DISQUS

Amber Jones · 1 year ago

This is a great read. I especially like the part about knowing who pays for your college. It makes sense to try even harder when it's someone else footing the bill!!

cherryblossom · 1 year ago

One thing I found is that going to school in larger city makes it easier to find part time jobs, internships, and better paying jobs.
In smaller cities the student body makes up a significant part of the population and can completely dilute the job market.

Hondo · 1 year ago

Great post. I was "fortunate" to pay my own way through college. Of course Uncle Sam helped me with Stafford loans but I will always remember what my parents told me before I left my hometown for college. They said, "Hey have a good time. If you want to stay there for 6 or 7 years go for it. You'll have a blast but remember you'll be paying for it." I was out in 4 years on the dot! As painful as this was, it taught me some financial responsibility. I also worked throughout my whole college career. If I had done anything different I would have followed your advice on avoiding credit cards. I signed up for every little $500 limit card I could get my hands on. While I always made my payments, I spent more than I needed to while making my meager part-time job wages.

Mike L · 1 year ago

Good post as always! I, too, wish that I stayed more within my means during college on the credit card side.

One point that I have to disagree with is "not to let work interfere with your studies." I'm not trying to pat myself on the back, but I worked full time -- the whole time -- while going to school full-time and I have to tell you, its the best move that I could have made. Upon graduation, when most of my fellow graduates had to start in the low 30's because of lack of experience, I was running the accounting department that I had worked in during the years at school. I think as Bachelor degrees become more and more prevalent, experience will count for a whole lot more down the road, so knock out 2 birds with 1 stone and try to work in a job that you can grow with AFTER college (not at Krispy Kremes {not that there's anything wrong with that})!

AndyS · 1 year ago

A very comprehensive post here and great pointers for students starting on the final part of their journey to "adulthood". I did a recent post on this topic as well and I would say you need to be cautious with part time work. Extra money is great while at college, and necessary in some cases, but don't forget why you are here - to learn! When I was in college (or university as I called it) I knew a class mate who had 3 part time jobs (2 night jobs and one daytime retail role). This was great for his cash flow and he was always the biggest spender of the group. It also made him popular with others who would count on him for a round of drinks whenever he was at the bar. However, he sacrificed valuable study time for working (and maintaining an active social life) which meant he fell behind in his studies, including missed classes. He finally got back on track when he had to repeat and pay again for the entire semester, but still graduated a year after the rest of us. In financial terms, the opportunity cost of graduating a year later is equivalent to one year of salary from a full time job and the additional tuition costs - far more than most part time jobs are worth. Also you will be one year behind your peers in experience and top employers prefer not to hire students with poor grades. Money from part time work is great in the short term, but don't over do working while at college because you could be sacrificing much more in the bigger scheme of things.

I like the Roth IRA option, but would be cautious of entering it unless you have enough free cash flow to last through college. Credit cards are dangerous, but do provide a lot of cash flow flexibility if used properly.