College Savings Resources

Hi All

I have attached the “free” booklet, Family Guide to College Savings, sponsored by Legg Mason.

First, caveat emptor!  The financial industry has realized that 529 college savings plans are a potential gold mine of assets to be managed (think sales fees, profit, etc).

Second, if you do your due diligence 529 college savings plans are a great tool.

Third, the Savingforcollege.com web site has a lot of useful information but it will also try to sell you something.  Use the free stuff and enjoy.

I quickly skimmed the attached booklet and it has some great and useful information.  It also is a bit behind and includes some out of date information regarding the FAFSA.  If you are interested in college savings plans I would encourage you to read it.  Legg Mason is the sponsor of the book and you should note that they do “asset management”.  I would love to do asset management of 50 million for a modest 1% fee (do the math).  The costs of asset management are a major variable in your ultimate returns so pay close attention.

ASPIRE Guide to College Savings 2013

Have you looked at the Oregon College Savings Plan site?

Oregon College Savings Plan

Cheers,  George

George A. Letchworth, Ph.D.

“College Makes You Healthy, Wealthy, and Wise”

Hi All

This is a report that you definitely need to read.  In Oregon we have many opinions but here are a few facts.

Sections of the report provide a substantial rationale for post-secondary education.  Perhaps we can modify Ben F. “early to bed, early to rise…..Makes a man healthy, wealthy and wise” to  “College can make you healthy, wealthy and wise.”

**Please note the trend for females to dominate the trend.

http://trends.collegeboard.org/sites/default/files/education-pays-2013-full-report.pdf

There are many interesting facts in the study.  You might note where the USA and Oregon fall in some of the graphs.  The governors goal of 40-40-20 is great but how is Oregon currently?

Share with us what jumps out at you.

Cheer, George

George A. Letchworth, Ph.D.

Poverty is the Majority in American Public Schools

Hi All

I found this article disturbing.  Be sure to click on the USA map and compare the 2000 and 2011 maps.

Study: Poor children are now the majority in American public schools in South, West – The Washington Post

It is sad that Oregon is one of the 17 states.

One of the best predictors of school achievement is family SES so this does not bode well.  What do you think we can do as ASPIRE Staff to help remedy the problem?

Cheers, George

George A. Letchworth, Ph.D.

What Percentage of Graduates are Actually Going to College?

Hi All

Below is an interesting study that is relevant to ASPIRE.  Here is the research question:

The first outcome of interest for high schools is: “what percent of our graduates are going to college?”

**Be sure to read the third paragraph in the report that indicates that families are the major source of college knowledge of college choice.  Since many students are first generation their parents often have insufficient knowledge.  ASPIRE mentors can have a real impact.

High School Benchmarks: National College Progression Rates | National Student Clearinghouse Research Center

In the study you see the impact of SES on progression to college.

Cheers,  George

George A. Letchworth, Ph.D.

Four Steps Towards Getting Funded For College

Hi All ,

Preparing for the FAFSA is pretty straight forward and can be accomplished in a short time so I use the rest of time to review and reinforce what they need to know and to encourage future planning.  The holidays provide students and families some time to prepare for the busy time in Jan. and Feb.  The Jan. 8 FAFSA completion workshop should inspire students to complete scholarship applications in the following months.

Steps Towards Getting Funded for College

1. Review the basics of funding a college education

2.  Preparing for the FAFSA

3. Review the other funding sources

4.  Get students and families to forecast COA and how they will fund it.

Cheers,  George

George A. Letchworth, Ph.D.

Taxes and Tuition Rates

Hi All

In ASPIRE we work with students and families and focus on their concerns regarding college costs and debt. There is another side to college cost and that is the college’s side. Colleges and universities both private and public have seen declining revenues for a number of reasons. The article below provides you the college’s perspective.

Tuition revenue not keeping pace with inflation at 4 in 10 four-year universities | Inside Higher Ed

The college age cohort is declining and state funding for college is declining.  The cost or maintaining and growing a college is increasing.  Some of us may recall that our college did not have a posh wellness center, computers, tutoring labs, etc.  It will be interesting to see how colleges cope with declining revenues.  At state universities we already see an increased use of Teaching Assistants and Adjunct Faculty.

Will and I just had a great conversation about Oregon’s College Savings Plan.  In 2013 the maximum for claiming an Oregon Tax exemption for Oregon’s College Savings is $4,455.  Do you know how this is claimed on Oregon’s Form 40?  The tax savings is about $400 which is a nice “tax scholarship”.  A family can take advantage of this even during the college years.

Cheers, George

George A. Letchworth, Ph.D.

How to Act Like a College Student in High School

Hi All

What Works Clearinghouse is a national group that evaluates research based practice in education. The link below addresses what high schools can do to prepare students for college. On page 11 of the report is a summary checklist that you might use to assess what you are doing in your ASPIRE program.

Higher Education Practices

Which of the five recommendations does ASPIRE do well and what should we doing?  Share your thoughts with the group and then I will share mine.

Cheers,  George

George A. Letchworth, Ph.D.

Student Debt: State by State

Hi All

The media has focused on student debt and the most recent national estimate for 2012 graduates is a bit over $29,000.  The link below provides information on colleges by state.  You might find the average debt by college, % of graduates with debt and % of Pell Grant recipients informative.  You might explore this link, there is some helpful information.

Project on Student Debt: State by State Data 

Cheers,  George

George A. Letchworth, Ph.D.

Graduation Debt Report

Hi All

Here is the full report on college graduate student debt.  You might skim through the report and then focus on the Recommendations that begin on page 16.  Note that private loans are not desirable.

I wonder how many parents understand the difference between federal and private loans?

Student Debt Projection Report

The report identifies many of the useful tools:  FAFSA4Caster, Net Price Calculator, Shopping Sheet, College Scorecards, etc.  How many parents and students use the tools?

Cheers,  George

George A. Letchworth, Ph.D.

College Pays

Hi All

College Board has three 2013 reports that are relevant to ASPIRE.  I will send you each of the reports if you have not received them.

Why Education Pays 

Cheers, George

George A. Letchworth, Ph.D.