Cash Rules Everything Around Me
When are money matters not important?…Money matters are always important, which is why we put to together this financial workshop! Our Juniors Coordinator Cathy Collins, worked diligently to find presenters that would educate and engage our attendees on the financial aid process, as well as good money management habits.
We started our workshop hearing from Cheri Lindsay, Associate Director of Student Financial Services at Community College of Philadelphia. She went over important information on how students should prepare for college by starting the financial aid process. The Free Application For Federal Student Aid (FAFSA) is encouraged for all students intending on enrolling in a college or university full or part time. This application is used to determine your eligibility for federal grants and loans, as well as institutional grants and loans.
The FAFSA Application becomes available October 1st for the upcoming award year
Students who fall under Dependency Status will use their parents tax return information (there may be questions from 2 years prior returns)
The FAFSA application is FREE Studentaid.ed.gov
Websites like www.fastweb.com are a perfect resource for collegiate funding through scholarships and grants.
Schools will not only be evaluating your financial status, but they will be taking a look at what kind of student you’ve been academically. Your grades matter. And not often pointed out, your involvement within your community through extra curricular activities is also an area colleges like to see.
“Schools want students who are great. Will be great while they matriculate through their college program. And will continue on to do great things when they enter into the world.”
The second half of the workshop was carried out by Linwood R. Green III, Financial Analyst; Marquies Carter, Regional Account Manager; and Raevaugh Williams, Director of Admissions; all members of the Kappa Alpha Psi Philadelphia Alumni Chapter. They collaborated on what exactly it means to “manage your money.”
They started off with a surprising and alarming statistic that about 60% of American’s don’t have enough savings to cover $1000 in the event of an emergency. So how can YOU be prepared? One of the presenters emphasized the importance of having a separate savings account, with no debit card. This means opening a savings account outside of the checking and savings you may already have. If you are setup with direct deposit from your employer, you can assign a portion of your income to be directed into that account each pay period. Or deposit money through a bank teller.
No debit card = no easy access.
No connection to checking account = no easy transfer with “good intention to put the money back.”
No easy access = development of good saving habits.
Good saving habits = Likelihood of being prepared for emergencies/unexpected life events.
As young people, there are 3 major areas of healthy money habits to keep in mind: Priority, Savings, and Budget.
Priority - Assess your needs versus wants and be honest. What are financial short and long term goals?
Savings - Generating multiple streams of income. Earned income (your job) will be number one on your list; however, a hobby, or skill could be another source that brings in money and allows you to save. On-campus work-study programs are an option. If you’re one to think outside the box, Stocks can benefit both the beginner and the advanced investor.
Budget - Write down a list of your monthly financial responsibilities. Remember your assessment of needs vs wants…COMMIT TO LIVE WITHIN YOUR MEANS. Real Talk: “Just because you have the cash to pay for the Jordan’s or Red-Bottom’s today, doesn’t mean you should buy them. The moment you leave the store their value decreases. There’s a convenient food truck near class that you go to each morning, maybe now you’ll choose to go twice a month instead of every day.” Every dollar you spend adds up and your current priorities may not be the healthiest ones financially.
Our speakers mentioned some helpful money management Apps:
Robinhood App- investment app that is novice friendly
Acorns App - a recommended investing app for college students
What about Credit Cards? As soon as you graduate high school, your mailbox will be flooded with offers from every credit card there is. Shred it! Throw it out! When you go to your favorite store and the cashier tries to get you to sign up for their credit card with the promise of an extra % off, say “No Thanks!” Stay away from credit cards for as long as possible.
This was a brief recap from our workshop and we are excited that the presenters from the Kappa Alpha Psi Philadelphia Alumni Chapter welcomed the opportunity to return and facilitate another financial workshop in the new year. All of our presenters gave us so many helpful resources.