2018 was an undeniable year for millennial interest in finance, financial planning, saving and budgeting. In fact in The Pinterest 100, Pinterest’s annual December list of the 100 trends for the coming year, they reported these search terms would continue to be of interest in 2019. They added to the list weekly savings planners, as they are “helping people cut corners, pay off debt and even save up for something nice,” and searches for “52-week savings plan” were up +295%. With so many looking for ways to save, budget and plan for the future, below are over ten tips from savings, loan and investment experts to help millennials set themselves up for success in 2019.
Sonia Lewis is the CEO of The Student Loan Doctor, a full-service coaching business that helps clients create a plan and understand how to pay off their student loan debt. Below she offers five ways millennials can reduce their debt in 2019 via student loans:
Work for a qualifying public service loan forgiveness employer.
Find an employer who is a qualified participant for the public service loan forgiveness program. If a graduate has a lot of student loan debt, strategically working within the public service field over a 10-year period can qualify the person to have the remaining balance of their student loan debt completely forgiven. Also, a person can change jobs over the ten years as long as the employer qualifies (501c3 status).
Select an income-driven repayment plan.
The Obama Administration left behind two income-driven repayment plans: PAYE and REPAYE. Both allow borrowers to repay their loans with a 10% calculation of their discretionary income. Utilizing these plans can save the borrower money on their monthly payment which can cause for a more significant opportunity to invest in other en[“source=forbes]deavors. Keep in mind on these plans the borrower should be mindful of accruing interest.
Nurses and teachers can receive additional loan forgiveness support.
Did you know that most teachers and nurses qualify for state-run loan forgiveness programs? For example, if the student loan debt was incurred in pursuit of a nursing degree, most states have funding to forgive the debt. Similarly, teachers have a special federal loan forgiveness program that can be used in conjunction with the public service loan forgiveness program.