Archives For Brent Pittman

10 Free College Savings Calculators

Brent Pittman —  05/22/2013 — 11 Comments

Bag of college savings

We all want our children and grandchildren to be successful in life. Often this translates to a college degree, but a degree doesn’t ensure success or even a job these days.

Encourage your child to really understand the costs and benefits of a BA or BS. There are alternative to college to consider

How Much Does College Cost?

The cost of attending a traditional 4 year college is increasing every year, making saving for college a priority for many parents. [Don't forget to fund your retirement before funding your kid's college.]

Just how much does it cost to attend college? A lot! Use this handy college search tool to determine the cost of tuition, books, room & board for your school of choice.

I did a search for my alma mater Auburn University.

Cost of college: Auburn University 2012

You can also adjust the tab to your appropriate income level.

According to FinAid, the inflation rate for college tuition is double the general inflation rate of around 2%-4% of recent years.

Use this guide to determine how much you’ll need to earn on your college savings fund:

  • Conservative: 3%-5%
  • Moderate 5%-7%
  • Aggressive 7%-9%
  • Very Aggressive 9%-12%+

In order to keep up with inflation and the rising costs of college, you’ll need to at least be in the moderate earnings range to break even. If college inflation rates are 8% and you earn 8%, you’ve only broken even.

Paying  for college without scholarships, grants, and loans is difficult if not impossible.

[We'd need to save $277,553.00 for my son to attend in-state tuition+ room and board to my alma mater.--Are you kidding me?]

It is recommended for parents to save 1/3 of the costs, cash flow 1/3 of the costs, and fund the other 1/3 alternatively (student work, loans, scholarships, grants, –go to the  bottom for more ideas).

Use the calculators below to estimate how much you’ll need to save.

10 Free College Savings Calculators

If you’re trying to figure out how much to save for your kid’s college fund, look no further. These savings calculators will help guide you to saving for the college education for your children.

I’ll also rate the calculators with a maximum of 5 stars for 1) usability 2) graphics 3) functionally. Yes, this will be subjective.

1. The College Board has a handy calculator that allows you to adjust for several variables including how much % to save, earning %, inflation %.  3 Stars

2. FinAid has several savings calculators, but I found it hard to know which to use and they where just clunky, but the numbers seemed legit.  2 Stars

3. Saving for College offers their World’s Simplest College Cost Calculator   You only input your kids age and adjust the variables afterwards. Easy. 4 Stars

4. FINRA College Savings Calculator has basic input options, chart is difficult to understand and it doesn’t break down how much I need to save per month.  1 Star

5. Bankrate  Their College Calculator has easy input, gives me monthly savings goal–no graphs, but it does the job. 3 Stars

6. ING- College Funding Calculator I expected more fun from ING. It was fairly plain, but got the job done. 3 Stars

7. MSN Money College Savings Calculator  does a good job, color charts and graphs, and allows for tax rate 4 Stars

8. Vanguard- Of course they have great College Savings Planner. Interactive & colorful, can plan up to 5 kids, change variables, search for your school of choice and it will plug in the numbers automatically. When you finish, you can print out a report to save or print out. 5 Stars

9. T. Rowe Price has a College Investment Calculator I don’t like the fact that I have to figure out the year each child will enter college. I should be able to enter their current age instead. I’m also forced to choose one of their 529 plans before I’m given an amount. This tool isn’t about education, but about sales. 2 Stars

10. Charles Schwab- College Savings Calculator Easy to input, easy to understand, interactive, and gives an action plan with monthly savings goals. 4 Stars

What Now?

So if you’re like me, you’re flabbergasted by how much you’ll need to save for just 1 child’s college! If you’ve got several kids, plan on some of these other options.

  • I’m considering not sending my kids to college. I’m saving of course, but there are alternatives to college.
  • Your child can attend community college and transfer to a four year and cut their cost almost in half.
  • Pick a college that gives you a good bang for your buck. Check out the Best Values in Public Colleges from Kiplinger.
  • Work. Work. Work. Your child can work during the summers and during school to help offset the living costs during the school year.
  • Grants and Scholarship- Their senior year can be spent applying for grants and scholarships as a part time job.
  • 17 more ways to pay for college without loans.
  • Loans should be a last alternative and only taken out if all the above alternatives have been exhausted.
How are you dealing with paying for your children’s education?
Photo Credit 401K
In College Savings
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A Golden Nugget for High School Graduates

Brent Pittman —  05/13/2013 — 5 Comments

Gold Miner

Graduation. Celebration. Endless possibilites. New doors opening, old ones closing. I find myself trying to remember what it was like to have just graduated from high school and have your whole life ahead of you.

There is a lot about life and money that I’ve learned since high school gradation. In that light I will offer up a bit of advice for those 17-19 year olds entering into a new era of their lives.

Wisdom and Experience

In life there are two general ways to learn. Experience and wisdom. Experience is a tough teacher that often times includes bumps, heartaches, and empty wallets.

“Experience is a hard teacher because she gives the test first, the lesson afterwards.”-Vernon Sanders Law (Major League Pitcher)

Wisdom is the ability to learn a truth without having gone through an experience.

Having a good mix of wisdom and experience when it comes to financial matters will give both knowledge and motivation to stay on the right path.

Financial Wisdom for High School Graduates

1. Save- Pay cash for items. Save up or don’t buy it. These are great years to learn how to practice the art of savings. Start with an emergency fund to stay out of debt.

2. Work Hard- A bit of hustle can go a long way. You’ll find that if you work hard you’ll end up ahead of your peers that are smarter than you. Whether it is on a job or in the classroom (hopefully both), learn the value of hard work.

“Opportunity is missed by most people because it is dressed in overalls and looks like work.”- Thomas Edison

3. Solve Problems- Find the needs around you and solve them. If you solve others problems you’ll be rich in purpose and/or monetary gain. The marketplace will pay handsomely to those who solve our problems.

4. Create- With most activities in life you can either create or consume. Err to the side of creation and you’ll be a rich person. Why not start a blog to begin creating today?

5. Give- Giving of your time and money will keep humbleness near. Developing an early practice of giving will ensure you have the character needed to handle responsibility and riches.

“We make a living by what we get, we make a life by what we give.”-Winston Churchill

6. Avoid Debt- Fight tooth and nail to avoid debt. There is always another path besides debt, yes even college or med school.  The path to avoid debt is harder in the moment, but in the end you’re free and slave to no one.

  • College Debt- Going to college can pay off in the long run, but you can attain a degree without debt. Debt-Free U is a book that can show you how. Having a college degree won’t ensure a job or career that you’ll love.  There are alternatives to college and learning if you’re interested in why I’m not sending my son to college.  
  • Credit Card Debt- The average college graduate has $4,000 of college debt. You can make it through life without debt by learning how to budget.

“The rich rules over the poor, and the borrower is the slave of the lender.”-Proverbs 22:7 (ESV)

7. Find your own Path- Recent graduate, you’ll hear a lot of advice–even from me. Most of it is good, but you’ll have to decide for yourself. It is your life to live, not your parents, not your significant other, not society. Heed wisdom, but forge your own way.

8. Explore Your passions- The richest people are doing something they enjoy + meeting needs (#3 above) the needs of others. Find your passions, focus on your strengths and make a difference.

9. Start a Business- You are never too young to start a business. Learning how to sell, market, bookkeeping, etc will help you for the rest of your life. You might even start your dream job without needing to go to college. Did you know you can start a business for $100?

10. Improve your Character- Your character is more important than money. Oddly enough many people of character have wealth. Find ways to improve your character. Start with the Proverbs. There are 30 short chapters, so you could read 1 per day. No matter if you are religious or not, there is wisdom that will improve your character and finances.

11. Did I mention avoiding debt? I hear horror stories of how debt has ruined lives in my coaching practice. Please graduate, learn wisdom, avoid debt, and choose freedom.

What do you wish you would have known about finances when graduating high school? 

Photo Credit  dotpolka

In Career/Job Search, College Savings
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How My Freelancing Work Earned Me a 9-5 Cubicle

Brent Pittman —  05/01/2013 — 9 Comments
row of cubicles

I’m happily heading back to the land of cubicles. Credit mark sebastian

Today I accepted a verbal offer for a 9-5 position in the land of cubicles.

What?!

Yes, I’ll be kissing the freelancing life goodbye, but I won’t be giving up on this blog–in fact I believe my new career will help enhance this site.

What will I be doing? I’ve accepted a position with a large search publishing/advertising company’s Search Engine Optimization (SEO) department.

I’ll be building relationships and links (white hat and natural only) to help websites rank higher in Internet searches and thus have more eyeballs reading their articles and buying their products.

What? Why Would You Leave the Freelance Life?

I know it is all the rage to flee the cubes to graze in greener self employment pastures.

Why would I leave the self-employment life?

I love the freedom and flexibility self employment affords and especially the time that I’ve been able to spend with family.

I view this position as a natural next step to what I’ve been doing for the past few years.

How My Freelancing Work Earned Me a 9-5 Cubicle

For the past few years I’ve been on a quest to learn about blogging; both the back-end technical aspects and my visible content and writing ability.

Beyond creating OnTargetCoach, I’ve also taken on a staff writing position and an SEO contract gig

In a sense I’ve been preparing to take such a 9-5 position for years–I just didn’t realize it.

Remember when I quit my job and turned in my 2 weeks notice in 2011?

By leaving a job that was killing my creativity and following my freelancing dreams, it has lead me full circle back to a 9-5 job that I’m really looking forward to.

What I’m Looking Forward to by Returning to a Cube

9-5 gigs aren’t all that bad. He is what I’m looking forward to:

Live people- I’ve a good number of online friends, but I’ve never met any of them. I look forward to working with real people again an not just interacting with screen names. 
Nerds who “get me”- Technically I’ll be in the IT department, so I’m officially a nerd.

In my interview I threw around blogging and tech jargon and these guys didn’t blink an eye.  I didn’t have to apologize for geeking out like I have to a parties when I talk about blogging. They understood.

Paid to Learn, Paid to Help- I’ll be paid to learn the best practices of SEO and help my clients understand the weird world of internet search.

And Now Back to the News

I’ll keep everyone updated on how things progress with my new position. Until then get back to winning with your goals, relationships, and money.

Where are you career wise? Moving towards or away from cube life?

In Career/Job Search
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Life and Financial Wisdom for NFL Draft 2013 Members

Brent Pittman —  04/25/2013 — 1 Comment
Jr. League Football

NFL draftees have been dreaming about this day since they were young. Credit Amherst Patriots.

An Open Letter to the NFL Class of 2013:

You made it! Years of hard work, sweat, dedication, sacrifice, and determination has put you where you’ve dreamed about being since you were little boy playing backyard football–a member of the NFL.

You are now part of an elite club of super athletes that garners the attention, admiration, and money of the world.

Children and old men alike will up to you for hope, entertainment, and inspiration. You are now a modern day gladiator whose every decision on an off the field will be scrutinized under a microscope.

This is a pressure cooker that requires not only character and skill, but wisdom to handle your new NFL career.

A Bit of Life Wisdom for NFL Class of 2013

If any of the 255 members of NFL class of 2013 read this I’ll be shocked, but if you are reading I believe this advice could help you along the way.

1. You Are a Role Model- Don’t become confused along the way as your once common place name becomes a household name.

Don’t say that you didn’t ask to be role model as an excuse to make poor decisions.

In reality you’ve been a role model for years as you’ve lead your team(s) to championships and victories.

You ARE a role model for young and old alike–especially for those whose city you now wear on the back of your jersey.

2. Be a Real Man- You are one of the fastest and strongest guys in the world. But are you a real man?

A real man respects others: teammates, women, and even opponents. A real man respects himself and avoids addictive behavior.

A real man has faith that is deeply personal and attractive to others.

A real man admits his mistakes and asks for help when he’s headed in the wrong direction.

3. Give More Than You Take- This might be common place for many of you draftees, but for others you’ve been struggling for so long that you’ve lost the art of giving.

Give.

Give to the community. Give to your teammates. Give to the world.

Give not only your money, but your time, energy, and emotions to causes bigger than yourself.

4. Marry Well- Find a woman who doesn’t just want you for money or fame. Find a wife who will inspire you to be a better man.

This decision on whom to marry is the second biggest decision of your life. Don’t take it lightly.

Financial Wisdom for NFL Draftees

Not only do you get to play a sport you love, but you are paid–and paid well. It’s a bit like winning the lottery.

This financial incentive comes with its own set of rewards and responsibility–a lesson that 78% of your NFL predecessors have failed at learning.

Below are 8 nuggets of financial wisdom that would make this incoming NFL class the most financially successful class to date.

1. Save Your Signing Bonus- Yes, I said save. Don’t touch it. If you need to take a small amount to live off of until you receive your first check, then do that–but save the rest.

This signing bonus isn’t mad money to blow. It is your beginning retirement fund.

2. Retirement is one Tackle Away- The average NFL career last between 3-6 years depending on whose stats you use. This ride won’t last forever, so financially plan on this.

Make a plan early in your career on what you’ll do after the NFL and how you’ll fund that dream.

3. Make a Budget- This might seem silly since you’re making more money than you ever dreamed, but a budget will help you reach your goals–you’ll just have more 0′s on the end of your numbers than the average joe.

4. Learn How Money Works- Chances are you’re like most Americans haven’t a clue how money works. Take a class on finances like FPU, read books about finances, and learn for yourself.

5. Find a Financial Mentor- You need someone to give it to you straight. Someone who won’t stand to profit from your financial investments. I’d use someone like Chis Hogan if I had the chance.

6. Handle Your Business- Know what is happening with your money. Don’t trust some family member selling insurance for advice, nor trust your brother in law to handle your assets.

Have a monthly profit and loss statement that is reviewed by yourself, along with your tax professional and other trusted financial advisors.

7. Run Away From Schemers and Fast Money- You are now on the hit list for scammers, financial quacks, and people with ideas on how to make fast money.

Chances are if someone approaches you with an investment idea–they are scam artists or mislead at best. Seek out your own financial advisors and shut those out who seek you first.

8. Avoid Debt- This is true for all of us, but you now have the ability to qualify for Jumbo Home Loans which could lead to serious problems if your career ends. Flee from debt and investments that enslave you to debt.

Final Thoughts to the NFL Class of 2013

I hope at least 1 of the 255 draftees find this, or maybe one of their relatives. These pearls of wisdom will help ensure that your years of hard work won’t end up in bankruptcy and heartache.

If you’re not one of the 255 ESPN NFL Draft picks, what advice do you have for future NFL players? 

In News
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Does Money Stress You Out?

Brent Pittman —  04/23/2013 — 11 Comments
Feet at the ocean

Can you live stress free?

Stress is a part of our everyday lives. Stress causes us to react out of fear to preserve our lives. We don’t have sabertooth tigers chasing us anymore, but the stress mechanism remains.

Long term stress can cause serious health problems: heart disease, sleep problems, digestive problems, depression, obesity, memory impairment, and I’m sure others that haven’t been discovered yet.

If you’re like me, money has be one the top stressors in my life. I’ve learned to reduce financial stress and hope I can help reduce yours too.

Causes of Financial Stress

1) Lack of Income- Not having enough income is frustrating. Being laid off or not able to find a job that pays the bills is frustrating. I’ve been there.

Finding a part-time job while you are searching for full time employment might be a short term solution. Ultimately you’ll need to find something you love doing that pays the bills. These books have helped me with career questions and finding work I love: No More Dreaded Mondays and The $100 Startup.

2) Debt- Debt weighs you down and causes stress, especially when bills keep coming in. Bill collectors only add to your stress level.

Find a plan to deal with your debt will reduce your stress. I’ve seen it happen with friends and clients.

3) Wind in the air budgeting- Determining the wind direction with a wet finger isn’t an accurate method, yet many budget their money with this method. Ditch the best guess method and learn how to budget like a pro.

4) “It’s all up to me.” mentality- Believing that your financial future is all up to you can cause stress. Don’t get me wrong I am a strong advocate of personal responsibility and hard work–I do however recognize there is a spiritual aspect to money and life.

I’ve found that trusting God with my finances and the future has relieved much stress in my life. This is a daily practice and a perspective I have to remind myself of when I feel stress creeping in.

Dealing With Stress

The effects of stress are not enjoyable and our relationships will suffer. Coping with stress and stress management are short term solutions At some point you’ll need to deal with the root causes of stress.

If you need financial help, consult an counselor and/or clergy member to discuss the root causes and find solutions. If I can help, contact me directly with your questions.

Let’s reduce our financial stress and move towards financial peace.

Dealing With Stress

Photo Credit programwitch

Does money stress you out? How do you deal with these financial pressures? 

Photo Credit HRC

In Personal Finance
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