How are you all paying for school? Originally, I only applied to (waitlisted) ADN programs, which we can afford out of pocket. Recently I applied to a state U BSN program and didn't think about paying for it. Now I am thinking! I am already middle aged, not just starting my adult life. I will probably only work for 10 years after NS. We already have a mortgage, a 2nd, some expensive "toys," our older children's school debt and still have two more kids coming up. There will be no college money for them!
I did my FAFSA and don't qualify for any kind of grants. It seems that they look at what you have coming in, not what you have going out! On paper, I guess it looks like plenty of money, but we live as hand to mouth as we did 20 years ago - it is just a bigger mouth and a bigger hand!! We don't have any real security and live in an expensive part of the country. With me not working for the next 3 years, and the economy the way it is I am so hesitant to take on more debt. Does the BSN really make that much difference to balance the expense of obtaining it for only a decade of working? Will the investment pay off?
What sort of scholarships do you apply for? Any ideas?
You might want to look at your assumptions concerning the use of a 401K...
There is a clause that allows you to use 401k monies for training for a *new* career without penalties. I am not a tax lawyer... verify this on your own!!! :)
1) How long will it take you to pay back the interest on all the school loans vs. earn the monies that you would use to go to school?
2) What do you think the return on your 4.01k investments will be vs. the inflation rate (especially in today's markets!)?
I'm going to use my 401K and not pick up any more debt if I can possibly help it.
under no circumstances, ever, should you borrow from your 401k. forget it exists.
I agree with you for the most part, but not completely. I believe that there are circumstances that require you to utilize your 401(k), if it is raid the 401(k) or lose the house, I would opt to raid the 401(k) and have known people in that exact situation and have done that exact thing. Believe me no one really wants to raid the 401(k) but if it is a matter of a roof over yours and your kids heads or getting forclosed on, then raiding the 401(k) maybe the solution in which people need.
i understand what you are saying but thankfully your dire example is not appropriate in this situation. for the OP's circumstances she should just forget about the 401k. she will pay a penalty when she withdraws, then another one at her nominal tax rate, plus having to repay it.
I read your original post and thought many of the the things you have already heard............mainly get your finances under control. Your post just read that way, and had that tone. So try not to feel offended. It sounds like you are doing ok and simply need to make a few sacrifices.
The question I had to ask myself wat did I want, and what was I willing to do to get it.
less than one year ago I quit my job to stay at home and take care of the kids, and went back to school. We were 3 months behind on our mortgage, and all our utilities were in disconnect. Our expenses exceeded our income by about $250. I made some sweeping changes in our families life to save money, and the only monthly luxury I kept was cable tv. That was in May '07. I borrowed money to go to school, as well as paid for some things out of pocket. Since then I have taken 38 credits (it will be 55 at the end of spring) put a new transmission in my truck, bought 2 new wadrobes for all three kids (winter/summer and mostly used clothes) And spent a bucnh of $ on other things as well, It can be done.
I decided to get a bsn because I plan on going to grad school, I will be done with that program before I would even start the ADN program here in Phoenix. I am not going to return to work for 4 more years so I figured why not.
You have a valid question that many of us non-trad students must answer, only you have to live with it so make sure it is the right answer for you. Good luck!
i understand what you are saying but thankfully your dire example is not appropriate in this situation. for the OP's circumstances she should just forget about the 401k. she will pay a penalty when she withdraws, then another one at her nominal tax rate, plus having to repay it.
O.K., then what if you are 1 semester away from graduating with your degree, you have no financial aid left, and for whatever reason, you are unable to take out a student loan. At that point I would seriously consider raiding my 401(k), if it is a decision between graduating with my degree and letting all the hard work I have done go down the tubes b/c I didn't have enough money to finish, I would go after the 401(k).
I returned to school after working almost 21 years in a job and I know it is super scary. Wondering how you are going to pay for school, and pay for everything else. I also have a teenager who will be going to college in a couple of years. We have a mortgage as well, and of course living in the same area... the cost of living. ughh. I put some money aside in a 529, but that isn't going to last the whole time. One good thing about the program I am in they say it is 3 years, but it actuatlly is 2 and a couple of months. (We are lucky to be accelerated but it only is accelerated by 10 weeks. We will be attending school 1 summer) We have conversed before and so I know you are applying to the same school, and I can give you a breakdown of costs. Tuition is running about 1100 a quarter and you are looking at 3 quarters a year. If you are accelerated you may be looking at one year having a summer quarter as well. Books for the first quarter were steep adding up to about 1000 but the quarters following are about 300. As for difference in pay, well in our area they tell us that BSN and ADN are both RN's and that if you are looking to go on to graduate school or nursing then BSN is the way to go, but if you are not then it doesn't make all that much difference. I really like my school, but honestly couldn't imagine myself working at the same time. There is just so much work, reading, tests and careplans. The first quarter I actually did have free time, but now that we have clinicals it would be just too crazy. Now having said that there are several fellow students who are working (there are even some working full time.) I do not know how they do it. More power to them. Also some of my classmates work at the local hospital which is paying for their employees to go to nursing school. You may want to look into some option like that. I hope you get into the program you want and that will work for you and your family. Good luck and best wishes. Regards, Jean
I returned to school after working almost 21 years in a job and I know it is super scary. Wondering how you are going to pay for school, and pay for everything else. I also have a teenager who will be going to college in a couple of years.
Thanks, Jean. Your posts are always so centering, compassionate and encouraging. You are 100% right - it is about being scared and insecure. The money is just one facet, but truly, it represents more than just finances, it represents the changes in life/lifestyle and sense of (in)security. Definitely, you know the jumping ship feeling I am facing about walking away from one life (not just a job, or even a career, but truly, an identity) to take on something new. Really, it is a whole new identity, not just a job. The sense of insecurity in starting over at this place in my life is huge. Our professions are so much about who we are as people and how we see ourselves, and how others see us. So even if we are pulling out our own rug out, it is scary. Especially when we have had a comfortable life-time of doing something else. I hear ya!
It is super hard with kids, too. So expensive - on so many levels! School, braces, clothes, whatever, but also emotionally expensive and so time intensive! We have 5 children and though 3 are out in the world, we still do a lot to support them as they are getting their careers and educations on track, and have a teenager and a little guy at home. You know how as a parent, kids come first. That is the part that gets me. Will our younger kids get what our older kids got? There is guilt there ... and worry. I want the best for everyone, and opportunities. Granted, it was our (very deliberate!) choice to have a big family, but I wouldn't change a bit and consider us blessed beyond belief. It is just my family has to be part of the equation, and I am not going to go to nursing school and work outside, because I have children who need me and I am not willing to sacrifice that! And I want to be with them, for them. NS and study will be enough. Not to mention aging and terminally ill parents who also need time, attention and care. I am not 20-something and footloose - I have tremendous ongoing responsibilities to the people in my life. And I would like to get through this with my marriage intact, thank you very much! Frankly, my relationships with the people I love takes precedence over everything.
It is just a double whammy to already be dealing with the loss of my income AND the increased expenses of school. Either of which on its own is hard!
Thanks again, it helps to feel someone understands. It helps too, to know it can be done. You are an inspiration.
I went back at 46 and I borrowed the money through staffords without a qualm. Nursing is one of those careers that you can easily find loan repayment programs after you get hired.
I wouldn't assume that you won't work 20 years after graduation. Do what you love and the money follows....
mcbismark
150 Posts
You might want to look at your assumptions concerning the use of a 401K...
There is a clause that allows you to use 401k monies for training for a *new* career without penalties. I am not a tax lawyer... verify this on your own!!! :)
1) How long will it take you to pay back the interest on all the school loans vs. earn the monies that you would use to go to school?
2) What do you think the return on your 4.01k investments will be vs. the inflation rate (especially in today's markets!)?
I'm going to use my 401K and not pick up any more debt if I can possibly help it.
Mark