Student Loans & A Look Back at 500 with The Happy Hour Crew
On the last Friday of the month, I host the Happy Hour on the podcast, where I gather great friends to drink cheap drinks and talk about money topics. This month, I’ve been talking about student loans and celebrated a significant milestone when I hit my 500th podcast episode.
Colin and Melanie joined this week to share their thoughts and experiences with student loan debt, and we toasted my big 500 episode accomplishment and discussed what life will be like for me after this show ends.
What are we drinking?
Melanie - Fever Tree Ginger Beer
Colin - Pineapple Malibu
Shannon - Bota Box Nighthawk
Podcast Notes
The End of an Era
This show and The Financial Gym have been connected for many years. Shannon has known that she won’t always be able to do both, and Martinis and Your Money would end at some point.
When she realized next year would be the tenth year, letting it come to an intentional end felt like the right choice. This show used to be a fun project but has become tedious in the last few years.
The creative juice and passion returned once the decision was made to make this the final season. This last season will be the best of the best, and the episodes Shannon has already recorded are everything she dreamed they would be.
Even though new episodes will no longer be released, the MAYM catalog will live on for people to discover and enjoy.
College, Student Loans, and Career Switches
Student loans were one of the reasons client #1 started working with Shannon, and they are a huge part of Melanie’s story. There are so many factors that play into the current student debt crisis.
The government does not stop schools from raising prices; no one is looking out for students and borrowers. Tuition prices are outrageous and only getting more expensive. Until companies collectively agree a degree is not necessary, things won’t change.
Colin does not have student loans. His parents did their best to help him and his sister pay for college. It was a priority for them throughout his life, and his grandparents were in on it, too! He was thankful in college but didn’t understand the gravity of this privilege until after graduation when his peers started repaying their loans.
When Melanie was applying for colleges, she didn’t fully understand the student loans she was taking out. When you’re 17, and everyone else is going to college, you feel like it’s the only option. She took out $18,000 initially, which was $23,000 once she graduated.
She realized they were even more predatory when she went to grad school. Undergraduate loans have certain limits, but Grad Plus loans are blank checks. She borrowed $58,000 to complete grad school. Her plan then was to get a Ph.D. and work in academia.
As an editor, Colin’s degree opened the door to his first opportunities, but since then, it’s been about his experience, reel, and connections. College is a fantastic social experience, but isn’t necessary for every job.
Most people don’t know exactly what they want to do when they’re eighteen. Switching majors and whole career changes after school are common for many people. People often feel stuck because they spend time and money on a degree but ultimately are unhappy.
Final Thoughts
The earlier you can plan for college, the better. As a parent, you do not have to fund your child’s entire education, but every little bit reduces the amount of student loans needed.
A 529 plan is an amazing way to save for a young person’s future. One person can open them, and others can contribute for gifts and holidays. They’re becoming more flexible and a great option for saving.
College is just one of many options, and you can attend at any age. If you’re unsure what you want to do, it’s okay to pause and decide.
If you have loans, you are not alone; 43.5 million Americans have student loan debt. If you’re struggling, there are resources out there.
If you have Federal Student loans, check out the new SAVE Plan, as it is helping many Americans reduce monthly payments.
Like taxes, you can’t avoid your student loans, and it’s important to be engaged.
Takeaway: My biggest takeaway is that paying off student loans, just like hitting 500 podcasts are both goals that take time and energy to accomplish but as long as you keep putting one foot in front of the other, you will reach that amazing destination and I hope you enjoy the view when you get there.
Resources Mentioned
Connect with The Happy Hour Crew
Melanie Lockert: melanielockert.com
Colin Becker - @iwillbecolinyou & colinbecker.com
Shannon McLay - The Host and CEO at The Financial Gym
If you have any topics you would like me to cover on this podcast, or if you’d like to get in the financially naked hot seat, I encourage you to email me at Shannon@fingyms.com, or join the private Martinis and Your Money Facebook Page, and let me know what you want to hear.
In addition to hosting this show, I’m the founder and CEO of The Financial Gym. We are celebrating 10 years of this journey, and now, more than ever, I see the importance of the work we do every day. Rising inflation, the return of student loan debt, high interest rates on mortgages, and volatile stock markets make it a time when you need a best financial friend to help you make the best choices.
At Financial Gym, you get paired with a Certified Financial Trainer, who we call your BFF. Our team has coached clients through every financial season, whether they were living paycheck to paycheck or headed into Financial Independence and retirement.
To celebrate the final season of Martinis and Your Money, listeners can get 20% off of one-on-one training services. So what are you waiting for? Head over to financialgym.com to get started today. Our warm-up calls are free of cost and judgment.