TOP STRATEGIES TO HELP ACHIEVE YOUR FINANCIAL GOALS

 SET AND PRIORITIZE GOALS

In order to achieve your ideal financial future, you must first decide what it looks like and create specific short-, mid- and long-term strategy.  

CREATE A BUDGET - starting with fixed expenses like a mortgage and rent, then moving on to more flexible expenses like groceries and entertainment.  Use a budget calculator to see how your money is allocated.

COVER YOUR BASES  - achieve your financial goal starts at ground zero like planning for retirement and setting yourself up for future success by investing in products that help protect and grow your wealth.  

DIVERSIFY INVESTMENTS - Stock market volatility is a concern and the point is to reduce risk and dampen the impact of market volatility as much as possible.  

THE LINK BETWEEN DOMESTIC VIOLENCE AND EDUCATION

 Education is cited as the single biggest transformative factor for the individual in breaking away from domestic violence.

Some schools have implemented programs focused directly on students whose home situation is challenging.   One such program was "I wish the hitting would Stop" a Domestic Violence Education program introduced to elementary school in two elementary school districts in the Midwest. This initiative was borne out of the assumption that domestic violence or extreme stress in childhood may affect a child's neurocognitive development which may lead to lower intelligence.

In additional the creation of UN Women by the United Nations General Assembly in 2010 was facilitated by the need to address violence against women and girls, promote equally and empower women through education as well as several self-help programs.  It's hoped that an awareness of basic human rights may empower women to participate in social enterprises they once thought impossible.  

Empowerment accelerates social change.  Thus empowering women through education may enhance their ability to leave an abusive relationship and give her the confidence to believe in herself.

DOMESTIC VIOLENCE AND POVERTY

 Domestic violence and poverty are part of many people's life around the world, regardless of culture or background.  However, some social demographics are more likely to experience domestic violence on a daily basis the others, and poverty is one of the areas that has an impact.

Poverty has been linked to increased rates of domestic abuse and can affect any member of the family, as to who may become the aggressor.

Poverty affects even average families.  The link between domestic violence and poverty and the cycle that results in many families is grim.  When the domestic violence cycle begins under poverty, many families begin to live an eternal nightmare that seems unlikely to end.  The family of an abusive partner that is also very poor, often sees no way of escaping this vicious continuous cycle.  and the very financial trap that they are in, continues to cause more anger and lashing out.

Victims of domestic violence can be any age, gender, race, religion and, unfortunately, if you are poor, you are more likely to experience the abuse.  Many of the women in domestic abuse relationships end up homeless due to the combination of domestic violence and poverty they have endured.  Domestic violence shelters have seen a vast increase in the number of women and children that have turned up on their doorstep.

Women suffering both domestic violence and poverty sometimes feel there is no housing and financial support to help them to move on with their lives.  Both women and men perceive that there are barriers to entry and finding a suitable shelter.  These perceived barriers are especially felts by those without financial ability to pay for help.  in some cases, intimate partners will return back to the abusive relationship because they see no other way out.

Domestic violence and poverty can affect everyone, and, if violence has crept into your difficult economic situation, you need to act to ensure that it doesn't destroy you or your children.

New mRNA Pancreatic Cancer Vaccine Trials - AWARENESS IS POWER!!!

October is both Pancreatic Cancer and Breast Cancer Awareness Month.

 A new approach to treating pancreatic cancer is progressing to the next step in making available to more patients.  After results from a small study, a phase 2 trial has now opened to test the effectiveness of using an mRNA vaccine to fight one of the deadliest cancers.

The new trial is investigating whether this therapeutic vaccine reduces the risk of pancreatic cancer returning after the tumor is removed by surgery.  The study will enroll about 260 patients at Memorial Sloan Kettering Cancer Center and nearly 80 sites around the world.

The trial is open to people newly diagnosed with pancreatic cancer who have not yet had surgery or other treatment such as chemotherapy, immunotherapy or radiation therapy and who fit other specific criteria.

to learn more about enrolling in the trial at MSK, call Patient Access Services at 332-266-8811.

Effective Teaching Strategies for Every Classroom

Many teaching strategies work for any classroom, no matter what the age of the students or the subject.  When a teacher implements a combination of effective teaching strategies, their students have more opportunities to perform better in class.

Here are some that I find very effective:

1)  Model as you Teach - When you are presenting a new subject to your class, it helps to include a demonstration.  

2) Work as a Team - Splitting the class up into different teams to complete an assignment is a teaching strategy that works wonders.  Group assignments encourage teamwork and helps your class succeed.

3)  Let the Students Teach - Letting students lead the class in teaching requires preparation and a deep understanding of coursework.  You can assign this task individually or break up students into group.  The goal of this strategy is to get your students to display the knowledge they have and to share it with their classmates.

4)  Integrate Technology into the Classroom - Computers, laptops and tablets can allow you to enhance your lesson plans with online educational activities.  There are several free resources that you can access with a simple Google search.  Try looking up educational videos or playing free math and science games.

5)  Try Graphic Organizers - Graphic organizers display information visually and students need to think to understand how that information needs to be applied.

6)   Emphasize Behavior Management - This is a big part of teaching.  Teaching strategies often give you plenty of structure regarding how to teach a class, but not enough information on how to control it.  If you are experiencing some behavioral problems in class programs like CLASSCRAFT can help.

7)   Utilize Visual Aids -Visual aids, such as smart boards, focus students' attention on the tool and students can absorb information both visually and audibly.

8)   Implement Inquiry-Based Learning - Inquiry-Based Learning is a technique used to appeal to your students' curiosity allowing them to identify question that interest them and explore those questions in an educational setting and research them.

8)

Measuring Financial Literacy

 Global inflation has once again taken center stage for households and policymakers, stressing peoples' finances, undermining their savings patterns, and threatening long-term financial security.  Simple measures around the world confirm strikingly low levels of financial literacy with consequences for how people manage their personal finances.

To investigate patterns of financial literacy which is defined as the knowledge of and the ability to use basic financial concepts in their everyday financial decision-making process.  A group from the University of Pennsylvania created three simple questions as a baseline to attempt to get an indication of financial awareness.  These questions were:

1) Suppose you had $100 in a savings account and the interest rate was 2% per year.  After 5 years, how much should be in the account?

                                                  More than $102**

                                                  Less than $102

                                                  Exactly $102

2) Imagine that the interest rate on your saving account was 1% per year and inflation was 2% per year.  After 1 year, how much would you be able to buy with the money in the account?

                                                   More than today

                                                   Less than today**

                                                   Exactly the same as today

3) True or False.  Buying a single stock usually provides a safe return than a stock mutual fund.

                                                   True

                                                   False*

Despite the fact that these questions were intended to assess knowledge of the ABCs of personal finance, fewer than half of the respondents queried in this nationally representative survey in the US, got all three questions correct, even among older people who have made multiple financial decisions over their lifetimes.

Similar studies were done outside of the United States with Germany faring the best at 57% of respondents correctly answering all three basic questions, Netherlands scored 46%, US 35%, Italy 28%, Sweden, Japan and New Zealand at 27% and Russia at 3%.

Additionally, the fact that so many people lack financial knowledge not only limits their ability to use their resources to the fullest but also contributes to macroeconomic problems and financial instability.  For example, people who do not understand inflation may do a poor job of budgeting to hedge against small shocks, much less against the massive economic turmoil generated by the recent pandemic.   As with the population health, prevention is often better and less costly than the cure.

How to Read More Critically

 High School Students need to teach themselves to read critically and luckily it is a skill that they can learn.  When you are reading critically you will find yourself thinking more often about the book or passage that you are reading.  You will sharpen your deductive reasoning skills.  You will tease out connections between different books and events in reading comprehension passages.

Next time you read them try this:

- Stop and ask yourself questions - What is the author trying to say?  What is the point of the passage or chapter? Could the author have used better examples to buttress her argument and what techniques is the author using to build her argument?

- What is the author point of view? What issues is the author focusing on? What questions do you have about what you are reading?

-Consider whether you agree or disagree with the author's point of view

-Think about what makes good writing and ask yourself how the author gets her readers to invest in the story while at the same time expressing their point of view.

Ways to Support All Learners at School or at Home

The following instructional strategies for supporting students were recommended by teachers surveyed by the authors of "The New Transition Handbook for Academic Instruction".

1) Encourage active learning.  Hands-on activities are often the best way to get all students engaged in learning.  Small-group and project-based assignments promote active and collaborative learning.

2) Give students choice whenever possible so they build a sense of ownership for their assignments.

3)  Boost participation to give all students lots of opportunities to respond in class and many different ways to participate.

4) Apply proven strategies and investigate what works by reading about the latest research-based strategies for inclusive classroom learning.

5) Rethink grading and consider alternative grading strategies that more meaningfully capture the progress students are making especially those with disabilities.

6) Teach students self-management by equipping them with the skills that they need to study on their own.

7)  Build in practice time.  This will give students lots of opportunities to practice new skill throughout the day and help them learn to master those skills more quickly.

8) Use the interest of your students as teaching tools.

9) Make modifications as needed along the way.

10) Teach skills that your students will really use.  

The Cycle of Poverty: What is it and Whom does it Affect?

Defining the Cycle of Poverty

The cycle starts when a child is born into a poor family with zero or limited financial resources to create opportunities for advancement.  It is typically defined by poor families who have been impoverished for at least three generations.  In the U.S., the 2021 poverty line was set at $12,880, or about $35.29 per day per individual.

In the US the official poverty rate was 11.4% of the total U.S. population.  Globally, 9.2% of people live in extreme poverty which is defined as surviving on $1.90 per day per person.

Four Types of Poverty

Cyclically Poor - People who are poor over long periods of time, resulting in consistently living below the poverty line even if their incomes fluctuate.

Usually Poor - People who are generally in poverty except in times of unanticipated income, such as a family member's finding a job or rain after a long drought.

Cyclically Poor - People whose periods of poverty are less severe but more consistent than the occasionally poor.  

Occasionally Poor - People who spend long stretches of time above the poverty line but can be left vulnerable by unexpected events, such as a fire or natural disaster.

The Cycle of Poverty and Socioeconomic Issues

Being trapped in the cycle of poverty commonly correlates with other socioeconomic challenges:

1) Reduced Quality of Education or none at all

2) Poor quality of Housing

3) Higher Crime Rates

4) Reduced Access to Healthcare

5) Fewer Sources of Healthy and Affordable Foods

Breaking the cycle requires strategies for improvement in these 5 areas.  Establishing food assistance and encouraging the building of grocery and health food stores in underserved areas.  Expanding existing food access programs such as SNAP and WIC can enhance food security.  Investing in family and child-focused poverty programs through educational co-ops to provide services and resources.  Helping families attain housing and homeownership through government programs.  This will help to provide stability in other areas such as education and academics.

Conceptualizing Domestic Violence in Relation to Children

 Domestic violence is manifested in various ways and has been conceptualized by some as taking direct and indirect forms.  Indirect abuse can result from inter-parental violence where children are not the direct subject of the abuse.  However, children feel the effects.  While often characterized as witnessing inter-parental violence and hearing it without necessarily seeing it, children definitely still feel its effects.

While often characterized as witnesses to inter-parental violence, which implies a passive role, children actively interpret, attempt to predict and assess their role in causing the violence.  Sometimes they completely internalize it and think that it is all their fault.

The terms direct and indirect abuse are potentially misleading because children are affected by indirect abuse and are not just passive witnesses.  They live with it and experience it directly just like adults do and therefore should be recognized as direct victim of violence and abuse.  This could improve the professional response to their needs and help them heal.

DOMESTIC VIOLENCE AND EDUCATION

 Schools are often the service in closest and longest contact with a child living with domestic violence.  Teachers play a vital role in helping families access welfare services.  Violence in children's lives often causes disruption to their schooling and harms the quality of their educational experiences and outcomes.

The abuse children experience can result in emotional trauma, physical and psychological barriers to learning and disruptive behavior in school, while the underlying causes of these problems remain hidden.  Knowing when and how to seek advice from multi-agency professionals is an essential part of effective practice among school staff.

Parent teacher conferences either scheduled or called for by the teacher is one way to approach the discussion.  Calling in the non-abusive parent and relying to them how their child behaves in school and outlining the learning insufficiencies.  Trying to get that parent to open up and the first step to helping both of them and maybe other children in the house.  Teachers can also try to have a conference with the abusive parent but they must tread lightly for fear of retribution to the child for a bad report from school.

How does Education Help Women and Children Break the Vicious Cycle of Poverty

What is the Vicious Cycle of Poverty

Unfortunately, it is a long and challenging cycle that can run for generations.  When a family lives in poverty, they usually have very limited or no access to resources or even knowledge as to how to break the cycle.  This means they have few opportunities to further themselves, leaving the entire family fastened to the poverty trap.

How does Education Help Break this Cycle?

1) Safety and Support

Women and children are vulnerable to instances of sexual abuse, domestic violence, drug abuse, injury and illness.  A strong community school creates a safe place for women and children to go during a crisis. Children are not left at home alone while parents work but are in school with adult supervision.  Schools are usually child safety conscious in design and can be used for other community activities.

2) Increased Future Employment Opportunities

The more skilled women and children are, the greater the opportunities available to them.  Having the ability to read, write, problem solve and have higher comprehensive skills will help future generations be lifted out of the poverty cycle.

3)  Creates a Culture of Education and Learning Within Families

Education is often overshadowed in poor households where day to day survival is the main focus.  Uneducated parents are far less likely to prioritize school attendance, encourage high school and break traditional gender roles so their daughters can learn.

When a child is successfully educated, they are more likely to pass on their knowledge to their own children in the future.  They are more likely to expose their children to more enhanced learning experiences from a younger age.   Education is likely to become a larger priority and expectation in their family culture.

TOP TEN REASONS WHY EDUCATION IS SO IMPORTANT

 According to Wiki, Education is the transmission of knowledge, skills and character traits strengthened through the acquisition of knowledge.  There are many different understandings for what education is, but the main reasons of why education is so important is universally agreed upon.  Here they are:

1) Provides Stability - Education is something that no one can ever take away from you.  Being well-educated increased your chances for better career opportunities.

2) Provides Financial Stability - A good education tends to lead to a higher paying job, as well as the skills needed to get you there.

3) Needed for Equality - In order for the world to be truly equal, it starts with education.   This would decrease the gaps between social classes.

4) Allows for Self-Dependency - It gives us the confidence and security to rely on yourself only.

5) Make Your Dreams Come True - If you dream it, you can do it, Education can get you there.

6) A Safer World - Education tends to teach people the difference between right and wrong and can help people stay out of risky situations.

7) Confidence - Being self-confident is part of being successful in life.  Education begets confidence.

8) A Part of Society - Having an education is believed to make you a useful part of society and can make you feel like a contributing member as well.

9) Economic Growth on a National Level - With a more educated population, more employment opportunities may be opened.

10) Can Protect You - Education can protect you, not only on a financial level, but also can help you from being taken advantage of by understanding what you may be asked to read and sign,

FINANCIAL LITERACY: WHAT COLLEGE STUDENTS NEEDS TO KNOW

College is expensive!!  College students need to be more informed than ever about the implications of paying for higher education.  Making financial decisions like budgeting, taking out loans, credit or investing can be daunting and downright scary, and many college students feel ill-equipped to do so.

Basic Financial Concepts Students should know

When transitioning from high school to college, students should learn to budget, track spending habits and understand loans and how credit works.  They need to understand the difference between a want and a need and that they can't spend what they don't have with the except of education.  That is where budgeting really comes into play because if you're sticking to your budget, then you are working with the cash you have,

Students who decide to use a credit card in college should be clear on what the interest rate is, what their credit score is and be sure to make payments on time.

Understand Student Loans

Not all student loans are bad but students need to be aware of the different types of loans, repayment obligations and interest rates.  Students and families need to plan early and have discussions around how they are going to pay for college before enrolling.  To qualify for federal loans and other sources of financial aid such as scholarships, grants and work-study, students must first fill out the Free Applicaiton for Student Aid (FAFSA).

Financial Resources for Students

While on campus, students should visit their school's financial wellness office or financial aid office.  Budgeting applications like Mint and banks have financial planning tools available online.

How Students Can Better Manage Their Time

 Many students have a lot of demands on their time and there are only so many hours in a day.  This means that the sooner a person can develop strategies for managing his or her times effectively and efficiently, the more successful that person can be.

Students needs to explore ways to improve their time management skills early in their academic careers.  Time management involves planning and that includes alotting time for specific tasks.  The following strategies can be useful for anyone looking to manage their time more effectively.

Establish a Daily Schedule

Staying the course may require a guideline detailing how you will spend your time.  A good part of the day may be taken up by classes and assignments but focusing on the other parts of the day also is key.  Set up a plan for how you will treat each day.  Block off specific times for exercise, meals, school, study and any other responsibilities you have.  

Figure out Where You are Losing Time

You need to know how you are currently spending your time before you can improve on time management strategies.  Spend a few days jotting down a time log.  This will help you determine if you are working efficiently and identify time drains.

Make Time for Breaks

Burnout can occur when you work yourself too hard.  That makes breaks an important part of time management.  Breaks allow for time to call loved ones, text a friend or engage in other activities unrelated to school.

Break Projects Down

Many students avoid projects they feel are huge tasks.  Breaking the large job into smaller ones can help students stay focused and reward progress.

Schedule Classes Wisely

Some students are night owls while other thrive in the morning.  Set up your schedule so you're in class when you are most productive; otherwise, you could lag and waste time.  

Time management is an important skill for students to develop.  It will help in school and in the workplace.

Facts About Hunger in America

 According to the USDA, more than 34 million people, including 9 million children, in the United States are food insecure.   Food Insecurity is a federal measure of a household's ability to provide enough food for every person in the household to have an active healthy life.  Food insecurity is one way we can measure hunger in America.

The pandemic has increased food insecurity among families with children and communities of color, who already faced hunger at much higher rates before the pandemic.  Every community is home to families who face hunger, but rural communities are hardest hit.

Many households that experience food insecurity do not qualify for federal nutrition programs and visit their local food banks and depend on other food programs for extra support.

Many people facing hunger are forced to make tough choices between buying food and paying medical bills, food and rent and/or food and transportation.  The struggle goes beyond harming an individual family's future.

According to the latest statistics by Feeding America, hunger in Native American, Latino and African American communities is higher because of racial injustice.  To achieve a hunger-free America, we must address the root causes of hunger and structural and systemic inequities.

10 WAYS TO MANAGE YOUR FINANCES DURING COVID

Albert Einstein had once said that “In the middle of difficulty, lies opportunity”. Most of the country is facing the difficulty of an enforced lockdown due to Covid-19. However, this also gives us the opportunity to determine ways to manage our finances better, which could be useful even after the end of this pandemic. Here are 10 easy ways:

1) A great model for your monthly budget is the 50/30/20 rule. 50% of your salary should go toward things that you need (E.g. Food, rent, education, EMIs etc.), 30% on things that you want (E.g. Restaurants, movies, non-food shopping, travel etc.) and 20% allocated to safe investments like debt/equity mutual funds that can be used as a corpus to be used for large expenses (E.g. Health issues, College fees, Weddings etc.). The curfew has greatly limited our ability to go out of the house to spend money on we want. This extended homestay will help you analyze what you really NEED vs what you want.

2) Have fun with your family in the kitchen learning to cook exotic new recipes and save.

3) Going out for a movie for a family of four gets quite expensive if you include the cost of multiplex tickets & overpriced theatre snacks. Many new movies are now being shown in OTT platforms; like Netflix, Amazon Prime & Hotstar; soon after their theatre release. Get the family to watch these films together with a bowl of homemade popcorn and other snacks. Post this lockdown, you can even invite your friends for a fun evening of movie watching.

4) Analyze the monthly/annual memberships you have for Gyms and social clubs (E.g. Lions, Rotary, Kitty parties etc.). See how often you actually go to them. If your attendance is less than 30% in a year, consider giving these memberships up. Also, have a look at the paid software you have on your laptop & phone. If you have not used them for more than 6 months, consider downgrading to the free versions or using the many other free alternatives available online.
5) If you own more than one car, consider selling the other one. You will be able to travel more conveniently in Ola/Uber in most cities. If you want to drive the car yourself, you can use a self-drive car rental service like Zoomcar to get around. Imagine how much you will save in car EMIs, maintenance, petrol and parking charges through this.
6) Use the time at home to clear out all the stuff you haven’t used in the last year. Please do not hoard things in the hope that you will use them “someday”. Sell these second-hand goods on platforms like Olx or Quikr. Better still, consider donating them to a local NGO.
7) Develop a frugal mindset in all thing and identify ways you can save money. Identify the credit cards/online payment services that give you the best cash backs or rewards and use them as a priority. Purchase non-branded clothes & accessories, which tend to be of similar quality to the expensive brands. Aside from a haircut, most beauty parlor regimes can be done by yourself at home. Raise your home air conditioner temperature to at least 24 degrees Celsius, your body will adapt to the moderate temperature. Change all lightbulbs to cost saving LED or CFL ones. Take all electronics like TVs, A/Cs, Laptops etc. out of standby mode, as this could raise your monthly electrical bills. Keep looking for more of these minor ways to save money. All the little savings will add up to a lot.
8) Aside from cost savings, there are many ways you can increase your monthly income by starting an online business or doing online jobs in the evenings or weekends outside your 9-5 office hours. There are many websites like Upwork & Fiverr that let you bid for projects right from content writing to larger consulting projects. There are many sites that let you provide online tutoring and give other online job opportunities. All of these don’t require any investment except your time.
9) Warren Buffet said that the best time to buy is when everyone is selling. The equity markets will be very volatile for the coming year. However, due to the overall environment of fear, most people are selling their stocks and valuations are at all time lows. If you have a pool of capital that you do not need for living expenses, you may want to purchase stocks of good quality firms periodically as the market dips. This could give you overwhelming returns on your capital over the long term.
10) Have some regard for the less fortunate who are not able to weather the storm as easily as you can. Try to purchase supplies from small shops and hawkers as they need your money more than the large grocery outlets. Also, do not haggle too much as each extra rupee will count. Donate money or time to NGOs who are providing relief efforts for those greatly affected by the Covid-19 lockdown, like the homeless or stray animals.
Remember, this tough period will go away at some point. Make the best of this short time to come out financially stronger and give you benefits that will last a lifetime.

WHY IS FINANCIAL LITERACY IMPORTANT?

Financial literacy is important because it focuses people on setting goals for their own success and provides an intentional way of saving money to realize future dreams.

It is never too late to start on your quest for financial literacy but in my opinion the best time is when children are young.  In this way, they start early and can enjoy a lifetime of making conscious decisions and goals.

TIPS FOR PARENTS TEACHING FINANCIAL LITERACY TO YOUNG CHILDREN

Here are some tips for parents on teaching their children financial literacy:

•Give your children a weekly allowance, and teach them to save what they have. Even the very young can be taught how to save through the act of putting money into a piggy bank. Encourage them to save regularly and watch how the savings grow. You can start by giving $1 each week to your children when they turn six years old. Increase the amount progressively each year.

•Educate your children on the difference between needs and wants. Allow them to compare items and organize these under the two categories. Advise them that they should always spend their money on needs first.

•Take your children along when you go grocery shopping. Teach them how to compare prices to purchase the items that give the best value. You can let them practice by allowing them to choose their own birthday gift. Encourage older children to do research on the products that they want to buy and compare them.

•Do not give your children the wrong impression that the family is poor by saying "we can't afford this". This may worry them. Instead, tell them that the family is able to afford something, but chooses not to buy it. This teaches them the importance of good decision-making when spending.

Even very young children can be taught how to save through the act of putting money into a piggy bank. Encourage them to save regularly and watch how the savings grow. You can start by giving $1 each week to your children when they turn six years old.

•Before they enter primary school, help them to make a budget to control their spending. Teach them to start by listing all the things that they need to buy and how much each item costs. Ideally, children should be taught to set aside some money for savings, before spending on budgeted items. The amount of savings to set aside should be factored into the budget.

•Use coupons and discount cards to show your children how much you save with these. This also teaches them the concept of saving.

                 

•Use cash to purchase items instead of credit and debit cards when you are with your children. Explain to them how credit and debit cards work and how they will have to pay more if payment to the credit and debit card companies is not made on time. This also teaches them the concept

of interest.

•Take your children to the bank and expose them to the concepts of saving and interest. Educate them that placing their money in a savings account will protect it and even earn interest.

•Show how savings can lead to bigger benefits for them, for example, a new toy or an outing. Start with more achievable goals for younger children. For older children, you may want to set a higher amount for a longer period of time before they can use their savings, to teach them patience and delayed gratification.  You may also like to show them how small expenses can add up and how the money may have been better saved for something more useful or desirable.

•Give your children the opportunity to "earn" money. For instance, you can pay them allowances upon completion of chores. This will allow them to see the relationship between working and getting paid.

FINANCIAL LITERACY FOR COLLEGE STUDENTS

Financial Literacy 101

College is a time of change and growth. This means taking on new responsibilities and greater independence. Financial management and personal responsibility for finances are two areas that pose a challenge for many students. Prior to starting classes, you likely never had to worry about managing a budget, paying your own bills, applying for financial aid or student loans, or balancing a checkbook. These topics may seem confusing or be a source of stress or feelings of anxiety, but they do not have to be. This is where the Academic Resource Center (ARC) comes in. We are here to provide tips and assistance that will help you become financially literate.
Being financially literate means having the ability to understand and apply financial management skills. The tips and information provided here should help start your journey towards making informed and effective decisions in the management of your finances.
Here are five areas of financial literacy and money management that are important for college students.

The True Cost of College

There is more to paying for college than just tuition. It is important to look beyond the bottom line and at a breakdown of all costs, including fees, room and board, and meal plans, to see what you’re really being asked to pay. There are also hidden expenses that won’t show up on your school bill but still factor into paying for being a student. These hidden expenses could include things like rent (if you live off-campus), food, transportation, textbooks, health insurance or medical expenses, technology needs (e.g. laptop), furnishing a dorm room or apartment, entertainment, and more. Be sure to do your homework and really think about what it will cost to be a student and how you will pay for it.
Scholarships, grants, and income from on- or off-campus employment may not be enough to cover the true cost of attending college. Student loans are an additional option that many students choose to cover their expenses. However, these should not be used without first being informed about them.
Investigate your loan options carefully by considering the following:

• Total cost of the loan after all of the interest and fees are taken into account
• APR or annual percentage rate, including whether your rate is fixed or variable
• Borrower rewards, such as cash back or interest rate reductions for making on-time payments
• Estimated monthly payment
• Deferment options

If you choose to take out student loans, here are some tips and important information for you to consider.
You should fill out the Free Application for Federal Student Aid (FAFSA) every year. You need to submit this to be considered for all types of financial aid, including loans. If you are offered student loans, always use federal loans first. Federal loans include Perkins, Direct, and PLUS loans. Federal loan benefits include:

• Lower, fixed interest rates
• Not based on credit scores but financial need
• Subsidized options offered (no interest accrued while in school)
• Loan forgiveness programs for public service workers
• More flexible repayment options, with some tied to income

If you have to use private loans, consider all the costs, including origination fees, compounding interest, and higher interest rates that may be variable (meaning they could fluctuate over time).

• Remember that many private loans are credit-based and/or require a co-signer
• Private loans may not have repayment terms that work well for you

Financial Aid

Financial aid helps students and families pay for college. This type of financial assistance can cover educational expenses such as tuition and fees, room and board, books and supplies, and transportation.There are several types of financial aid, including grants, scholarships, work study, and loans. Financial aid packages may be a combination of these types of aid.

Scholarships

These are considered “gift” aid and therefore do not need to be repaid. Scholarships can be based on a variety of factors, including academic achievement, leadership, field of study, financial need, and/or a range of personal characteristics such as where you are from, your religion, what high school you attended, whether you are a first generation college student, and more. Scholarships can come from a variety of sources, including Concordia as well as external funding sources.

Grants

These are considered “gift” aid and therefore do not need to be repaid. These funds are awarded based on financial need. An example of a grant program is the Federal Pell Grant program.

Work Study

Work study is a federal program that provides the option of part-time, on-campus employment for students who are enrolled at least part-time. Students are allowed to work a maximum of 20 hours per week on campus during the academic year, and 40 hours per week during breaks or the summer. Federal work study funds that show up on your financial aid award are not funds you are given – they are the maximum amount of money you can earn through work study employment. If earned, these funds do not need to be repaid.

Loans

As mentioned before, student loans are one option for covering the cost of college attendance. Loans are funds that are borrowed and must be repaid once you stop attending school or drop below half-time enrollment. There are many different types of student loans, but they fall into two main categories: federal and private.
Here is a breakdown of the types of loans you may be awarded through your financial aid:

• Direct Subsidized Loans: a federal loan for which the government pays interest while you are in school
• Direct Unsubsidized Loans: a federal loan for which interest accrues while you are in school but may be deferred until repayment
• Direct PLUS loans: federal loans for graduate students and parents of undergraduate students
• Private loans: loans from banks or other non-government sources

The amount of money you can borrow through loans varies based on your level of enrollment (e.g. freshman, sophomore, junior, senior, graduate student), cost of attendance, and financial need. The total amount is called your “borrowing limit.” The dollar amounts of these borrowing limits can be explained by the CUAA Financial Aid office.

Financial Aid Process

Each year, you should follow the following steps to ensure you are offered all of the financial aid you are eligible for.

1. Gather your personal and financial documents for the FAFSA, including tax information. This may mean asking your parents for these documents after they have filed their taxes each year.
2. Submit your FAFSA application by the priority deadline (March 1) by visiting FAFSA.gov. Remember, this must be done EVERY year you are enrolled in school.
3. Review your CUAA financial aid package in the Portal or by speaking with the Financial Aid Office.
4. Apply for scholarships. You can view internal and external scholarship opportunities in the Portal. Be sure to apply for the CUAA Adopt-A-Student scholarship in the Portal – it only takes 5 minutes to apply and you could be selected to receive stackable scholarship funds – this means that any funds awarded would be on top of all other aid. There are also many online lists of potential scholarship opportunities for students that you should check out, including the Community Foundation for Southeast Michigan.
5. Apply for on-campus jobs if your financial aid package includes work study. You must work an eligible work study jobs to earn that portion of your aid. Log into Handshake, Concordia University’s online career engagement platform, to view on-campus employment opportunities. You can also stop by the Career Engagement Studio in the Student Services Building if you have questions about job opportunities or using Handshake.

Budgeting

Borrowing too much money, racking up credit card bills, running out of money for food or utilities…these are problems we want to help you prevent. One way to do that is by keeping a monthly budget of what you earn and what you spend. This will ensure you know where your money is going and what you have left to spend. Here are five tips to get you started.

1. Figure out all of your income sources and break those down month-to-month
2. Figure out all of your bills and think about them in terms of monthly expenses, not just by the semester
3. Allocate funds for what you absolutely need first – think of what the essentials in your life are and plan to pay for those before anything else
4. Set realistic spending goals for each month – be sure to leave room for fun in your planning
5. Track your spending to ensure you stay on track – this might mean daily, weekly, and/or monthly tracking

There’s an App for That

Technology is a wonderful tool and one that can help you with your budgeting and money management. Take advantage of budgeting apps to manage and save your money and help you stay on track. Here are a few that are worth checking out: Mint, Level, You Need a Budget (YNAB), BUDGT, Daily Budget, and Spendio.

10 WAYS TO CONTINUALLY IMPROVE YOUR FINANCIAL LITERACY

10 Ways to Continually Improve Your Financial Literacy

1. Involve your significant other and children. If only one person handles the finances in your household, consider engaging everyone in some manner. You may uncover differences in opinion that need to be resolved, but the effort may define and solidify your financial goals. It may also help your children learn the value of a dollar – a lesson that is often lost as our society becomes increasingly cashless.
2. Secure your financial identity. Whether you were issued a new credit card for preventative measures or you had to spend countless hours on the phone disputing charges, identity theft is now commonplace. Ensure that your accounts remain secure by carefully tracking your transactions and changing your login information periodically. You may even want to sign up for third-party fraud monitoring for greater peace of mind.
3. Consume information regularly. Books, newspapers, blogs, podcasts, and webinars can all contain useful information. Just remember that you are consuming someone’s particular point of view, so you should gather lots of information before you make your own judgments. For more in-depth instruction, you can seek out a financial class at a local college, church, or financial institution.
4. Learn about your credit score. This one little number can impact your financial situation dramatically, especially when it comes time to secure a loan or purchase your “forever” home. The credit scoring process is complicated, so the sooner you understand the ins and outs of your score, the better.
5. Record your spending. Take a moment to track your spending over a set amount of time. It may be surprising how much you spend on a particular category – like dining out – over the course of a month. Once you understand your habits, it is much easier to alter them and guide your money in a different direction.
6. Develop a savings strategy. Once you record your spending, you can create a realistic budget that includes saving money for an emergency fund, a certain goal, or retirement. Even if you don’t budget, it is important to implement a savings strategy. By “paying yourself” and keeping the money out of sight (and out of mind), you can accumulate a solid base for your financial future.
7. Incorporate a financial management tool. There is a wide variety of both free and paid tools in the marketplace that can help you manage your credit cards, checking accounts, savings accounts, and more. While some look like fancy check registers, others have robust budgeting, forecasting, and bill-pay capabilities. Find one that works for you and your unique needs.
8. Consider how to make your money work for you. While this may seem like a tip for soon-to-be retirees or people with substantial savings, the truth is that your money can begin working for you at any age. Research the benefits of compounding interest or different strategies for creating passive income. The earlier you think about “outside” revenue streams, the more wealth you can potentially accrue.
9. Think long-term. It’s a good idea to consider your legacy- and retirement-planning options even if you are years away from utilizing them. Tie up loose ends – such as designating beneficiaries, establishing a trust, or writing a will – now instead of later. Your plans may change as the years go by, but it is good to have your affairs in order and an end goal in mind to inspire future success.
10. Ask around. Great advice can come from unlikely sources. Your friends, family, and coworkers may be willing to share their stories – especially if their stories are successful ones. You may even be able to find a financial mentor amongst your inner circle who can offer some guidance for free; keep in mind, though, that every experience is unique and your results may not be the same as theirs.

 
A Lifelong Pursuit
Becoming money smart doesn’t happen overnight. Think of financial literacy as a lifelong pursuit that will evolve over time – sometimes rewarding you, and sometimes not.
And remember: It’s never too early or too late to begin your journey! The sooner you start, the better – but that doesn’t mean that you’ve run out of time to make a difference to your bottom line.

PAYCHECK PROTECTION PROGRAM HAS REOPENED


The Paycheck Protection Program resumed accepting applications July 6, 2020 at 9:00 AM in response to the President's signing the program's extension legislation.

The new deadline  for application for a Paycheck Protection Program. (PPP) loan is August 8, 2020.

The PPP is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll.

The Small Business Administration will forgive loans if all employee retention criteria are met and the funds are used for eligible expenses (75% wages and 25% overhead).

ANOTHER ROUND OF STIMULUS PAYMENTS EXPECTED

President Trump and Congress to vote on this in July for Individuals and in mid July for further Payroll Protection Program incentives. n.


Fingers crossed.  So many individuals and small business need the help!!

THIRD TRAUNCH OF STIMULUS BILL EXPECTED

CONGRESS TO REVIEW THE THIRD STIMULUS PLAN FOR SMALL AND MEDIUM SIZED BUSINESSES IN MID-JULY.  THIS AMOUNT IS EXPECTED TO BE ABOUT $1.5 Trillion.


Many qualified small/mid sized business did not receive stimulus money.  This is another chance for them and hopefully, they will receive some financial stimulus soon.

TIPS FOR RAISING MONEY-WISE KIDS

Kids are never too young to learn the skills of saving, budgeting and other basics for
becoming a money-wise person.

T. Rowe Price's 2014 Parents, Kids & Money survey found that 60% of kids whose
parents frequently talked to them about budgeting feel they are smart about money,
as opposed to jsut 34% of kides whose parents do not.

There is a clear corrleation between talking with kids about financial topics and their
habits.  Parents can invest in their kids by talking to them weekly about money matters.

The survey also found that parent s are having more financial conversations with boys
rather than with girls.  Boys and girls should have the same opportunities to learn about
money matters at home so they can grow into financially savvy adults.  By talking to
kids of either gender about things like saving for college, parents can help kids get
involved and excited about their future.

TIPS FOR STARTING MONEY CONVERSATIONS WITH YOUR KIDS

1)  Learn to engage in frequent money conversations with your kids.  Sit down to
     discuss in a casual dialog for maximum effectiveness.  Take trips to the bank or
     the grocery store or other real world situations where you can teach you kids
     about spending, savings and money concepts.  Be thorough and specific. Stress
     the concept of saving for something in the future.

2)  When discussing weekend plans:  Ask your kids how much will the activities cost.
     Ask them to put together a monthly table of the spending habit along with their
     cashflow from all sources.

3)  When talking to your kids about their future:   Ask your child what they wish to
     be when they grow up.  This is a great opportunity to talk about what kind of
     college degree may be required for the profession, how much getting the degree
     can cost and the need to save for it in advance. 

4)  When talking about extra activities like soccer, dance, karate, piano lessons and
      others, talk with your kids about the cost of each. Help them understand that all
      of these actiivities add up to a lot of money so they can help you save by only
      doing the ones that they really enjoy.


Using these simple tips to help integrate mney conversations into your daily lives
and your kids will thank you for it later.

PROTECT YOURSELF AND PREVENT IDENTITY THEFT

Taking steps now to prevent identity theft is a lot easier and less time-consuming than
recovery.  to reduce the chances of becoming a victim of identity theft, take the following
measures:

1) Review your credit report annually

2) Guard your personal information

3) Check your statements

4) Minimize and protect your mail

5)  Protect your computer and your signature

PAPER NOT PLASTIC - MANY MILLENNIALS JUST SAY NO TO CREDIT CARDS

A whopping 63% of millennials - those between 18 and 29 - don't own a credit card,
according to a recent survey commissioned by Bankrate.  Another 23% have only
one card while only 6% have two.

The aversion to becoming overleveraged is especially acut for New York City young
people who face stratospheric prices for housing, high-than-average health care bills,
and numerous temptations (theater, fashion, nightlife, restaurants), which make it
extremely easy to tumble into the red. And debt, they have learned, is a quagmire
they prefer to avoid.

Millennials are both the best-educated generation in American history and one of the
poorest.  A 2011 Pew Research Center study concluded that households deaded by
adults younger than 35 has 68% less wealth then households headed by their
counterparts of the same age in 1984.

Statewide, the average debt of college graduates is $25,536, accoding to the Project
on Student Debt. 

With few prospects for future windfalls, millennials have learned from the mistakes of
the past and are actively questioning their own identities as consumer and global citizens.

Many have watched as their parents were/are burdened with debt and high interest
payments and have watched their parents get gulled into spending too freely.  Some
have learned very valuable lessons through their parents exposures and troubles.

However, the Bankrate survey also discovered that millennials who do have credit
cards aren't so great at paying their bille.  Only 40% managed to pay off their balances
in full each month, as opposed to 53% of audits age 30 and older.

These findings are distrubing because obtaining and using credit cards responsibly
is an imporatant path to established a good credit history.

To build good credit young people should obtain at least one "secured" credit card.
This usually works similarly to a debit card.  It is naive to think that you don't need
a credit card.  It is a good life skill to be able to manage credit and start building a
credit history. Prompt and timely payment on student loans are another critical way
to maintain a good credit rating.

MOST TEEN CAN'T MANAGE MONEY

American high schoolers have a hard time answering basic questions about bank
accounts, saving money and credit cards.

The TEST - Students were asked to do things like interpret a sample invoice,
read a bank statement and - in one of the more difficult questions - explain
the benefits of paying off a high-interest loan with money from another lender.

According to a new study by the Organization for Economic Cooperation and
Development which compared the financial literacy of 15 years olds in 18
countries.  Only one in 10 high schoolers was considered someone who can
look ahead to solve financial problems or make the kinds of financial decisions
that will be relevant to them in the future.  That is in sharp contrract to Chinese
students who ranked at the top of the list.

The gap between Chinese and American students is stark. Students in Shanghai
province received a mean score of 602 on the exam, a startling 100 points higher
than the mean score for the rest of the countires studied.  As for American teens,
their mean score was 492.

MANY HAVE NOT SAVED FOR RETIREMENT

More than a third of American adults have no retirement savings, including 14%
of those 65 or older, according to a new study released yesterday.

The low savings rate for people at or approaching retirement age is alarming said
Greg McBride, chief financial analyst for Barnkrate.com, which conducted the
survey.

About a quarter - 26%- of those age 50 to 64 haven't started saving for retirement,
the survey said the figure was 33% of people who are 30 to 49 years old.

They still have time to start but they still have to save so much as a percentage of
their income to make up for the years they weren't saving that it puts them in a tough
spot.  Overall, 36% of those 18 years or older have not started saving for retirement.

Surveys show that younger people are starting to save earlier than in past generations.

Twice as many adults who are 30 to 49 years old started saving when they were in
their 20s instead of waiting until their 20s.  Those 65 or older were just as likely to
have waited until they were in their 40s to start saving as to have started in their 20s.

Greater awareness of the financial problems of social security is a main reason.
Automatic enrollment in 401(k) plans also have helped people to start saving earlier.

Still 69% of those 18 to 29 years old have not retirement savings.  Adults who haven't
begun saving should start now, even if it involves putting away just a small amount
of money each week.

APPLYING GAME THEORY TO SUCCESS ON THE SATs

Classical game theory consists of incorporating tactics to outwit the test makers.
Here is how it correlates to the SATs:


1)  BE CONSCIOUS OF ALL YOUR CHOICES - Game Theory is about choices.
     A lot of peoplepsych themselves out when it cames to the SATs.  But a game is
     like a test in that it is being created by an institution that has a goal to achieve.

2)  IT'S ABOUT REPETITION - The big message is that the SATs do not test how
     smart you are, it tests how good you are at taking a test.  For this test is is most
     important that you get really good at taking this test.

3)  REMEMBER THE WRITING SECTION IS SIMPLER THAN YOU THINK
      There is no need to be intimidated by this section.  You do not need to write
      a perfect essay, you do need to write an essay that will score well.

HOW TO CUSTOMIZE YOUR RESUME

You need to customize your resume to fit each individual job application.  Start
with a core resume that you will keep saved on your computer.  However, before
you send it, tailor it using these three tips:

1)  READ THE JOB POSTING THOROUGHLY - This will help  you tailor your
      resume for that specfic postion and impress the hiring manager.  They need
      to know that you understand the job requirements and what will be expected
      of you.  The only way the hiring manager will know this is if you include the
      information on your resume.


2)  LIST YOUR RELEVANT EXPERIENCES - While reading the job description
      stop when you see an accomplishment, experience or skill that you have that
      is in the job description and requirements.  These need to go into your resume
      for the position that you are applying for.  Remember experiences and skills
      don't just come from jobus you have had, they also come from volunteer
      work, relevant hobbies and other experiences.

3)  MATCH YOUR INFORMATION TO THE JOB DESCRIPTION -  Now you
     need to customize your resume to include these relevant accomplishments,
     experiences nd skills.  Most recruiters and hiring managers have software that
     your resume will go through to detect keywords and phrases that match the
     job description and requirements.  Without these, the hirting manager may not
     notice your application.  By customizing your resume, you can show the hiring
     manager that you are serious about the opportunity and that you are the best
     candidate for the job.

TIPS FOR CLIMBING THE CORPORATE LADDER

There are certain pieces of advice that almost every young entry-level worker gets
used to hearing: Look professional at all times; speak confidently, be authoriative.
What is less clear is how a young worker can actually develop these skills.  How
do you develop an executive presence complete with gravitas.

Here are a few tips:

1)   COMMUNICATION IS CRITICAL - learn how to be concise while contributing
       something that is fresh and new.

2)   WATCH YOUR TONE - Your voice can give away a lack of experience or
        indicate anxiety.  Clarity and pitch of your voice is important.  Cut down on
        "up talk" where speaker raise their voice at the end of a sentence.

3)   PRACTICE, PRACTICE, PRACTICE - Nothing beats repetition when it comes
       to speaking.  Practice how you can boil down your thoughts concisely.

4)   BE PRESENT -  Leave your smartphone behind when attending meetings to
       apeear focused and to be available.

STUDENT LOAN DEBT - AN AGING POPULATION

Lingering student loan debt wic in recent years is a drag on economic recovery
as borrowers delay big ticket buys like residences and cars - is affecting
millions of people as retirement looms.

Some 16%+ of nearly $1.2 trillion in outstanding student loan debt is kept
by people over 50!!!!!

It is one of the nation's largest economic issues of our time and it is not just
a young person issue!!!  Many borrowers have taken out loans later in their
lives and often for retraining to stay afloat in a changing ecomony.  Some
wind up on the hook when they co-signed loans for their kids and grandkids,

The root of the pheonomenon lies in the esclating costs of college juxtaposed
with a stalled economy.  The dramatic increase in debt implies that a
fundamental change has taken place in te way we finance higher education
in the U.S.

Nearly 7 million borrowers are in default wit a total of more than $100 Billion
owed!!!!