Cal State Long Beach

Shay takes center stage at Cal State Long Beach

Yesterday, I had the privilege of presenting “I Don’t Have Money to Save” … and 5 Other Myths About Money to a great group of students at Cal State Long Beach. We talked, we laughed, we cried …. well, no one cried, but we had some emotional moments. Lol

Shay reads from "10 Things College Students Need to Know About Money" during her presentation at Cal State Long Beach.

Here are some of the comments from the evaluation:

Love your attitude!
It was awesome!
I need to get a credit union.

I’m glad the students got some good things from the presentation and I look forward to speaking at Cal State Long Beach again soon.

Shay Olivarria is the most dynamic financial education speaker working today. She has written three books on personal finance, contributes to multiple online media platforms, and is a foster care alumni. She’s been quoted on Bankrate.com, FoxBusiness.com, and The Credit Union Times, among others. Visit www.BiggerThanYourBlock.com to find out more about her work.

Tips for Parents with Adult Children at Home

FOR IMMEDIATE RELEASE
Date: September 12, 2011
Contact: Paul Golden 303-224-3514, pdg@nefe.org

WOULD-BE EMPTY NESTERS GRAPPLE WITH ADULT CHILD AT HOME
Tips for Parents with Adult Children at Home

DENVER—As parents of college-age children across the country settle into the reality of their empty nests, many other Americans are waiting for the day when their kids will fly the coop. According to an online poll commissioned by the National Endowment for Financial Education® (NEFE®) and conducted by Harris Interactive in May 2011, 40 percent of U.S. adults ages 18 to 39 who are not students live at home with their parents, or have in the recent past. Although this provides a welcome reprieve for adult children facing heightened financial pressures, it can be detrimental to their parents’ personal and financial lives.
The NEFE poll found that among parents with adult children living at home:

* 30 percent have given up privacy
*
26 percent have taken on debt
*
13 percent have delayed plans for a major life event, such as getting married, taking a vacation or buying a home
*
7 percent have delayed retirement

“What’s worrisome is that many parents are sacrificing their long-term financial health to help their adult kids,” says Patricia Seaman, senior director with NEFE. “We encourage parents to find ways to help their children become financially independent without threatening their own financial stability or putting strain on the family dynamic,” says Seaman.
Down Economy Makes It Tough to Say “No”
Parents have a natural instinct to take care of their children, and this tendency increasingly has been tapped during the lingering recession. The NEFE poll found that among parents who have provided financial assistance to their adult children, 37 percent say they have struggled in the past and do not want their children to struggle in the same way. This is especially true given the current economic climate, in which 32 percent of parents think the financial pressures faced by their children are more difficult than the pressures they faced when they left home.

Yvonne Schlueter of Centennial, Colo., agrees. “People who are getting laid off, with five or six years experience, are willing to take the entry-level jobs,” says Schlueter, whose son, Brett, has been living at home for the past two years while looking for a job in his field. “Even if you get a job, it doesn’t mean it’s there to stay. My husband and I used to worry about doing a good job, but we didn’t have to wonder whether our company would be downsized or merged with another.”

While the national unemployment rate lingered at 9.1 percent in August, it hovered at a much higher level for young people—24.7 percent for Americans ages 16 to 19; 14.5 percent for those ages 20 to 24; and 10.2 percent for those ages 25 to 29, according to the Bureau of Labor Statistics. This has left many job-seeking children returning to homes in which parents already are struggling with their own financial responsibilities, such as Schlueter and her recently disabled husband, who also support Brett’s two siblings in college.

“This is when parents need to walk the line between the obligations they feel toward their child and their own financial needs,” says Seaman. “Regardless of whether your adult child is unemployed, taking a semester off college or struggling through a significant life event, it’s important to think logically about the situation.”
Establish a Plan (and Stick to It)

1.
Understand where your child is coming from. Ask your child why he or she thinks living at home will help him or her toward specific financial goals. Discuss how long he or she plans to live with you, and whether he or she can contribute financially.

2. Assess your current financial situation. If moving your adult child back home means cutting into retirement savings or delaying other financial goals, reconsider how you might help. Offer to watch grandchildren or pets while your child interviews for jobs or works extra shifts. Introduce your son or daughter to professional connections that could lead to job prospects.

3. Establish ground rules for living under the same roof. Before your child moves in, decide on a move-out date and set guidelines for maintaining privacy and mutual respect. You might consider drawing up a contract, which will show your child you’re serious.

4. Require your child to contribute, financially or otherwise. Consider charging a small amount of rent or at least having your child help around the house. The Schlueters don’t charge Brett for rent or food, but they expect him to fix things around the house, which has saved them money during the past couple years.

5. Help your child toward financial independence. Discuss steps your child will take toward getting out on his or her own. Make them specific, and attach deadlines. For example, Brett applies for three to five career-related positions a week, but if he isn’t hired by January 2012, he plans to enroll in graduate school.

6. Regularly discuss your child’s progress. Celebrate your child’s accomplishments but hold him or her to his or her end of the deal, whether that includes job-seeking goals, responsibilities around the house or a move-out date.

7. Once your child has left the house, remember the big picture. Evaluate what you and your son or daughter have learned from the experience, and review your child’s plans for maintaining his or her financial independence.

For more tips, visit http://www.smartaboutmoney.org.

About the National Endowment for Financial Education (NEFE)
NEFE is an independent nonprofit organization committed to inspiring empowered financial decision making for individuals and families through every stage of life. For more information, visit http://www.nefe.org.

Survey Methodology
This survey was conducted online within the U.S. by Harris Interactive on behalf of NEFE from May 10-12, 2011, among 683 adults ages 18-39 who are not students, and 391 parents of children ages 18-39 who are not students. This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated. For complete survey methodology (including weighting variables) click here.

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Right to Work?

Do Americans have a "right" to work?

The Associated Press ran a story about some Longshorement in Washington that I thought was interesting. Apparently, about 500 Longshoremen “stormed” a Port that they feel they have a right to work at, “The International Longshore and Warehouse Union believes it has the right to work at the facility, but the company has hired a contractor that’s staffing a workforce of other union laborers”.

Um … what?

The beauty of business in America is that no one forces anyone to do business with anyone else. That goes for employees as well. These folks broke in and destroyed property. I wouldn’t be excited about bringing them back to work for me. What do you think? Do workers have a right to work? Should workers be able to try and force employers to hire them?

What do you think?

Shay Olivarria is the most dynamic financial education speaker working today. She has written three books on personal finance, contributes to multiple online media platforms, and is a foster care alumni. She’s been quoted on Bankrate.com, FoxBusiness.com, and The Credit Union Times, among others. Visit http://www.BiggerThanYourBlock.com to find out more about her work.

Join the discussion

Congrats to the Penny Pincher!

Five foot four guard Eric Valentin gets scholarship.

Yahoo! had a great story on hard work and financial education today. This five foot four inch guy, Eric Valentin, transfers from a community college to a university, walks on to the basketball team, and earns a scholarship. THEN he says he’s not going to frivolously spend the money but instead he’s going to use it to pay off student loans.

Valentin’s job this summer was a paid internship for the United States Department of Agriculture. Instead of using that money to pay for books and out-of-state tuition for his senior year, Valentin says he’ll save it or use it to pay off previous student loans.

“I’m a big coupon guy, penny pincher,” he said. “I’ve always appreciated the free food we get on the road and I’m going to try not to change. I’m going to try not to go on any shopping sprees and buy a bunch of shoes. I’m a big saver so I’m sure that’s going to get saved away.”

I was in Watts yesterday working with the summer interns at a Yo! Program and I wish I would have seen this before then. This student is making some really good moves:

#1 He understands that if he wants to get what he wants he has to gave a goal.
#2 He knows that wanting something isn’t enough. You also have to do the work to make it happen.
#3 He’s making smart money decisions with his financial aid.

I really enjoyed reading about Mr. Eric Valentin. I hope you share this story far and wide.

Shay Olivarria is the most dynamic financial education speaker working today. She has written three books on personal finance, contributes to multiple online media platforms, and is a foster care alumni. She’s been quoted on Bankrate.com, FoxBusiness.com, and The Credit Union Times, among others. Visit http://www.BiggerThanYourBlock.com to find out more about her work.

Join the discussion

What Will You Sacrifice to Get What You Want?

Today, I was reading an article about slowing down and I wanted to share it with you. Mostly, I wanted to get your feedback: what will you sacrifice to get what you want?

For some reason, people equate working hard with getting ahead. As I’ve mentioned before, that’s not how the world works. You have to work smart. You have to leverage your networks. You have to build a solid foundation for yourself and your family. The questions is …. what will you give up to create the life you want?

What’s more important, time with your loved ones or having a huge house that costs an arm and a leg in upkeep? I travel because I love having experiences. I’ve been to 9 countries (Japan, France, Netherlands, Spain, UK, Bahamas, Jamaica, Dominican Republic, and Canada) but I drive a crappy car. To me, it’s worth it. When you’re on your deathbed you probably won’t think about the reports you didn’t finish or 3% raise you got you’ll think of your experiences. I want to be able to say that my family was comfortable monetarily, but I also want to be able to say I spent time with them. I showed them that I loved them. I laughed and cried with them.

My goal is to work smarter and build the life that I want, I’m willing to forgo some of the things that people tell me I should have. What about you?

Shay Olivarria is the most dynamic financial education speaker working today. She has written three books on personal finance, contributes to multiple online media platforms, and is a foster care alumni. She’s been quoted on Bankrate.com, FoxBusiness.com, and The Credit Union Times, among others. Visit http://www.BiggerThanYourBlock.com to find out more about her work.

Join the conversation

Buy What You Really Want

Morgan Spurlock, pictured above, shows how far advertisers are willing to go in Pom Wonderful Presents ... The Greatest Movie Ever Sold!

What is marketing?
Commercials on the tv, print advertising in newspapers and banner ads on the internet are all various types of marketing/advertising. Companies that want you to buy something (spend money) or do something (“like” them on Facebook) use marketing and advertising to get you to #1 be aware of their opportunity #2 understand what action they’d like you to take and #3 take that action based on their prompting.

Hire Shay to come speak at your next event

Why does it work?
It works because we have all been indoctrinated to want things from the time we were born. Commercials are not only aimed at adults, they are aimed at children. How many times have you heard a young child tell you what material item they want and instruct you on where and how you can purchase it. The advertising has gotten so slick that more and more movies, music videos, and tv shows are using product placements to advertise to you when you don’t even realize you’re being advertised to.

Check out Pom Wonderful Presents ... The Greatest Movie Ever Sold

What do you not know about it?
Morgan Spurlock created a wonderful documentary about product placement named Pom Wonderful Presents … The Greatest Story Ever Sold. He shows viewers how product placements work by making a movie full of product placements. One of the best parts of the movie is when he goes to a neuro-marketer. The neuro-marketer shows him that the reason he likes Coke so much is that when his brain recognized the product, his brain squirts out a bit of a happy hormone. He tells Morgan that he is basically addicted to Coke.

Not only are advertisers ingenious enough to make us want their products, they don’t even want to know what they are doing because they know that the mystery of it all makes us want those products even more.

Mane and Tail ... .it's not just for people ... Lol

What you should do about it
#1 Become aware of the classic tactics that are used to get you want to things you don’t need and probably didn’t even know existed. I present a great workshop on this topic.
#2 Turn off the tv/radio. I know it’s not popular, but if you don’t put yourself in harm’s way you it’s harder to be effected.
#3 Check to see if your purchases are in line with your values. If you say that your family is really important to you then why do you spend all your money on depreciating items like clothes?

The key is to buy what you want, not what advertisers, your neighbors, or your family and friends tell you that you should want.

Resources
Great review of Pom Wonderful
Neuromarketing’s aims

Shay Olivarria and Cynthia Coleman at American Airlines Credit Union Financial Bootcamp event in Dallas, Tx.

Shay Olivarria is the most dynamic financial education speaker working today. She has written three books on personal finance, contributes to multiple online media platforms, and is a foster care alumni. She’s been quoted on Bankrate.com, FoxBusiness.com, and The Credit Union Times, among others. Visit http://www.BiggerThanYourBlock.com to find out more about her work.

Join the conversation

Are Women Waiting on Prince Charming?

Really?

I keep running into all these websites, blogs, etc. providing specific financial education for women. Many of the articles, posts, what-have-you seem to be focused on explaining to women why they need to plan financially. Are women still caught up in this I-don’t-have-to-be-proactive-about-my-money-because-my-husband/boyfriend/partner-will-do-it-for-me stuff?

As a woman that grew up in the booming 80’s and progressive 90’s it never occurred to me that I should be waiting for anyone to take care of me. All my heroes took care of themselves, both female and male. I grew up knowing that I would graduate from college, helm my destiny, grow my retirement fund, and create happiness for myself. Is this not true of all American women my age? Do we really need to be told that it’s important to be fiscally savvy?

I’m crazy, so maybe this is an area that I’ve overlooked. I put it you: women, what did you think your life would like like as an adult when you were a teen? How have you taken care of financial planning as an adult? Does your life look the way you thought it would?

Share your thoughts in the comments section below

Shay Olivarria is the most dynamic financial education speaker working today. She has written three books on personal finance, contributes to multiple online media platforms, and is a foster care alumni. She’s been quoted on Bankrate.com, FoxBusiness.com, and The Credit Union Times, among others. Visit http://www.BiggerThanYourBlock.com to find out more about her work.

Join the discussion