FAFSA Timing: Complete as soon as possible after October 1st before college attendance to maximize financial aid.
Desirable Financial Aid: Grants and scholarships are most desirable as they don't require repayment.
Subsidized Federal Loan: Government pays the interest while student is in school (at least half-time), during grace period, and deferment.
Net Price of College Tuition: Actual cost after scholarships, grants, and aid are subtracted from the sticker price.
Avoiding Colleges Based on Price: Don't rule out colleges solely on price; financial aid can significantly reduce the actual cost.
FAFSA Frequency: Must be filled out every academic year for continued financial aid eligibility.
Free Money: Grants and scholarships don't have to be repaid.
Credit Cards
Disadvantages of Credit Cards: High-interest rates, debt accumulation, and negative impact on credit score if misused.
Paying Bills in Full & On Time: Avoids interest, builds positive credit history, and improves credit score.
Best Practices of Managing Your Credit Card: Pay on time, keep balances low, don't open too many cards at once, and monitor your account regularly.
Credit Score & Report
Advantages of a Good Credit Score: Lower interest rates, better loan approval chances, and higher credit limits.
Credit Report vs. Credit Score: A detailed record of credit history; a number summarizing creditworthiness.
Loans
Principal of a Loan: The original amount borrowed, excluding interest.
Qualities of a Good Auto Loan: Low-interest rate, short loan term, no prepayment penalties, and manageable monthly payments.
Investing & Retirement
Saving for Retirement as Investing: Putting money into accounts or assets that are expected to grow over time.
Diversification: Spreading investments across various assets to reduce risk.
Average Yearly Stock Market Growth: Roughly 7-10% annually since the early 1900s, accounting for inflation.
Professionally Managed Investment Example: A mutual fund, which pools money from investors and is managed by a professional fund manager.
Diverse Investment Plan: A mutual fund or index fund is often considered diverse.
Calculating Profits from Investments:Profit=SellingPrice−PurchasePrice
Risky Investments Age: Making "risky" investments is more advantageous in your early 20s due to more time to recover from potential losses.
Investing Risk vs. Savings: Investments can lose value, while savings (especially in a bank account) are generally safe and stable.
Risk Tolerance Qualities: Your ability and willingness to handle losses in your investments, based on your age, income, goals, and comfort with uncertainty.
Managing Risks in Investing:
Diversification (spreading money across different investments)
Research & Time Horizon (knowing what you're investing in and investing for the long-term)
Biggest Mistake New Investors Tend to Make: Investing based on emotions (like fear or greed) rather than doing research or having a long-term plan.
Budgeting
50/30/20 Rule: 50% of income to needs, 30% to wants, and 20% to savings or debt repayment.
Wants vs. Needs: Needs are essential expenses (food, housing), wants are non-essential (entertainment, dining out).
Rent and 50/30/20 Rule: Rent should fall under the 50% category (needs) of the 50/30/20 budgeting rule.
Paying Yourself First: Setting aside money for savings before spending on other expenses.
Banking
Fees for Out-of-Network ATM Use: Extra charges when using an ATM not belonging to your bank's network.
Consequences of Overdrawn Bank Account: Overdraft fees, negative account balances, and potentially lowered credit scores.
Career & Job Applications
Company Culture: Shared values, beliefs, and practices of employees and leadership.
Company Culture Examples at McAuley: School traditions, dress code, teacher-student relationships, shared values like service or faith, and student/staff interactions.
IPO (Initial Public Offering): The first time a company sells its stock to the public to raise capital.
Resume: A formal document summarizing work experience, education, skills, and accomplishments.
General Rule for Resume Writing: Keep it clear, concise, and focused on relevant experience; usually one page for students or entry-level applicants.
Cover Letter: A letter sent with a resume explaining why you're a good fit and showing interest in the position.
Networking: Building relationships for opportunities or career advancement.
Good Online Networking Tool: LinkedIn, a platform for connecting with professionals, finding jobs, and building a career network.
Soft Skill: Personal qualities that help you work well with others, like communication, teamwork, and problem-solving.
Technical/Hard Skill: Specific, teachable abilities like using software, coding, typing, or operating machinery.
General/Soft Skill: Broad skills like leadership, communication, and time management that apply to many jobs.
Interview: A formal meeting where a candidate answers questions to determine fit for job.
Best Strategy to Handle Multiple Job Offers: Compare offers, ask for time to decide, and communicate honestly and professionally.
3 Main Elements of Applying for a Job: Resume, Cover letter, Job application/online form.
After Interview Etiquette: Send a thank-you note or email, reflect on the interview, and follow up respectfully if you don't hear back in a reasonable time.
Stocks
Ticker Symbol: A short abbreviation uniquely identifying publicly traded shares on a stock exchange.
Student Loans
Student Loans Forgiveness: Working in public service jobs, teaching in certain areas, or applying for federal forgiveness programs like Public Service Loan Forgiveness (PSLF).