Category: TRIO Financial Literacy

This week we are switching gears and focusing on a different type of borrowing. We will dive into financial aid. Financial Aid is money that is given, earned, or lent to help students pay for their education. Financial aid makes it possible for millions of students to pay for college.

There are four types of Financial aid; Grants (free money such as Pell Grant), Scholarships (free money awarded for exceptional academics, talent, or financial need), Loans (funds borrowed from banks, colleges, and the government), and Work-study (programs that provide students with financial aid part-time jobs to fund education).

Most often, financial aid is awarded in the form of a package. Packages, consisting of grants, scholarships, loans and/or work-study, are put together by the college’s financial aid office. It is important to know that you can have differing aid packages from college to college. It is important to understand that financial aid is awarded based on financial need. Therefore, if your family can afford to pay $6,000 and the cost of the college is $15,000, the student has a financial need of $9,000. After you can your parents complete the FAFSA (Federal Application for Federal Student Aid), you will get a report that tells you how much your family should be able to afford to pay for college the following year.

The FAFSA is available on October 1. Some aid is awarded on a first-come, first-first served basis, so apply as soon as you can. The application can be completed online, and you will need to create a profile with a password so keep your password in a safe place. The FAFSA is free so there never is a need to pay a company to complete your application. By completing the FAFSA you are applying for a Pell Grant. It is important to understand that although it may seem scary, it is easy to complete and never assume you won’t be eligible.

When completing your FAFSA you will need the following:

• Log in Info
• Social Security number
• Federal Income Tax Return, W2’s, and any other earned money
• List of schools being considered

With all the above items it could take about an hour to complete. As a TRIO student, you have a secret weapon, your advisor is equipped to assist you in completing your aid. I would encourage you to have your FAFSA and any scholarships submitted to SC4 by March 15. If you are intimidated by the FAFSA, please contact your advisor. As always, Let’s Build!

Happy New Year!! Doesn’t it always feel good to begin again? Are you enjoying your new classes? Did you get any cool gifts over break?

I love the feeling in the air in January. There is this invisible encouragement that comes from within, and you can’t help but want to do something new and set a few resolutions. I will admit that I believe that “New Year resolutions” are downright cheesy! Why wait until everyone else is making goals to follow the trend and then not follow through after 30 days?

However, what if we could remedy that trend? I have always been a visual person, and there is something about seeing your thoughts in a visual form that always makes a mere thought reality for me. What if you could do the same with your financial health? I propose that we do something different this year and create a Financial Literacy Vision Board! Yes, let’s have a vision boarding party for our money! Statistically, we are 1.4 times more likely to accomplish our goals when we can picture them. So, if you want to have a better chance of reaching your financial goals, you’ll want to learn how to create a vision board.

What is a vision board?

A vision board is a collage of pictures and phrases that represent what you desire to accomplish. Unlike a “life” vision board, a money vision board is specific to your financial goals. Will you be saving, paying off debt, or increasing income? 

Financial vision boards are also different because they often utilize charts — such as a savings goal thermometer — that track progress. So, if your vision is to become debt-free, you may include a debt payoff tracker as a part of your financial vision board. 

How to make a vision board for your finances

Creating a vision board is more than just gluing pictures to a poster board. It requires you to be clear on your goals and aspirations. That’s why writing down your financial goals is the first step for making a vision board for your finances.

1. Write down your financial goals. Be Specific, Measurable, Attainable, Realistic, and Timely.
2. Gather Supplies.
   1. Board
   2. Old Magazines
   3. Pictures from Online
   4. Glue
   5. Scissors
3. Create! Turn on your favorite playlist and focus. Give it a good effort and have fun.
4. Review your board daily. Place your board in a place where you can see it often.

This year let’s be intentional about being different and better than we were last year. Let’s Build!

Reference:

Forbes. (2018, April 15). Neuroscience Explains Why You Need To Write Down Your Goals If You Actually Want To Achieve Them

It’s the most wonderful time of the year!!!

I don’t know about you, but I love the holiday season. The lights, music, and family parties are a few things that make the holidays unique. You can feel the love, joy, and magic in the atmosphere. There is always a potent spirit of giving in the air, and you want to provide the best possible gifts. I am not going to lie; I love receiving gifts as well! There is a sense to relish in living it up and giving great gifts and being the life of the party, but not worth the post-holiday debt.

However, if you are already struggling financially, the holiday season can be highly stressful and cause anxiety. We can not allow our emotions to be swayed by the glitz and glimmer of one season.

This week I want to offer you a list of tips and tricks that could be helpful to remain emotionally and financially responsible during the season. I have come up with and came across several tips that I will share below. They are in no order of importance.

1. Acknowledge your feelings. If someone close to you has recently passed or can’t be with loved ones. Take time to cry and express your feelings.
2. Treat yourself less. A great example is instead of Starbucks make your own Latte. If you must go out use your reward points that you’ve earned from places throughout the year.
3. Cash it! This is a great season to bring out your old friend, cash. It is so easy to swipe your card and lose track. However, when you utilize what they call “envelope budgeting,” you have the exact amount you need.
4. Make and use a list. Be sure to make a list of who you’re buying for and what you are buying. Once you finish that list stop and stick to it. Always include a dollar amount.
5. Start early and stop. Start as soon as possible on your list and once you’ve gone through the list, stop. Don’t be tempted to add one more item.
6. Set a budget. Decided how much you can spend and go for less if possible.
7. Give meaningful gifts. Sometime when you give gifts that mean most to the person it can costs less.
8. Give something homemade. If you are a great baker this is the perfect time to put those skills to work! God to Aldi and go crazy in the baking aisle. Buy some cute paper and ribbons. Who doesn’t love baked goods?
9. Don’t forget about thrift stores. There are tons of gently used good items that can be purchased like tennis rackets or golf clubs for a teen.
10. Black Friday and coupons! Don’t allow BF hype to trick you only buy the good deals and ALWAYS use a coupon if you can find one. Manufactures always have them and some places if you subscribe will give a 10% off coupon. Each penny counts.
11. Leave credit cards at home. Always only charge what you can pay back in 30 days.
12. Be realistic. If you can then you can. If you cannot then you cannot. There is no embarrassment in simply just doing what you can.
13. Big family? Pull names this year and set a budget.

The idea is to come out of the holiday season feeling like you are still in control of your finances and be enjoyable, not stressful. Know your holiday triggers and combat them. Always plan, and let’s build! Happy holidays from TRIO!

There is an old saying, “If you don’t plan to succeed, you plan to fail.” I believe this holds even with your finances.

We have talked about budgeting, but how many of you have done so? Has it been helpful? If you have not, that is ok. Today is a great day to start. This blog entry is not about putting together a budget. It is about making sure that your money is doing what you need it to do. Yes, you can tell your money what to do!

Have you ever felt overwhelmed by all the bills you have and did not know where to begin? That is because you haven’t put your money to work. Here is a quick example of what I mean.

Brother Y has a job that pays him $900 every two weeks. Brother Y also has rent, utilities, food, and a small loan with a family member. Often, we believe that Brother Y should pay everything to $0, but who wants to work for two weeks and walk away with nothing to enjoy because of bills? No one. I say put a serious plan into play and stick to it!

Sit down and write out how much you can put towards each item without breaking the bank. Utility companies will allow for extensions or even partial payments in the form of budget plans where your bill remains the same even throughout the winter months. If rent is not due, immediately put a third or half away, then add more to it during the next pay period. The idea is to plan to succeed in life, not to walk around broke and wanting.

Here is a hypothetical plan:

Brother Y

Bi-Weekly Take home paycheck – $900

• Utilities (due in 3 weeks) – $90
  • Pay: $45 now, $45 next pay period or call and ask about payment plan
• Cable/Wi-Fi (due in 2 weeks) – $89
  • Pay: $45 now, $44 next pay period
• Streaming (due now) – $50
  • Pay: $50 now
• Rent (due in 4 weeks) – $500
  • Put Away: $250
• Insurance (due in 2 weeks) – $100
  • Pay: $50 now, $50 next pay period

You get the point.

With these hypothetical bills, Brother Y should have around $460 leftover to save, pay on credit, buy food, and possibly have a little extra to put toward his life dream/goal. Never shortchange yourself, bills will be there and life will happen but always invest in yourself. 

It is 2021; we plan for what we want and get it. I want to encourage you that there is nothing that is out of your reach! IF you write out a solid plan and work it, then you will have it. Financial health is yours. Will you plan to succeed? Or Are you failing because you won’t plan? As always, this is subjective knowledge; you do what you need to do with it. Let’s Build!