Student Loan Budgeting

1. Student Loan Budgeting By Egbert Batchelor Theme - Education; discovery beyond your obligation? MATH103: Survey of Mathematics Professor Dr. Hector Valenzuela 12/04/2016 Student Loan Budgeting

2. Education; discovery beyond your obligation? Hypothesis! The Hypothetical Probe:investigativeworkplace discovery for improved literacies leads to a raised efficiency bar for the student to enterprise into a robust savviness, commonsense cognition, and pragmatic preparation for competitive adaptation to commerce and beyond his/her indebtedness. Outcome: to plan immortality beyond indebtedness, to optimize potential, & engage in economic adaptation; Robust savviness to show value - preparation Commonsense knowledge of the probe - evaluation Pragmatic preparation for commerce - remedy The scenario: explorestudent loan, amortization, & budget - in context of this probe, provoking thought and interest! Student Loan Budgeting

3. Education; discovery beyond your obligation? *The Hypothetical Probe* To outlive ones loan obligation! Upon completion of my undergrad in Paralegal Studies, my student loan balance would be $47,500.00 @ a rate of 4.31% and my monthly repayment of $585.87 will take me to a payoff date of early 2028. I plan to outlive my indebtedness Student Loan Budgeting

4. preparation Education; discovery beyond your obligation? Robust savviness to show value to outlast the mortality of your debt is to gain knowledge for your generation and beyond Student Loan Budgeting

5. Education; discovery beyond your obligation? Student debt! • College costs rise yearly as student loan debt grows while many graduates face limited job prospects and struggle to maintain their student debt obligations. (credit.org, 2014) • Factoids: (Student loan counselling page) • 2/3 of students borrow money for college (credit.org, 2014) • 37 million borrowers currently owe student debt (credit.org, 2014) • Student loan debt now totals over 1 trillion dollars (credit.org, 2014) • Americans have more student debt than credit card debt (credit.org, 2014) • The average student loan debt is over $35,000 (credit.org, 2014) • College costs are up 42% in the last 10 years (credit.org, 2014) • College costs are continuing to go up by 6% per year (credit.org, 2014) Student Loan Budgeting

6. Education; discovery beyond your obligation? • We must outlast our debt! • Why do students take out student loans to pay for their education? • According to Credit.org, “As 2014 begins, the most recent studies available show that the average student loan debt is $35,200. That’s for the class of 2013. These statistics are courtesy of a survey from Fidelity Investments.” • The editorial continues, “As you can see on our student loan counselingpage, 2/3 of students borrow money for college [page 4 of this project], and college costs are up 42% in the last 10 years. They’re not stopping, either. College costs continue to rise by 6% per year, even while average family incomes are stagnant or declining.” (Credit.org News) Student Loan Budgeting

7. evaluation Education; discovery beyond your obligation? Commonsense knowledge of the probe outlive your debt constitutes greater adaptation and competitiveness Cognition of commerce and being a crucial player in the marketplace Student Loan Budgeting

8. Education; discovery beyond your obligation? • Student Loan Repayment (10 years) • Upon completion of my undergrad in Paralegal Studies, my student loan balance would be a total of $47,500.00 @ an interest rate of 4.31% and my monthly repayment of $487.94 will take me to a payoff date of early 2028 • Budget with student loan calculation: • Student loan principal: $47,500.00 (Computed @ 4.31% (simple interest) for 10 years, payable monthly) • A = P(1+rt); A = 47,500 [1+(0.0431x10)] = 58,553; Monthly payment – = 487.94 (rounded up) /566.44 • Total student loan + Interest $58,553 • Tuition fees $69,420.00 • Books/Course fee $9,000.00 • Total = $136,973.00 • ‘The Graduate Student Debt Review’ (Delisle, 2014, March) Student Loan Budgeting

9. Education; discovery beyond your obligation? • Student Loan Repayment (8 years) • Upon completion of my undergrad in Paralegal Studies, my student loan balance would be a total of $47,500.00 @ an interest rate of 4.31% and my monthly repayment of $585.87 will take me to a payoff date of early 2026 • Budget with student loan calculation: • Student loan principal: $47,500.00 (Computed @ 4.31% (simple interest) for 8 years, payable monthly) • A = P(1+rt); A = 47,500 [1+(0.0431x 8)] = 56,243.00; Monthly payment – = 585.87 (rounded up) • Total student loan + Interest $56,243.00 • Tuition fees $69,420.00 • Books/Course fee $9,000.00 • Total = $134,663.00 • ‘The Graduate Student Debt Review’ (Delisle, 2014, March) Student Loan Budgeting

10. Education; discovery beyond your obligation? • Student Loan Repayment (1 year) • Upon completion of my undergrad in Paralegal Studies, my student loan balance would be a total of $47,500.00 @ an interest rate of 4.31% and my monthly repayment of $4051.35 will take me to a payoff date of early 2022 • Budget with student loan calculation: • Student loan principal: $47,500.00 (Computed @ 4.31% (simple interest) for 1 year, payable monthly) • A = P(1+rt); A = 47,500 [1+(0.0431x1)] = 48,616; Monthly payment – = 4051.35 (rounded up) • Total student loan + Interest $48,616 • Tuition fees $69,420.00 • Books/Course fee $9,000.00 • Total = $127,036.00 • ‘The Graduate Student Debt Review’ (Delisle, 2014, March) Student Loan Budgeting

11. Education; discovery beyond your obligation? • Payoff • Loan details: • Student loan Amount: • $47,500.00 • Interest rate and type of interest computation: • 4.31% Simply Interest • Duration of Loan: 10 years (graduation early 2018, assumption that repayment commences then) • A = P(1+rt); A = 47,500 [1+(0.0431x10)] = 58,553.00; Monthly payment – = 487.94 • Monthly payments $487.94 Student Loan Budgeting

12. remedy Education; discovery beyond your obligation? Pragmatic preparation for commerce to bring worth to the marketplace in lasting remedies; create longevity by strategically thinking ahead of your trends Student Loan Budgeting

13. Education; discovery beyond your obligation? • Showcase • In consideration of the repayment options and the context of this material presentation, it is recommended that option number two* (2) is the most prudent of choices. • Against the backdrop of a national mean salary (Bureau of Labor and Statistics) of $50,820 to 89,270 (industry specific), a monthly repayment of $585.87 makes a great fit. • However, a suggested additional payment of $587.87 per quarter or $146.46 monthly could reduce the cost of the loan to $43,939.90 (savings of $12,303), and interest total to $6,679.10 (savings of $2,063.98), if I get quarterly bonuses (negotiable remuneration). (BLS 2015, May) Student Loan Budgeting; * Option no 2 per page 9, for 8 years.

14. Education; discovery beyond your obligation? • Showcase (continued) • Explore importance to outlive my debt? • How to materialize literacy superiority? • What steps are mandatory to ensure successful transitioning? • How do I address the ‘what ifs’ in my path? • Evolving my workplace literacies beyond its ‘beta’ test? Student Loan Budgeting

15. Education; discovery beyond your obligation? • More Essentials: • Why did I opt for student loans? • In what way will this be beneficial over and above using a personal financing approach? • What if I were to get stuck before completion of my degree program, what is my egress? • Can I see myself in a better financial position with a student loan financed education versus being without one, hypothetically? • How do most students end up and what are the general outcomes after graduations? • Do the graduates become more improved economically, and why? Student Loan Budgeting

16. Education; discovery beyond your obligation? • Takeaways • Allow our education to take us beyond our loan indebtedness - Knowledge • Savvy preparation that brings value in education beyond one’s indebtedness and cognition of commerce into being a market player • Commonsense in raising the bar of literacy, knowledge, and pristine adaptation to compete in commerce • Worth enhancement by longevity and inventing lasting remedies Student Loan Budgeting

17. Reference: • BLS; (2015, May) Occupational employment and wages, Retrieve from; https://www.bls.gov/oes/current/oes232011.htm • DiBenedetto, Catherine A & Myers, Brian E. (2016, May, 2nd) A Conceptual Model for the Study of Student Readiness in the 21st Century, NACTA Journal. 2016 Special Issue, Vol. 60, p28-35. 8p. ISSN:0149-4910; Retrieved on 11/19/2016 from; http://eds.b.ebscohost.com.libproxy.bryantstratton.edu:2048/eds/pdfviewer/pdfviewer?vid=5&sid=b2c062c0-2318-4064-b1a8-f54d8262e618%40sessionmgr103&hid=111 • Delisle, Jason (Other authors: Owen Phillips, and Ross van der Linde), The Graduate Student Debt Review; RISING DEBT in GRADUATE EDUCATION, https://static.newamerica.org/attachments/750-the-graduate-student-debt-review/GradStudentDebtReview-Delisle-Final.pdf • Editorial The average student loan debt continues to climb, Internet Blog Credit.org News, dated December 27th, 2013, retrieved on 11/19/2016 from • http://www.credit.org/2013/12/27/average-student-loan-debt/?gclid=CMSn6-erttACFcdLDQodABcKQw • -and- The Student counselling: • http://www.credit.org/student-loan-counseling/ • Piggyback on (Newamerica.org) A Look at the Shocking Student Loan Debt Statistics for 2016; https://studentloanhero.com/student-loan-debt-statistics/ • Tan, Cheng Lee; Ng, Lee Luan; (December 10-12, 2014). 7 pp.) Assessing CriticalThinking Performance of Postgraduate Students in Threaded Discussions, International Association for Development of the Information Society, December 10-12, 2014). 7 pp. Retrieve on 11/19/2016 from: http://files.eric.ed.gov/fulltext/ED557315.pdf Student Loan Budgeting

18. Education; discovery beyond your obligation? Student Loan Budgeting

19. Education; discovery beyond your obligation? Student Loan Budgeting

20. Education; discovery beyond your obligation? Student Loan Budgeting

21. Education; discovery beyond your obligation? Student Loan Budgeting