A Millennial Who Paid Off $100K In Student Loans Just Months Before Biden Announced Forgiveness Says The President Should ‘Forgive All Of It’

There was no confetti. No congratulations or fanfare of any kind. No one cheered for Steve, a 36-year-old software engineer in Texas, when he woke up at 6 a.m. on March 15, 2022, and made his final student loan payment. He didn’t think this moment would be so matter-of-fact, considering the huge—and at times painful—impact his loans had on his life.

It took Steve nearly 12 years to pay off more than $100,000 in student loan debt, just five months shy of the Biden administration’s announcement it was forgiving $10,000 in loans for borrowers making less than $125,000 a year.

Despite the financial, mental, and even physical pain that carrying more than six figures in student loan debt caused Steve, he says he’s happy for anyone who receives student loan forgiveness—he doesn’t resent anyone eligible for the government’s $10,000 (up to $20,000 for Pell Grant holders) forgiveness plan.

“Forgive all of it is my opinion,” Steve says. “$10,000 is a nice start…maybe with this amount of debt off their backs, people can begin to build their lives.”

The Biden-Harris student debt relief plan is expected to wash out roughly $300 billion worth of debt, according to the Penn Wharton Budget Model. Approximately one-third of federal student loan borrowers (me included) will have their debt completely wiped out, with benefits going disproportionately to working-class and middle-income households.

Since 1980, the cost of public and private colleges has nearly tripled. Federal support has not kept up, which means more people have had to borrow money in order to get degrees.

Recent data totals student loan debt in the U.S. at $1.75 trillion, with the average college graduate carrying as much as $40,000 in debt. The average graduate student owes up to $189,000 in federal student loan debt.

“I’m not mad I missed out”

Steve graduated undergrad in 2008 with a degree in English that he says was virtually free because of an in-state scholarship program. But after struggling to find a decent job, he went back to school to get a master’s in teaching. It was a mistake, he says. He borrowed roughly $70,000, but interest ballooned the total to $118,000.

He couldn’t pay off his loans on his teaching salary, and by the time he turned 30, he was questioning what he was doing with his life. He had no savings, and worrying about the debt impacted his physical and mental health. “If I had had a medical emergency, I would be in ruin,” he says.

Desperate to make a change and dig himself out from under the debt that was keeping him up at night, Steve taught himself to code—there was no chance he was going back to school—and changed careers. He refinanced his loans for a lower rate and, with his higher salary, began making extra payments.

“I knew what I was getting into somewhat when I got the loans,” Steve says. “I knew teaching wasn’t a lucrative career, but I thought I could stay afloat, you know? I definitely miscalculated.” He says he left his heart in the classroom.

It was so easy, though, to get that loan at 22, he says.

“I had no employment history, no income. Universities know that, and they just jack up the prices,” Steve says. “I want to live in an educated society…[but] you shouldn’t have to ruin your life to get an education. The fact that you can’t even declare bankruptcy—the only way to relieve the debt is to die—that’s just really messed up.”

Submitting his final payment—paying off six months’ worth of debt in one foul swoop—was rather anticlimactic, Steve says. It took a while to sink in, but once it did, he says, he began to feel like anything was possible.

With the additional income, he began to think he could get his finances on track, so he decided to meet with a financial planner: “Just maybe I’ll be able to retire some day.”

His friends ask him often, he says, whether he’d be upset at a loan forgiveness program, having just paid off so much in student loans. He’s actually quite excited, he says. Though it would “be nice if I could retroactively benefit. But I’m not mad I missed out by a few months.”

Source: Fortune

Retired Fortune 100 Executive Thomas B. Walsh Answers To Why So Many People Settle For Low-Paying Jobs With Expensive College Degrees

“Settle” for low-paying jobs?

You can’t be serious, Dude.

There was a time in the US when you could get a great job if you earned a bachelor’s degree in “anything.”

The catch is that JFK was president at the time.

Most parents (and their students) are oblivious to how college really works today.

In some ways it is hard to blame them. Colleges and universities have a powerful public relations team, pushing the message 24/7 that “college is for all.”

The team is made up of educators, guidance counselors, financial aid officers, politicians, pop culture, special interest groups–like the College Board, and college administrators—who are the biggest beneficiaries. Their influence is everywhere.

Many, many years ago, my “anything” degree, Philosophy, was from a state university in fly-over country, better known for its football team than scholarship. (As I vaguely remember, my GPA wasn’t that robust either.)

However, I had a successful career in IT, and retired as an executive from a Fortune 100 company.

The bad news is that college doesn’t work that way anymore.

Years ago very few high school grads (7%) went on to college. (They tended to be the “smart kids.”) If you graduated with a degree in anything, i.e. English, Gender Studies, Comp-lit, Philosophy, etc., you could get a good job.

Over the years a greater and greater portion of high school grads answered the call,

“You have to go to college!”

We are now at 45%. Probably half these teenagers don’t have the “academic firepower” to handle a serious, marketable major.

Back in the day having a college degree was a big deal. By the year 2000, the quality of a college education had deteriorated significantly, and college grads were a-dime-a-dozen. There were too many graduates, but not enough suitable jobs.

Then we got hit with the Great Recession of 2008.

In the US almost anyone can find a college or university that will accept them and their parent’s money.

You might even manage to graduate with some degree or another.

The problem comes when you try to find a real job. Employers aren’t stupid. They are going to sort through that gigantic stack of resumes and find the smart kids.

Today college is a competition for a relatively few (1,100,000) well-paying, professional jobs. Every year colleges and universities churn out 1,900,000 graduates with shiny new bachelor’s degrees. We don’t know the exact number, but a heck of a lot of minimum wage jobs are held by young people with college degrees in stuff like English, Gender Studies, Comp-lit, Philosophy, etc.

Given the high cost of college, that just doesn’t make any economic sense.

PS

The “Anything” Degree

Two decades ago in his book, Another Way To Win, Dr. Kenneth Gray coined the term “one way to win.” He described the OWTW strategy widely followed in the US as:

  • “Graduate from high school.
  • Matriculate at a four-year college.
  • Graduate with a degree in anything.
  • Become employed in a professional job.”

Dr. Gray’s message to the then “academic middle” was that this was unlikely to be a successful strategy in the future. The succeeding twenty years have proven him inordinately prescient and not just for the “academic middle.”

The simple explanation is that it comes down to “supply” (graduates) and “demand” (suitable jobs).

Fifty years ago only seven percent of high school graduates went on to college. In post-WW II America our economy was booming while the economies of many European and Asian countries were–only slowly–being rebuilt. The “Law of Supply and Demand” strongly favored the freshly minted college graduate.

Parents and students noticed how college really paid off, and the “great gold rush” to the halls of higher learning began.

Today my local, Midwest run-of-the-mill high school sends eighty percent of their graduates on to college.

Most of them are going to be very disappointed.

Source: Quora

International Student At ESSEC Business School In Singapore Sparks Outrage With Racist Instagram Posts

A foreign student studying abroad in Singapore faced massive backlash this past weekend after a photograph that she posted on Instagram for Chinese New Year earlier in 2020 went viral for all the wrong reasons.

The student, Louise, has since issued an apology on her now-private Instagram account, and Essec Business School, where she studies, has said that they are “looking into the situation”.

On Friday (Dec. 4), Instagram user @beforeik.o posted a screenshot of an Instagram story she had made of Louise’s post, which showed the French student pulling back her eyes with her fingers into a slit shape while wearing a cheongsam.

@beforeik.o’s Instagram post also included a screenshot of another photo posted by Louise for Chinese New Year, which included the words “ching chong” in the caption.

A person also commented, “So chong!! So coronavirus!!”

In her Instagram post, @beforeik.o also shared several screenshots of direct messages (DMs) in which Louise claimed that she was “clearly not racist” and that the photo was “just for fun”.

Louise pointed to the fact that Chinese people may get surgery on their eyes to have more “European” features, and asked whether that would be considered racism.

@beforeik.o replied that Louise should educate herself, remove the post, and apologise “before this whole thing blows up”.

Louise, however, doubled down and claimed to have a master’s degree, as well as a diploma from Harvard University about ethnicity in the workplace.

On Saturday (Dec. 5), the official Instagram page of Essec Business School commented on @beforeik.o’s Instagram post, writing that they are “looking into the situation and will take appropriate action”.

Source: Mothership

Asian Americans face dual challenges: Surging unemployment and racism

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A new study from UCLA reports that since the start of the pandemic, 83 percent of the Asian American labor force with high school degrees or lower has filed unemployment insurance claims in California — the state with the highest population of Asian Americans — compared to 37 percent of the rest of the state’s labor force with the same level of education.

At the same time, new research shows that discrimination against Asian Americans is surging. More than 2,300 Asian Americans had reported bias incidents as of July 15, according to the Asian Pacific Policy and Planning Council, or A3PCON, which hosts the self-reporting tool Stop AAPI Hate.

The UCLA report, published last week, examined the impacts of the coronavirus on the Asian American labor force in California. It revealed that disadvantaged Asians working in service industries have been “severely impacted.”

Researcher Paul Ong, who worked on the report, said that beyond pervasive service industry struggles, he believes people are abandoning Asian establishments because of biases.

“This is why racializing COVID-19 as ‘the China virus’ has profound societal repercussions. We have seen this in the increase in verbal and physical attacks on Asians and in material ways in terms of joblessness and business failures,” he said in an interview.

Source: NBC News

2018 Mrs. Minnesota and Wife of Fired Officer Charged with Murder of George Floyd Announces She’s Divorcing Him

Derek Chauvin is facing third-degree murder and manslaughter charges after video surfaced showing him kneeling on Floyd’s neck for for more than 8 1/2 minutes while he pleaded for his life.

“Her utmost sympathy lies with [Floyd’s] family, with his loved ones and with everyone who is grieving this tragedy,” the statement read in part. “While Ms. Chauvin has no children from her current marriage, she respectfully requests that her children, her elder parents, and her extended family be given safety and privacy during this difficult time.”

Kellie Chauvin was born in Laos in 1974 during a time of war. In 1977, her family fled to safety in Thailand, where they lived in a refugee camp, The Associated Press reported. In 2018, she was crowned Mrs. Minnesota.

Source: Yahoo

A Bachelor’s Degree

I got shat on by so many for returning to community college after receiving my Bachelor’s. No degree is worth getting if you’re not gonna use it. And being a graduate gives me more validation to have an opinion on the matter. Not all community colleges are General Ed farmhouses.

Boston University grad student Kristin Hugo required to pay ~$6,000 to work a summer internship

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Kristin, along with other students in her master’s program, was expected to pay her university thousands of dollars to work a summer internship at a separate institution in a different city.

At BU, I often felt like, You guys are always trying to reach into my back pocket, what is the deal? For a while I thought it was kind of sinister, but the school is technically a non-profit institution. Still, the year I was there the president made $2.48 million. It was like, C’mon, I’m eating out of trash here!

To me, the weirdest part about this whole thing is that schools charging students to intern is actually kind of common. It’s wonderful that people are starting to pay attention to the exploitation of interns as free labor, but it seems that few people have issues with universities charging people to do them.

Source: Vice