I’ve saved this video for a long time, and I have watched it many times. It’s my pleasure to share it with you. It is probably my favorite Dave Ramsey caller of ALL TIME. This first young woman featured here was homeschooled, attended private Christian College, worked like crazy…not only did she graduate debt free, but she and graduated with money in the bank. What’s the secret?
For most students, the simple answer is HARD WORK.
Last summer, I heard about Jeff Selingo. He was being interviewed for his latest book There is Life After College. He specifically spoke about the topic of students working during college. Mr. Selingo has researched this issue, and shares some comments here:
“One reason high-school students and undergraduates used to work was to earn money to pay for college. But one byproduct of skyrocketing college prices is that a part-time paycheck pays a smaller proportion of the tuition bill. As a result, many students find it easier to just take out loans instead of trying to work to pay for their higher education.”
He’s right, it is easier.
College’s financial aid offices will present your teen with a “Financial Aid Package” that will include a Pell Grant (a gift from the Federal Government if you meet income requirements) and Scholarships (a gift from the college if you meet specific criteria) and the rest will be loans. Loans will fill the remaining portion of your “need” for that year.
Financial Aid Packages are prepared EACH YEAR.
Need is the kicker. Need frequently includes living expenses and other costs that the college has estimated on your behalf. Borrowing living expenses money is a surefire way to incur the absolutely MOST student loan debt possible. The alternative? Work!
Part Time Work During College = Higher GPA
According to a report out of Boston University, “Four-year college students working 20 hours or less had an average GPA of 3.13, versus nonworking students, who had an average GPA of 3.04. But the benefits were reversed with too much multitasking: students who worked more than 20 hours a week had an average GPA of 2.95.”
Work and Earn…..and earn some more!
In addition to working to help off-set costs and build grit into your character, some companies will pay your tuition. This is in addition to your regular wages. Tuition assistance programs can pay for part or all of your degree, and of course, each company that creates a program will attach strings, which require careful consideration.
Common strings include holding full-time employment, pursuing a specific major, maintain passing grades, and so on. The human resources department at any company can provide detailed information about their program. Still, every student should consider doing their work for a company with a tuition assistance program! If you don’t, you’re leaving free money on the table.
Companies that offer TUITION REIMBURSEMENT
These companies will pay some or all of your tuition through tuition reimbursement! In short, you pay for your courses, and when you’ve passed the semester, your company cuts you a check. In other cases, the company sends a check directly to your school.Contact the company’s human resources department and ask about the details. P.S. you can do that BEFORE you apply for a job!
- Ann Taylor
- Barnes & Noble
- Best Buy
- Harris Teeter
- Hilton Hotels
- Home Depot
- KFC Restaurants
- Lane Bryant
- Marriott Corp.
- Publix Grocery
- Verizon Wireless