Yes, college was always expected. My parents never really talked us through other options and I was a high-achieving student at a low-achieving school, so all my teachers expected it as well. I knew I wanted to go into healthcare or social work so it was always an assumption that I would get at least a master’s degree. I applied for a needs-based scholarship in middle school that got me through most of undergrad. It wasn’t enough for my final year but I was able to graduate early to offset the extra costs of a tuition raise. My parents paid for the rent and end of undergrad for me. Graduate school was extremely expensive. Therapy is a very high debt-burden-to-income ratio. I paid my first semester in cash and only took out loans for tuition. I worked almost full time during which is unusual for a professional program and was extremely stressful. I graduated with around $100,000 in debt and paid extensively during COVID-19 so I am almost done, but it is pretty frustrating to see reimbursement rates stagnant as debt burdens increase.
Growing up, what kind of conversations did you have about money? Did your parent(s)/guardian(s) educate you about finances?
My parents were incredibly frugal and I picked up on a lot of that. They gave us very small allowances (literally starting with three nickels but then increasing to six) and had us split it between give, save, and to have fun with. It was negligible to pay for much, but did get the point across for budgeting. We never talked about stocks or investing or the reality of taking on so much debt for school. My parents continue to be very frugal, but I think are sometimes unrealistic about how much potential things like longterm care could cost.
What was your first job and why did you get it?
My first job was nannying at 11 years old. I made $5 an hour to watch a five and six year old for 42 hours a week. It seems archaic now, but I had that job for several summers. At 16 years old, I worked as a server at a retirement home. I kept this job through the end of high school and during early college breaks. I got the jobs to pay for any extra curricular and social activities that I wanted to participate in. My friends were all more affluent and it felt like a necessity.
Did you worry about money growing up?
Yes. Money to me was freeing and my parents never gave us money for social activities. We always had the necessities and I never worried about food or housing. We were very lucky how present our parents were and both often worked part time to be with us, but we rarely had more than the necessities. I was the only upperclassmen on my school bus for example — the rest of my rural-ish community gave kids cars at 16 years old. My dad lost his job when I was in high school and my family was very stressed about it, but I didn’t know much about the realities of how that changed their finances.
Do you worry about money now?
Yes and no. Having gone to grad school I feel very behind in savings and investing as I didn’t start truly working beyond paying rent and food until 25 years old. My career is also pretty capped in pay, which is frustrating. I have a very supportive partner and a very in-demand job which helps with stability. I’ve also made significant progress in saving and paying down debt which increases my comfort level.
At what age did you become financially responsible for yourself and do you have a financial safety net?
At 22. My parents retired and I got kicked off their health insurance at that point, as well as losing any support for rent and schooling. I think they would likely help me if I needed it, but I would turn to my partner or sister first. I have a large extended family so I would always have somewhere to live.
Do you or have you ever received passive or inherited income? If yes, please explain.
Yes. My parents supported the end of undergrad and gave my sister and I each $5,000 when our grandmother died. This started my Roth IRA.