Tag Archives: College Funding

April 2022 Financial Planning and Capital Market Review – By John Kvale CFA, CFP

Hello and Welcome to our April 2022 … Financial Planning and Capital Market Update!

If you are too busy to read, feel free to listen as we describe our post and thoughts in friendly podcast audio format as well as Video!

Newbies –

We like to articulate our thoughts and review on a Monthly basis our Financial Planning Tips, Capital Markets thoughts and current events!

Hope you enjoy!

April 2022 Video

YouTube

Financial Planning Tip(s)

Back to Basics Series – Educational Funding

In our continued fun “Back To Basics” Series here we discuss Educational Funding…

Here is one very important item to remember from the post:

Did you notice we put Retirement Planning BEFORE Education planning? Do you recall in Part 3 in Debt Planning we said one of the few good debts are educational related debts ….We of course are not advocating Student debt/loans… but they are available in abundance and again not a bad debt. There are not retirement planning loans…. just saying!

Proxy Vote Reminder

In this post we remind you to please reach out if you have fallen off the list for us to proxy vote for you!

If you are getting those pesky Proxy Notices (some can be small books- oh the trees that are destroyed- digressing) reach out to us, we not only vote the Proxies for you, but we get one single notice for everyone, and Jen has done an excellent job in getting a great deal of those electronically…. Did we say how Green this is?

Capital Market Comments

The Slowdown is Here

We first started speaking of the slowdown in our Q 1 2022 Newsletter here in our “Anatomy of a Slowdown” main aricle actually released in December of 2021….

And then again, here in our Q 2 2022 Newsletter ….

Then again here, here, here, here, and again here.… among a few other times…

Last week the BEA “Officially Released” a negative GDP print as noted here in our post and in this chart….

Never get the timing exactly, but we are not surprised and have been waiving the flag here in our talks and are prepared!

Have a Great Day, Talk to You at the End of May!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.

A Dallas Texas based fee only

Financial Planning Total Wealth

Management firm.

jkfinancialinc

street-cents

Student Loans, History, Growth, and Interesting Facts….

With College Funding coming in at # 2, just behind retirement planning, as the most important Financial Planning topic … we watch the various statistics, public commentary and rules for trends, advanced planning techniques and rule changes that may be positive or negative in the coming years.

The History of Student Loans

The Federal Government began guaranteeing student loans in 1965. Here is our best found article on the complete history.

As a hot topic for any presidential administration, various laws have been passed since 1965, in most cases enhancing the ability for students/parents to obtain loans. Unfortunately, tuition costs have risen at a dramatic rate as well … a possible topic for another time.

Total Student Loan Statistics

The following chart from our friends at the St Louis Fed (FRED) shows the much spoken about total bulging student debt … often times called a crisis… yes, it is a large number and growing, but before you take a stance, we have more for you…

In our minds, student debt is one of the most acceptable debts from a Financial Planning perspective … yes we would prefer NOT to have any, and planning in advance helps this fact, but there are always situations where it is just not possible. Loans for higher education gives many the best opportunity for longevity of happiness in a career they may not otherwise had access…

Parents we would argue not sacrifice retirement for college funding, but we know there are many strong feelings on this topic…

Total Student Debt

9-10-19 Total Student Loan Debt

Total Burden Per Person By State

This chart from our friends at HowMuch.com started the wheels turning for this article…. and is a per person debt load in each of the 50 states.

9-10-19 america_student_debt_by_state-40fe

An Interesting and Important Statistical Chart

Student Debt is large, and clearly growing, however, much to our surprise, the growth rate of student debt has slowed dramatically in recent years….

9-10-19 Student Loan % change yr over yr

This chart is the percentage change year over year in student loans, note the super high mid teens growth during the great recession … not a surprise given the lack of job opportunities at the time.

Happily the growth rate has steadily declined post great recession.

Have a Great “Student Debt Update” Day!

John A. Kvale CFA, CFP

Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth
Management firm.
jkfinancialinc
street-cents