by on March 25, 2015

How to Save For College in 2015

Preparing for the financial responsibilities that come with sending a student to college can take a lifetime of planning. Tuition rates are already considered high and future projections only represent another expected hike. Follow these tips to better save for college.

Start Early

A savings has the ability to grow overtime. This logic results in less needing to be contributed over time. Waiting until the child is in high school will drastically cut the amount of money available to send your student off to college.

529 College Savings Account

The benefit of using this type of account is that the savings can build tax deferred. Also, funds used to pay costs related to college can avoid federal income taxes. Most account limits are $250,000 but withdrawals can only be used for college living and equipment costs.

Prepaid Tuition Plan

As college tuition rates increase year to year, a beneficial savings plan may be to use a plan that builds with a stagnant tuition number secured. In the past ten years, costs for a private nonprofit four year college has risen 24 percent. Due to state funding cuts, this spike is even more drastic. Families can select from either a state plan or the Private College 529 Plan. The locked in amount for the first will only apply to one particular state, whereas the private college plan covers a range of 270 private universities and institutions.

College Savings vs. Financial Aid

The FAFSA is a component of every child’s higher education that will be used to asses the eligibility for financial aid. It will take into account factors such as the EFC or Expected Family Contribution. The more a family makes, the less financial aid will be an option for the student attending school.

As time progresses, also be sure to keep up to date with any changes to government regulated programs and guidelines.

Filed Under: Education - James Hickey PhD Tagged With: , , ,
by on February 10, 2015

Is Physical Education Important for Young Students?

team-james hickey phdThe St. Paul area of Minnesota is being strongly encouraged to acknowledge the health benefits of physical education and therefore increase the children’s exposure to these activities. Groups that have stepped forward to address this include the American Cancer Society and the Healthy Kids Coalition. Reasons for this include fighting childhood obesity and instilling valuable health lessons that will last a lifetime.

A few days ago, the Senate Education Committee held a meeting to assess the ramifications associated with the possibility of these changes. Several advocates stepped forward to share evidence that physical activity has a positive effect on brain activity in minors. Minnesota is struggling to meet the national standard of physical education time for children in grades K through 4. 150 minutes per week is the requirement and currently only one out of five schools in this area is meeting the criteria. A boost in physical education at this age with items such as more fitness testing and requiring more phys ed credits will help the students maintain a healthy lifestyle as they grow into adults.

These schools in need of a boost are lagging in the fitness area because of the extra time being directed toward reading, writing, and arithmetic. Some officials also argue that more gym time will take away from electives such as music and foreign language. A bill passed now also restricts schools from taking away recess as a punishment. The message attached to the old way was deemed as sending out the wrong signal. Activity is imperative and not necessarily a reward. Parents have also pointed out that the opportunity for greater movement helps children pay attention since they have an outlet to relieve built-up energy.

To learn more about this story, visit Kare 11 online here.

Filed Under: Education - James Hickey PhD Tagged With: , , , ,
by on January 15, 2015

President Obama’s Plan for Free Higher Education

obama-james hickey phdPresident Obama announced a plan to make higher education more accessible for all. He presented a plan to make community college free for students willing to work hard. This initiative is an outstanding step in a positive direction. Working students will have a chance to enroll in school full time which will increase their chances of graduation.

The increasing cost of college education has been an ongoing issue for many years. The cause of this stems back to institutions struggling to manage their costs and student funding getting cut by states with tight budget plans. These factors have led to increased tuition across the board. The federal government also plays a role in this pricing. Instead of holding schools accountable, the government offered grants, loans, and tax relief for students to help them afford their education. This approach has led to other problems. Students then become inundated with student loan debt while states are inclined to continue raising tuition under increasing state budget cuts. Enrollment was then allowed to stay high despite low income families struggling and parent income getting drained to pay tuition.

Community college is moving toward being free through President Obama’s proposal that 75 percent of tuition be paid by the federal government. This would apply to students who are taking classes at a half-time status or more. The remaining cost would be handled by the participating state. This model encourages states to manage their institutional costs for community colleges, where spending has not grown drastically over the past few years.

To read more about this forward moving education initiative, visit Slate.com here.

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