Financial aid award letters are confusing primarily because colleges like it that way. It’s in a school’s interest to confuse families so they think an award letter is more generous than it really is. This award letter from the University of Arizona illustrates just how misleading these letters can be: Figure 1: Example of an Unclear Financial Aid Award Source: Lynn O’Shaughnessy It’s easy to see how the recipient of this award might have thought that his first year of colleg
It’s not easy to contemplate your own mortality, but a good estate plan can provide for your heirs, protect your assets, and promote family harmony once you’re gone. Estate planning is complex and because it involves facing your own mortality, it can be difficult subject to address. While you most likely have a will, this simple document may not be sufficient to manage your estate and efficiently pass on assets to your heirs. Even if you have an estate plan that you’re confid
Rational investors make better decisions—or so the thinking goes. However, new studies show that rational thought and emotions are both necessary to cut through the details, focus on what’s important, and get on with the decision that needs to be made. The science of economics has long been based on the assumption that people act rationally when making financial decisions. Money and math require cognitive thinking, so it’s presumed that rational thinking is what people use wh
One reason to have insurance of any kind is to protect against potentially high out-of-pocket costs associated with events that may or may not happen. From the insurer’s perspective, the lower the likelihood of a dreaded event happening, such as a house fire, the less the insurance will cost. Each payout may be high, but since there won’t be very many of them, insurers can charge lots of people low premiums and still make a profit. Homeowners don’t mind paying on a policy tha
Parents may assume they earn too much to qualify for financial aid.
However, there are a number of strategies that even wealthy families can employ to cut expenses. While it’s no surprise that parents stress about how they’re going to pay for college, you may be shocked at those who are arguably the biggest worriers. Usually, the people who are most proactive in seeking ways to cut college costs are affluent and wealthy parents.
The good news is that simple yet effective st
You are not the only one who needs to be on guard about their personal data safety. Minor children are 35 times more likely than adults to suffer ID theft. Here’s what parents need to know. The latest target of identity thieves is not you, but rather your children. With little to no financial history, minors make an unsuspecting and easily exploited target. According to a Child Identity Fraud Survey conducted by Javelin Strategy and Research, one in 40 households has had one