I was reading yet another article on the impact of student loans on Millenniums.  They had been listening to their parents who were working off the assumptions that had helped them make their place in the world. But apparently the world had changed, and those assumptions and recommendations were of a poor quality.

College costs have spiraled out of control for several decades, well above inflation. Talking to those who are tied to the educational system, and so they have direct knowledge, feel that Colleges and Universities have not been good stewards of the monies given to them. Waste and bloat course through their systems without any concerns about reigning in costs.  Hard to imagine Business Schools not being run like a business, but it has been happening.

So the costs of colleges have been outpacing inflation for years, so who the hell ever said student loan debt is “good debt”?  Especially in today economic environment.    Think return on investment.

So it’s time to kill the idea that student-loan debt is always “good debt,” or to admit that buying a house is always the right move, and to refashion these old expectations. It’s time for a new playbook.

Investing in yourself is important, but it’s possible to invest too much.  I have a client with enough credits for a Bachelor and a Master’s degree, but they are so spread out and dispersed with their credits so did not even qualify for an Associate’s Degree.  I explained my thoughts on the goal of college.  Is to get out with the piece of paper.  Not to chase knowledge.  Chasing knowledge is the purpose of life.

It’s important to consider your potential career path as well as your debt repayment strategy.  Community College or a cheaper alternative for the first two years is in my mind the way to start; then transfer to the school of choice and walk out with their degree.  It doesn’t matter where you took your electives or your basic courses.  The goal of College again is to get out with the piece of paper and get out of school.

Sometimes your parents are correct and others not so much.  Weigh all of your options.  My kids tell me when they thin I am out of touch, and sometimes they are correct… but mostly not…

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