personal finance

[Nicole]

TG-

Your post was great. You are right, I want to spend as much time with my son as possible and hope to have another child someday. I worked my tail off until just days before I delivered my son so that I could save some extra money and extend my maternity leave.

I completely agree that there is value in teaching your children what it is like to live without. My father’s approach to sending us to college was very similar to your experience, I even remember donating plasma every 2 weeks for a few months 🙂 My father raised us to believe we were poor which was hilarious because we lived in a fairly affluent community in the mid-west. I remember thinking, man, how do we live here even though we’re so poor??? It wasn’t until I was in my mid-20’s that I realized my father was just stashing away the money to pay the tuition for 5 kids (we’d pay our own living expenses and books- that was the deal).

So in response to some other posts, we’ll definitely be working on our discipline and try to redefine ourselves as savers instead of spender. We’ll look into refinancing when possible 6.25% on 650K is huge, I realize that.

I’ll completely ditch the idea of a FP and just come here for the wisdom of the piggs! Thanks for diversity of opinions and perspectives.

[PatentGuy]

Seriously. Regarding colleges costs.

I’m not a regular poster on this blog, although I have been a regular visitor and thread-reader for the last few years. Good stuff and (usually) entertaining.

You “Piggs” of all people should be all over this. Private college costs have been just as much a bubble of housing, and for exactly the same reason: easy credit. With the easy credit (e.g., HELOCs) gone, people (read “parents”) no longer have as much access to the money to pay whatever ridiculous amount the colleges want. Actual supply and demand kicks in based on people’s incomes. whole new ballgame.

Colleges will scream bloody murder to the federal government to prop up high prices by giving out money or guaranteeing higher loans, or whatever it takes. They will threaten, cajole, etc., but the fed can only do so much price support without printing too much money.

Separately, the number of kids going to college for the last few years has also been a “bubble,” and (as I understand it) is starting a steady decline for the next decade as the population (excepting poor immigrants) ages.

Between the decrease in easy money (most important factor), and the decrease in number of kids, private colleges will have to drop prices to compete, or they will go out of business. Just like houses in Las Vegas, there are too many small private colleges. Something’s got to give.

Public colleges are another story, especially in broke states like California. They will go up in price, since the federal, state and local government employees who are bleeding us dry will not sacrifice their sweet compensation deals for continued subsidized college education.

Having said this, we have a son attending SF State, and despite the steep increases (percentage wise) over the last few years, the tuition is still way too law, resulting in there being a serious shortage of classes. Politics dictate that the state colleges and universities can only raise tuition so much a year, and the system has been so heavily subsidized for such a long time that when California suddenly says “sorry, we’re broke,” cutting classes is all they can do. It’s not like the administrators will fire themselves or take a haircut in pay and benefits.

Saving a lot of money for college just means the colleges will have that much more to take from you.

So, don’t worry. be happy.

[PatentGuy]

Seriously. Regarding colleges costs.

I’m not a regular poster on this blog, although I have been a regular visitor and thread-reader for the last few years. Good stuff and (usually) entertaining.

You “Piggs” of all people should be all over this. Private college costs have been just as much a bubble of housing, and for exactly the same reason: easy credit. With the easy credit (e.g., HELOCs) gone, people (read “parents”) no longer have as much access to the money to pay whatever ridiculous amount the colleges want. Actual supply and demand kicks in based on people’s incomes. whole new ballgame.

Colleges will scream bloody murder to the federal government to prop up high prices by giving out money or guaranteeing higher loans, or whatever it takes. They will threaten, cajole, etc., but the fed can only do so much price support without printing too much money.

Separately, the number of kids going to college for the last few years has also been a “bubble,” and (as I understand it) is starting a steady decline for the next decade as the population (excepting poor immigrants) ages.

Between the decrease in easy money (most important factor), and the decrease in number of kids, private colleges will have to drop prices to compete, or they will go out of business. Just like houses in Las Vegas, there are too many small private colleges. Something’s got to give.

Public colleges are another story, especially in broke states like California. They will go up in price, since the federal, state and local government employees who are bleeding us dry will not sacrifice their sweet compensation deals for continued subsidized college education.

Having said this, we have a son attending SF State, and despite the steep increases (percentage wise) over the last few years, the tuition is still way too law, resulting in there being a serious shortage of classes. Politics dictate that the state colleges and universities can only raise tuition so much a year, and the system has been so heavily subsidized for such a long time that when California suddenly says “sorry, we’re broke,” cutting classes is all they can do. It’s not like the administrators will fire themselves or take a haircut in pay and benefits.

Saving a lot of money for college just means the colleges will have that much more to take from you.

So, don’t worry. be happy.

[PatentGuy]

Seriously. Regarding colleges costs.

I’m not a regular poster on this blog, although I have been a regular visitor and thread-reader for the last few years. Good stuff and (usually) entertaining.

You “Piggs” of all people should be all over this. Private college costs have been just as much a bubble of housing, and for exactly the same reason: easy credit. With the easy credit (e.g., HELOCs) gone, people (read “parents”) no longer have as much access to the money to pay whatever ridiculous amount the colleges want. Actual supply and demand kicks in based on people’s incomes. whole new ballgame.

Colleges will scream bloody murder to the federal government to prop up high prices by giving out money or guaranteeing higher loans, or whatever it takes. They will threaten, cajole, etc., but the fed can only do so much price support without printing too much money.

Separately, the number of kids going to college for the last few years has also been a “bubble,” and (as I understand it) is starting a steady decline for the next decade as the population (excepting poor immigrants) ages.

Between the decrease in easy money (most important factor), and the decrease in number of kids, private colleges will have to drop prices to compete, or they will go out of business. Just like houses in Las Vegas, there are too many small private colleges. Something’s got to give.

Public colleges are another story, especially in broke states like California. They will go up in price, since the federal, state and local government employees who are bleeding us dry will not sacrifice their sweet compensation deals for continued subsidized college education.

Having said this, we have a son attending SF State, and despite the steep increases (percentage wise) over the last few years, the tuition is still way too law, resulting in there being a serious shortage of classes. Politics dictate that the state colleges and universities can only raise tuition so much a year, and the system has been so heavily subsidized for such a long time that when California suddenly says “sorry, we’re broke,” cutting classes is all they can do. It’s not like the administrators will fire themselves or take a haircut in pay and benefits.

Saving a lot of money for college just means the colleges will have that much more to take from you.

So, don’t worry. be happy.

[PatentGuy]

Seriously. Regarding colleges costs.

I’m not a regular poster on this blog, although I have been a regular visitor and thread-reader for the last few years. Good stuff and (usually) entertaining.

You “Piggs” of all people should be all over this. Private college costs have been just as much a bubble of housing, and for exactly the same reason: easy credit. With the easy credit (e.g., HELOCs) gone, people (read “parents”) no longer have as much access to the money to pay whatever ridiculous amount the colleges want. Actual supply and demand kicks in based on people’s incomes. whole new ballgame.

Colleges will scream bloody murder to the federal government to prop up high prices by giving out money or guaranteeing higher loans, or whatever it takes. They will threaten, cajole, etc., but the fed can only do so much price support without printing too much money.

Separately, the number of kids going to college for the last few years has also been a “bubble,” and (as I understand it) is starting a steady decline for the next decade as the population (excepting poor immigrants) ages.

Between the decrease in easy money (most important factor), and the decrease in number of kids, private colleges will have to drop prices to compete, or they will go out of business. Just like houses in Las Vegas, there are too many small private colleges. Something’s got to give.

Public colleges are another story, especially in broke states like California. They will go up in price, since the federal, state and local government employees who are bleeding us dry will not sacrifice their sweet compensation deals for continued subsidized college education.

Having said this, we have a son attending SF State, and despite the steep increases (percentage wise) over the last few years, the tuition is still way too law, resulting in there being a serious shortage of classes. Politics dictate that the state colleges and universities can only raise tuition so much a year, and the system has been so heavily subsidized for such a long time that when California suddenly says “sorry, we’re broke,” cutting classes is all they can do. It’s not like the administrators will fire themselves or take a haircut in pay and benefits.

Saving a lot of money for college just means the colleges will have that much more to take from you.

So, don’t worry. be happy.

[PatentGuy]

Seriously. Regarding colleges costs.

I’m not a regular poster on this blog, although I have been a regular visitor and thread-reader for the last few years. Good stuff and (usually) entertaining.

You “Piggs” of all people should be all over this. Private college costs have been just as much a bubble of housing, and for exactly the same reason: easy credit. With the easy credit (e.g., HELOCs) gone, people (read “parents”) no longer have as much access to the money to pay whatever ridiculous amount the colleges want. Actual supply and demand kicks in based on people’s incomes. whole new ballgame.

Colleges will scream bloody murder to the federal government to prop up high prices by giving out money or guaranteeing higher loans, or whatever it takes. They will threaten, cajole, etc., but the fed can only do so much price support without printing too much money.

Separately, the number of kids going to college for the last few years has also been a “bubble,” and (as I understand it) is starting a steady decline for the next decade as the population (excepting poor immigrants) ages.

Between the decrease in easy money (most important factor), and the decrease in number of kids, private colleges will have to drop prices to compete, or they will go out of business. Just like houses in Las Vegas, there are too many small private colleges. Something’s got to give.

Public colleges are another story, especially in broke states like California. They will go up in price, since the federal, state and local government employees who are bleeding us dry will not sacrifice their sweet compensation deals for continued subsidized college education.

Having said this, we have a son attending SF State, and despite the steep increases (percentage wise) over the last few years, the tuition is still way too law, resulting in there being a serious shortage of classes. Politics dictate that the state colleges and universities can only raise tuition so much a year, and the system has been so heavily subsidized for such a long time that when California suddenly says “sorry, we’re broke,” cutting classes is all they can do. It’s not like the administrators will fire themselves or take a haircut in pay and benefits.

Saving a lot of money for college just means the colleges will have that much more to take from you.

So, don’t worry. be happy.

[Raybyrnes]

Education costs did not go up because of loose Home equity. It actually started long before that with Congress Stepping into the Fray with the Higher Education Act. This basically set in place the securitization of Student Loan by the Quasi govenmental Sallie Mae.(Sallie Mae later went public). This is what drove interest rates dow and college costs up.

With respect to the cost of Education. I don’t think the cost of education is overly exaggerated. I would advise any parent that whatever the cost of Tuition is to essentially double it. Once doubling you can start to back out costs form there/ Lap tops are now a necessity. If they already have one minus it out. If they have a Queen bed and live in a dorm they are going to need sheets bed spreads etc. They may need to have a phone in the room. They will split these costs with other roommates but it is surprising how these incidentals add up at least in year one. By year 2 costs should go down. They know people so it is easy to get text books. They know people so it is easier to get a better on campus job etc.

[Raybyrnes]

Education costs did not go up because of loose Home equity. It actually started long before that with Congress Stepping into the Fray with the Higher Education Act. This basically set in place the securitization of Student Loan by the Quasi govenmental Sallie Mae.(Sallie Mae later went public). This is what drove interest rates dow and college costs up.

With respect to the cost of Education. I don’t think the cost of education is overly exaggerated. I would advise any parent that whatever the cost of Tuition is to essentially double it. Once doubling you can start to back out costs form there/ Lap tops are now a necessity. If they already have one minus it out. If they have a Queen bed and live in a dorm they are going to need sheets bed spreads etc. They may need to have a phone in the room. They will split these costs with other roommates but it is surprising how these incidentals add up at least in year one. By year 2 costs should go down. They know people so it is easy to get text books. They know people so it is easier to get a better on campus job etc.

[Raybyrnes]

Education costs did not go up because of loose Home equity. It actually started long before that with Congress Stepping into the Fray with the Higher Education Act. This basically set in place the securitization of Student Loan by the Quasi govenmental Sallie Mae.(Sallie Mae later went public). This is what drove interest rates dow and college costs up.

With respect to the cost of Education. I don’t think the cost of education is overly exaggerated. I would advise any parent that whatever the cost of Tuition is to essentially double it. Once doubling you can start to back out costs form there/ Lap tops are now a necessity. If they already have one minus it out. If they have a Queen bed and live in a dorm they are going to need sheets bed spreads etc. They may need to have a phone in the room. They will split these costs with other roommates but it is surprising how these incidentals add up at least in year one. By year 2 costs should go down. They know people so it is easy to get text books. They know people so it is easier to get a better on campus job etc.

[Raybyrnes]

Education costs did not go up because of loose Home equity. It actually started long before that with Congress Stepping into the Fray with the Higher Education Act. This basically set in place the securitization of Student Loan by the Quasi govenmental Sallie Mae.(Sallie Mae later went public). This is what drove interest rates dow and college costs up.

With respect to the cost of Education. I don’t think the cost of education is overly exaggerated. I would advise any parent that whatever the cost of Tuition is to essentially double it. Once doubling you can start to back out costs form there/ Lap tops are now a necessity. If they already have one minus it out. If they have a Queen bed and live in a dorm they are going to need sheets bed spreads etc. They may need to have a phone in the room. They will split these costs with other roommates but it is surprising how these incidentals add up at least in year one. By year 2 costs should go down. They know people so it is easy to get text books. They know people so it is easier to get a better on campus job etc.

[Raybyrnes]

Education costs did not go up because of loose Home equity. It actually started long before that with Congress Stepping into the Fray with the Higher Education Act. This basically set in place the securitization of Student Loan by the Quasi govenmental Sallie Mae.(Sallie Mae later went public). This is what drove interest rates dow and college costs up.

With respect to the cost of Education. I don’t think the cost of education is overly exaggerated. I would advise any parent that whatever the cost of Tuition is to essentially double it. Once doubling you can start to back out costs form there/ Lap tops are now a necessity. If they already have one minus it out. If they have a Queen bed and live in a dorm they are going to need sheets bed spreads etc. They may need to have a phone in the room. They will split these costs with other roommates but it is surprising how these incidentals add up at least in year one. By year 2 costs should go down. They know people so it is easy to get text books. They know people so it is easier to get a better on campus job etc.

[sdduuuude]

I was thinking that maybe one thing a personal finance manager could tell you is – how much do people with your income level and housing payment typically save every year. I’d be interested to know if I’m doing well or not. Maybe you are doing all you can, doing better than the average and just don’t appreciate it.

[sdduuuude]

I was thinking that maybe one thing a personal finance manager could tell you is – how much do people with your income level and housing payment typically save every year. I’d be interested to know if I’m doing well or not. Maybe you are doing all you can, doing better than the average and just don’t appreciate it.

[sdduuuude]

I was thinking that maybe one thing a personal finance manager could tell you is – how much do people with your income level and housing payment typically save every year. I’d be interested to know if I’m doing well or not. Maybe you are doing all you can, doing better than the average and just don’t appreciate it.

[sdduuuude]

I was thinking that maybe one thing a personal finance manager could tell you is – how much do people with your income level and housing payment typically save every year. I’d be interested to know if I’m doing well or not. Maybe you are doing all you can, doing better than the average and just don’t appreciate it.

[Author]

Posts