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The Best Money Advice You’ve Ever Received

By U.S. News & World Report

You never know what advice, experience or life event will unlock the creative moment that inspires true greatness. There are many concepts and money issues you need to know about to be financially successful. It’s helpful if you get an opportunity to ask and learn from the best. Below three financial experts share the best money advice they ever received:

[See: 10 Costs to Include in Your Retirement Budget.]

Joe Saul-Sehy, a former financial advisor and co-host of the Stacking Benjamins podcast. “My best advice is also simple: That thing you’re afraid of is probably the first item on the list you should attack. In our gut, most of us know our weaknesses, but our magnificent brains are masters at talking us away from anything it perceives as difficult or challenging. For me, this was my estate plan. I wanted nothing to do with my estate, probably because it meant that I had to admit my own mortality. I experienced the most amazing high walking out of the attorney’s office once the plan was complete. I felt fantastic. I was shocked and happy and relieved all at the same time. When I was a financial advisor I saw this same scenario repeat with clients. If they were afraid of the budget, investing, insurance, calculating their retirement goal, figuring out the college plan, whatever, I’d recommend we stare down that fear and attack it first. If we strove to break through that barrier, my client then not only felt amazing afterward but breezed through the rest of their planning tasks. They became unstoppable.”

Sarah Fallaw, founder and president of Data Points. She is continuing the study of wealth in America that was started by her father, Thomas Stanley, the bestselling author of “The Millionaire Next Door” and “The Millionaire Mind”. Fallaw shared two concepts:

Work with sales professionals. “My dad taught me that when making a big purchase, work with professionals on either side of the deal. Once growing up, I remember him smiling and waving at the first eager salesman that greeted us in a car dealership, and then kindly asked for the sales manager to refer him to the top salesperson. It might seem counterintuitive, but his experience was that the top performer is usually focused on ensuring the buying experience was so good that he could count on that customer to refer friends, family, etc. I used this tactic when we found our realtor. After a couple of mediocre experiences, I called into one of the Atlanta offices and asked for their top performer for the previous year. (The receptionist thought I was a rival company trying to recruit.) We’ve referred her to our family and friends since working with her.”

[See: 10 Ways to Get Ready for Retirement After Age 50.]

Leave empty-handed. “From my husband, some honest but not-so-fun advice: ‘You can leave the store with nothing.’ It’s simple, harsh and true. I’m certain some of us feel we have a psychological contract with a store to buy something once you enter it. Or, maybe it’s that you had a goal, let’s say to find a dress for a wedding, and if you leave with nothing you’ll feel like you failed. Either way, remembering that phrase helps me walk away without buyer’s remorse.”

Michael Kitces, co-founder of the XY Planning Network and publisher of the financial planning industry blog Nerd’s Eye View. “We often hear about the power of compound interest, and starting to save early to let it grow over time. But the reality is that our biggest potential to grow wealth isn’t saving in a 401(k). It’s investing in ourselves and our own ability to work and earn more money. After all, the reality is that investing $2,000 into yourself to go through a course that gets you a $1,000 raise at work — pushing up your base salary for future raises as well — can be worth more than 20 times as much as that retirement account with decades of growth. What you pursue depends on what you do now. It might be a new certification in your chosen field, getting some training to break into a new career, learning a side hustle for some extra dollars or just a course on how to negotiate a better raise for yourself. So, while it’s great to start saving and investing early, and a 401(k) plan has some wonderful tax advantages, make sure you’re investing in yourself first.”

[See: 10 Ways to Repair Your Retirement Finances.]

All of these advice points are valuable and important. Each one of these ideas could be the catalyst that starts you on a new path of working through a personal financial stress, taking a counter-intuitive approach to making purchasing decisions or investing in your most valuable asset: yourself. No matter the inspiration, it is important to make sure you have a plan for your financial assets. Financial independence only seems elusive when you’re not working toward your long-term goals and dreams.

Brian Preston and Bo Hanson are fee-only financial planners who host the podcast, “The Money-Guy Show“.

More from U.S. News

How to Become a Millionaire by Retirement

How to Save for Retirement on Less Than $40,000 Per Year

Retirement Savings Tax Breaks for High Earners

The Best Money Advice You’ve Ever Received originally appeared on usnews.com

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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