, this program is made for all students and any students to apply to certain loans, grants, and determines eligibility for all federal aid programs. “FAFSA provides over 13 million students with nearly $150 billion for aid and rosters well over a thousand employees nationwide. Most students, no matter their economic background, are encouraged to fill out the FAFSA form to see if they qualify for government assistance.”

Find the right scholarships for you and apply: The first thing I suggest you do when you are looking for certain scholarships to apply to write down all the things you have an interest in or are good at or things related to you, your family, or religion. Throughout this list of things it should make it easier to pick out and narrow down certain options. During the time of applying for college it can be very stressful but when you break it down into a process, it is much easier. Works Cited

CollegeXpress. “How to Pay for College, Step-by-Step.” CollegeXpress, www.collegexpress.com/articles-and-advice/financial-aid/articles/applying-financial-aid/how-pay-college-step-step/.

Staub, Morgan, et al. “The Percent of Students Who Receive Financial Aid - College Raptor.” College Raptor Blog, www.collegeraptor.com/paying-for-college/articles/questions-answers/many-college-students-receive-financial-aid/.

Max FayStaff. “Financial Aid Process - Securing Student Loans.” Debt.org, www.debt.org/students/financial-aid-process/.

Budgeting is Beneficial

Budgeting is Beneficial
Written by: Ben Riek

You probably have been told that you should start budgeting your money, but you probably do not know what it means. Budgeting is the most effective way to manage your money. There are so many methods for a person to utilize. Nonetheless, there are people that don’t take advantage of it. Any student in high school should realize that money should be spent when it is absolutely necessary. If someone is careless and doesn’t create themselves a budget, there will be consequences they would need to be ashamed of, with debt being one of them. In order for that not to happen, the student must keep their finances on track.

Here is how you can budget your money:
1. Calculate how much you’ve been spending by looking into your bank statements

2. Figure out your income (This includes what you make at your job, and also cash gifts you may receive once a year)

3. Set your savings and debt payoff goals (Cut your spending and track down how much you are spending every week)

4. Stick to your budget for most of the time (If you wing your budget at rare times, it’s okay)

5. Not only would you want to budget your money to save more, but you also can invest in your retirement as early as possible so you can live a happy retirement with frequent compound returns.

Next, a pie chart displays what percentage of Americans are using a budget. Please take a look below:

https://www.simpletuition.com/wp-content/uploads/2013/09/americans-that-use-a-budget.jpg

According to the pie, not a lot of Americans like to budget their money. The repercussion is that much more money is being spent every day because of how many Americans that do not want to take advantage of budgeting their money. By solving this problem, we as Americans can lower the orange side of the pie, and raise the blue side of the pie, and therefore, we can save a whole lot of money.

https://mk0zezosobuapu92jg73.kinstacdn.com/wp-content/uploads/2014/11/Personal-Finance-Statistics_Spending-Chart.jpg

Americans must not only be conscious about who is or isn’t utilizing a budget, but they should also understand how a typical American is budgeting. From the chart, an average American citizen budgets their money the most on housing, and less on Education. Housing is an important part of everyone’s life. A lot of possessions at home matter the most because there are human beings that get a lot of attention that way. Then there’s education, which has the lowest percentage. Many parents send their children to public schools. And when a parent sends their children to a public school, the government is in charge of paying for education. But why is there a percent for education? Since the mid 19th century, countries have started to expand primary education through public finances and government intervention. So the government isn’t everything to cover for education. The public is involved as well. The public supports school districts and private schools through property taxes. With Pewaukee being a school district that the community supports the most, property taxes are expected to rise, and likely affect the statistics of budgeting because the referendum of 2018 was mostly agreed upon at election.

In Conclusion, all Americans must be aware that spending too much money could make themselves bankrupt. To avoid debt, Americans must keep themselves aware of their spending statements, and budget the rightful amount of money they can spend throughout the day. There are currently more than 50% of Americans that don’t budget their money, and by being aware of what is being spent is necessary because it avoids dept. Understanding how an American budgets, the average American budgets the highest on household, and less on education. Households matter more to homeowners, and a government can typically spend more for education. However, the Public is vital along with the government because the Government cannot always be spending more on education, and community support helps a lot with public schools.

Works Cited:

“5 Simple Steps to Create a Successful Budget.” Payoff Life, 17 Apr. 2018, www.payoff.com/life/money/5-simple-steps-to-create-a-successful-budget/.

“Budgeting for College Students.” SimpleTuition, www.simpletuition.com/managing-finances/budgeting/.

“Personal Finance Statistics: How Do You Compare?” Debt.com, Debt.com, LLC, 7 Oct. 2019, https://www.debt.com/statistics/.

Roser, Max, and Esteban Ortiz-Ospina. “Financing Education.” Our World in Data, 22
June 2016, ourworldindata.org/financing-education.

“What Is Budgeting? What Is a Budget?” What Is Budgeting and Why Is It Important? | My Money Coach, https://www.mymoneycoach.ca/budgeting/what-is-a-budget-planning-forecasting.

Health Insurance after High School

Health Insurance after High School
Teagan Kennedy

There is a lot to worry about when you turn 18. You are preparing for the next chapter in your life. Many of us are going to be worried about a hundred different things at this time. You are applying to colleges, getting scholarships, figuring loans and FASFA. Some of us are going to be finding a job, or even moving into an apartment. After high school graduation, students make so many adjustments they often forget to get some aspects figured out. The last thing that we often think about is health insurance. Many of us push it off or choose not to address it, but it is a conversation that needs to be had. There are a lot of different options, but I am going to outline some of the most common choices available.

The first step is starting a conversation with your parents. It is important that you know about their plan, and if they are allowing you to stay on their plan. One of the most assumed and common options are to stay on your parent's insurance plan until you are 26 years old.  This would ensure you don’t get into a sticky situation without time to figure details out. If you are planning on going to college out of state research the insurance that you have and see if you are still going to have access to the insurance. Staying on your parent's insurance plan might be the best option for you, it could provide you the best coverage while being the cheapest plan. That being said, not everyone is going to have the luxury of staying on their parent's plan for that long.  What do you do then?

There are two common options. If you are at a university full time, explore the student health care options that they offer. If you are going to school out of state, this is should be the first option that you look into. Typically, connecting with the school admissions officer is the first step you should take to gather information about your university's health care plan. Checking in with your university will provide you with the next best option without having to pay a fortune for coverage.

If either of these previous options do not apply to you, do not worry, there is yet another option. You can go under a catastrophic plan. This plan is available to healthy people under the age of 30. This plan is designed for people that do not have a ton of money, but still will provide coverage. It is a low premium plan, with a high deductible, meant to provide coverage if something catastrophic were to happen, hence the name. This is the least amount of coverage available through this plan.

There are many different options that you can choose, some are going to apply to you, some are not going to work with your situation. Talking to your parents is the first step that you should take. Knowing what you have to do is going to give you the power to start analyzing your options.

Works Cited

Chatzky, Jean. “What Millennials Should Know About Picking the Best Health Insurance.” The Balance, The Balance, 21 Mar. 2019, www.thebalance.com/millennial-health-insurance-costs-4125587.

Csreinicke. “It Might Be Time to Take Adult Kids off the Family Health Plan.” CNBC, CNBC, 10 July 2018, www.cnbc.com/2018/07/10/it-might-be-time-to-take-your-adult-kids-off-the-family-health-plan.html.

“Millennial's Guide to Buying Health Insurance.” EHealth Insurance Resource Center, 13 Sept. 2019, www.ehealthinsurance.com/resources/individual-and-family/millennials-guide-buying-health-insurance.

Credit Card Fraud

Credit Card Fraud
By: Anna Bartos

Credit card fraud is when someone uses your credit card number to make purchases you didn’t authorize either in person or online. There are many types of credit card fraud ranging from Fraud Spree, which is unauthorized charges on accounts, to Identity Theft, which is when a fraudster uses your personal information such as your social security number, name and birthdate to commit credit fraud. Identity Theft is the most common form of credit card fraud based on the Federal Trade Commision categorization. A good example of Identity Theft is when a fraudster uses your personal information to  contact your credit card company claiming that your card was lost or stolen to get your credit card company to send them a new card. According to the Identity Theft Resource Center, throughout the year of 2017, there were 133,015 reports of credit card fraud for the United States, a 7% increase from 2016.

 However, from collecting data from the Federal Trade Commission’s Consumer’s Sentinel Data Book and the U.S. Census American Community Survey, Credit Sesame, a financial management platform, found that the percentage chance of credit card fraud varies from state to state with some states being targeted more often than others. They also found that there was a positive correlation between higher income states and credit card fraud and that high levels of poverty corresponded with lower rates of credit card fraud. From the graph and statistics Credit Sesame created, it shows that California is the second state to have the highest credit card fraud and identity theft complaints at a 43% rate, with a 14.3% poverty rate. In Wisconsin, where we live, we rank 37th in the United States for credit card and identity theft with a 37% complaint rate and with 11.8% of the population in poverty.
So how does somebody prevent credit card fraud and what should you do if it happens to you? Since credit card fraud can happen at any time any day, even if your credit card is kept safely in a wallet, it’s still a good idea to be aware of the signs. Some common suspicions are finding that your credit report contains information about accounts you never opened, finding strange charges show up on billing statements, getting bills that arrive from unfamiliar sources, or receiving multiple calls from creditors or collection agencies. If any of these events happen to you, the first step is to call your credit card company immediately so they can close your credit account and give you a new card with a new card number. They will also investigate the unknown charges. Since many companies have zero-liability policies they won’t charge you for fraudulent charges if you report the charge before using the card. Even if your credit card company doesn’t have this policy or you use your card after the fraudulent charge they will only charge you $50 under the Fair Credit Billing Act. The next step is to change your online passwords and PINs for all your financial accounts and to contact the credit bureaus to make a credit freeze from all major credit bureaus. This makes it difficult for fraudsters to open new accounts with your personal information. Lastly, closely monitor your card statements and credit reports for the next few months to make sure fraudsters aren’t doing any more damage since it can take time for fraudulent charges to appear. It also makes sure that you can sleep at night knowing that your credit card account is fixed.

Works Cited

“Credit Card Fraud: What to Do If You're a Victim.” Experian, 21 Sept. 2018, https://www.experian.com/blogs/ask-experian/credit-education/preventing-fraud/credit-card-fraud-what-to-do-if-you-are-a-victim/.

Spychalski, Brian, et al. “What to Do If You're a Victim of Credit Card Fraud.” Credit Karma, Credit Karma, 12 Sept. 2019, https://www.creditkarma.com/credit-cards/i/credit-card-fraud-victim/.

“The 25 States with the Most Credit Card Fraud.” Credit Sesame, Credit Sesame, 8 Oct. 2018, https://www.creditsesame.com/blog/credit-cards/25-states-credit-card-fraud/.

“What Is Credit Fraud?” Experian, 29 Jan. 2018, https://www.experian.com/blogs/ask-experian/credit-education/preventing-fraud/what-is-credit-fraud/.