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First minimum wage hike goes into effect Wednesday

By WTOP Staff

U.S. Labor Secretary Tom Perez and Montgomery County Executive Isiah Leggett make guacamole Aug. 7 at Boloco BethesdaThe first of four minimum wage hikes in Montgomery County will go into effect on Wednesday.

In November 2013, the County Council passed a bill to raise the minimum wage to $11.50 per hour by October 2017 in a series of wage raises that would go into effect each October.

The first wage raise — from the state minimum $7.25 per hour to $8.40 per hour — will go into effect Wednesday. The minimum wage will increase to $9.55 per hour on Oct. 1, 2015, to $10.75 per hour on Oct. 1, 2016 and finally to $11.50 per hour in 2017.

To mark the occasion, County Executive Isiah Leggett, a number of councilmembers, minimum wage workers and a group of labor leaders will gather at the National Labor College in Silver Spring.

At the urging of Councilmember Marc Elrich, the county joined Prince George’s County and D.C., which passed the same minimum wage legislation.

“I believe that a higher minimum wage for Montgomery County is justified, given the higher cost of living in the County as compared to the rest of the State,” Leggett said in a prepared media release.

Leggett joined Gov. Martin O’Malley and U.S. Secretary of Labor Tom Perez last month at the Boloco burrito location in Bethesda to tout a higher national minimum wage. Earlier this year, O’Malley signed a bill to raise the minimum wage elsewhere in the state of Maryland to $10.10 by 2018.

The county says this year’s increase will mean about $2,400 in gross pay for those who now work 40-hour weeks at the minimum wage. Those likely to see the most benefit are food service workers, housekeepers and cashiers.

The law applies to work for all private sector employees with at least two employees working in Montgomery County.

According to an analysis done by the University of Maryland, there are 77,000 workers in the county who earn less than $12 an hour. The family “self-sufficiency standard” for one adult and one preschool-aged child in the county is $64,606.

The state’s Department of Labor, Licensing and Regulation will be responsible for enforcing the county’s minimum wage law. Those who wish to get more information or file a complaint about a violation of the law should contact the DLLR.

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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