How to Graduate College With No Debt

This title just sounds like a fairy tale doesn’t it? Are there really people out there that can get through college without owing any money to anyone? With college costs soaring to over $30,000 a year, this just seems impossible! But, let me reassure you, it is not impossible. Apply the following tips below and you may soon find yourself with your college degree and absolutely no debt!

1) Get an Amazing ACT/SAT Score 
This sounds a little trite, but you do have quite a lot of control over how well you do on your ACTs! You see, this test is fairly standardized and is quite similar every year. If you begin studying for this test as a freshman in high school, then you would probably score pretty well once you took it officially as a junior or senior, right? Well, what if you went to some classes that would teach you how the test was structured and what you should look for to make your selections easier?
I had some friends that had prepared for this test years before they actually took it, and guess what? They did amazingly well. One of them scored in the upper 95th percentile, while the other scored in the upper 99th percentile (and nearly aced the test). Both of these individuals received very large scholarships and had to pay next to no college expenses. It pays to study extensively for the ACT and SAT.

2) Save From Childhood 
Today, parents are beginning to save for their children’s college education long before their kids are even talking. This is an excellent idea! By putting away a small amount each month and letting the interest compound on itself, one could easily save $50,000 or more over the course of 18 years. To do this, either look into 529 funds or put money toward a specific institution where your child will be going to college.

3) Scholarships
We touched on this briefly in the first tip, but not all scholarships are earned by getting an amazing ACT score. Many are earned through essays and personal interviews, and there are quite a few out there for you to apply to. In fact, many scholarships ask for similar information so if you develop a system, each one should only take a few minutes to fill out and submit. Fill out enough of them, and you might soon find yourself paying nothing for your entire college education.

4) Live at Home 
This tip often gets overlooked, but it is a biggie. If you decide that you would like to live on campus, then you had better have about $40,000 extra dollars lying around your bedroom somewhere. Factoring in the expensive on-campus housing costs and food, you can easily dish out $10,000 per year for simply having a place of you own. If you want to get through college without any debt, then it simply isn’t worth the expense. Live at home, eat your parents’ food, and buy a fuel efficient car for commuting.

5) Work During School and in the Summer
This is where the rubber meets the road. In order to truly earn enough to get yourself through college without owing a cent, then you must commit to working while school is in session (typically 30 hours a week or so) and also during the summer time (at least 50 hours per week). Even on a meager hourly wage, one can still earn $15,000-$20,000 a year by putting in the hours.

Are you going to graduate from college without any debt? How did you manage it?

4 steps to get paid what you are worth!

Ever since the recession back in 2009, many people have been a little nervous to move away from their safe, secure job. This is quite understandable since our work is very important to us. The salary we earn allows us to put a roof over our heads, food in our stomach, and the job really gives us a sense of purpose each day. However, without you even knowing it, your job could be paying you a pretty meager wage compared to jobs just like it in other parts of your state. Since the economy has stabilized, you should really reevaluate your position and make sure that you are getting paid what you’re worth.

Check Glassdoor.com
Glassdoor.com is a wonderful site where anyone can anonymously enter in their title at work along with their base salary and any bonus that they typically receive. I would encourage you to first look for your title with your current company. There are likely others that have a very similar title to you at the company and might be getting paid more than you (considerably more). If you find that this is the case, then there may be grounds for you to ask for a raise, or explore your options with another company.

If the salaries are pretty even at your work, then I would next look at the salaries of companies nearby. Since they are in the same area, you know that the cost of living is the same, so if the salaries are quite a lot more you again have grounds to ask for a raise or pursue your options elsewhere.

Evaluate Your Daily Work vs. Your Job Description
As you work your job for a few years, it is not uncommon for you to start taking on new projects and responsibilities that are beyond your original job title. It might be a good idea for you to write down all of the things you currently do and compare these bullet points to your original job description. If you are doing double the work than originally expected, then it is most definitely time for a raise.

Do You Add Major Value to the Company?
If you work in a job where you are constantly making the company money or saving them hundreds of thousands of dollars in expenses, then it might just be time for a salary bump. In other words, if you are earning your company $500,000 a year, but are only paid $50,000, this is a little unbalanced and should be corrected slightly. I’m not saying that you should earn $500,000, but something a little closer to $100,000 might be adequate.

How to Approach Your Boss For Your Raise
If you go through these exercises and find that you are grossly underpaid, then it is most definitely time to approach your boss and ask for a raise. So how do you do this? It’s quite simple actually. You need to (1) show your value to the company, and (2) display the hard work that you’ve done for the company.
In order to show your value, it is best to quantify your efforts. In other words, show how your actions have either produced a huge surplus for the company, or have saved them from great expenses. If necessary (and only if necessary), show your boss the typical salaries in the area, but at the same time express your love for your current company. You really don’t want to leave, but the salary difference is quite overwhelming. Chances are that your boss will understand your position and give you that raise. If not, you could always start looking elsewhere and get that raise on your own terms!

Are you getting paid what you’re worth?

Is Your Car Keeping You Broke?

Have you ever sat down and figured out how expensive it is to maintain and pay for your car? Whether you realize it or not, I bet that your car is one of your biggest expenses. I mean think about it, unless you pay cash for your car you are making a monthly payment, an insurance payment, putting money into the fuel, and also to maintenance! How much do you figure your car is costing you? $500 a month? $700? Maybe even more? 

The Average Cost of Our Cars 

The average price of a new car today is about $28,000, which makes the average loan payment about $470 a month. Then, you need to insure that car, and typically when you get a loan for a vehicle, it is a requirement of the bank that you get full coverage insurance, which will cost you upwards of $150 a month. So already, you’re at $620 per month, and you haven’t even put gas in it yet! With the high prices of fuel, it is not uncommon for a single driver to spend $300 at the pump each month. Add a couple bucks for your oil changes and random fixes and you’re at a cool $1,000 a month. That’s right, it costs you $12,000 per year to drive your car. Surprised? I know I am! 

How to Keep Your Vehicle Costs Down 

Some personal finance sites suggest doing without a car altogether, but that’s really not all that practical (unless you live in New York City). You still need to make trips once in a while, get a load of groceries, and maybe you’re nowhere near a bus station. Let’s assume that you absolutely need a car. How can you save on your vehicle expenses? 

First of all, you definitely don’t need a brand new car. By purchasing a vehicle that between four and eight years old, you will be buying a fairly reliable car and avoiding all that depreciation that comes with a brand new ride. Plus, by owning a less expensive vehicle, your insurance costs will decrease. 

Here is what I deem the ideal vehicle purchase if you put on quite a few miles each month. Find something that is eight years old and only one style behind the most up-to-date model. Purchase the car with just under 100,000 miles on it. If you buy a small Honda or Toyota, you will get another 100,000 miles out of it (at least). Plus, these cars are extremely cheap on gas.  

Instead of making payments on a brand new car, you can buy a slightly used one with $6,000 in cash. This makes your total monthly payment zero dollars – we’re off to a great start already! The insurance on a smaller vehicle is still pretty high – we’ll say $100 a month – but it is still better than a brand new car. Then, there is the gas. With the smaller vehicle, I bet you could get by with $250 in gas instead of $300. Finally comes the maintenance. Many of you might be squawking right now because you assume the maintenance costs are going to be huge, but quite honestly, with the many Hondas and Toyotas around, the parts are very attainable and cheap. My friend owns a 2001 Honda Civic and has only paid $300 in maintenance over the past two years. To be fair, let’s just say that maintenance comes to $50 a month (which is 4 times what he has experienced).  

By purchasing a smaller used car, your monthly cash outflow comes to $400 (instead of $1,000). Over the course of the year, you are spending only $4,800 compared to $12,000! That is one huge difference! 

Are you ready to drive something different and save thousands of dollars per year?