Suze Orman TwitterSuze Orman FacebookSuze Orman YouTubeSuze Orman LinkedIn
View Blog & News List

Approved: White House Proposal for Universal Access to College

January 12, 2015 at 1:00 AM

President Obama has announced a plan that would pay for 100% of the tuition for anyone who wants to attend a community college and can commit to remain on course to graduate from the two-year program in three years and maintain a 2.5 grade point average.

Essentially this proposal would extend our nation’s universal education system from K-12 to K-Associate’s Degree. I seriously Approve.


We all know that a high school degree is not enough to succeed in our globally competitive world, yet we also know from the obscene levels of student debt, that the cost of a four-year degree is far too steep for many. One of the key provisions of the proposal in my opinion is that to participate a community college would have to ensure its credits are transferable to a four-year school. So if this proposal was passed it would effectively reduce the cost of a four-year degree, as students with a community college degree could then leverage that by needing less than four years to continue on and complete a bachelor’s degree.

Not only could this community college proposal reduce the cost of obtaining a four-year degree, there is also a significant earnings power argument to create universal community college coverage.

In 2013 the median weekly wages (NOTE: LINK IS TO BLS WAGE DATA BY EDUCATION LEVEL) for someone with a two-year associate’s degree from a community college or vocational school was 20% higher than the weekly wage of a high school grad. Talk about a return on investment for students if this new proposal was approved: Get a degree from a community college for free, and make 20% more on average than if you just stopped with the high school diploma. The biggest payoff is if the community college grad then continues on to get a bachelor’s degree: median weekly wages for workers with a bachelor’s degree is about 40% higher than wages for the community-college grad, and 70% higher than the pay a high school grade can expect.

Yes, I realize this proposal has little chance of making much headway in a Republican controlled Congress. And there may be state pushback as well, given that this proposal calls for states to cover 25% of the cost after the federal government picks up 75% of the tab. There’s also the issue of supply and demand. More demand for community college classes without increasing community college budgets will exacerbate an all-too-common problem: not enough classes and teachers to accommodate student demand, forcing students onto wait lists for the next semester or beyond. But I applaud the White House for putting it on the agenda; and you never know, it may spur some compromise that increases accessibility to higher education. That’s a big win.

Tag Cloud

keep a schedule2015 financial roadmapraise your deductiblefour steps to retirement savings secure creditverify retirement plan with HR or plan sponsorPhyllis Shelton expert long-term caregrandchild summer job IRA contributionsame sex marriage band end Floridaoverspend on giftsInfluentialspoint cost offset by savingsno private loansterm life insurancelousy investmentlow mileage discountloan no longer than 36monthsbill paying priorities8 month safety netstrained relationshipbig results raise deductiblesfinancial fearsanticipated salaryproperty taxLoveHDHP's are not badhome insuranceschedule vacationForbes Top 10low down paymentadvice for college graduatesautomate student loan paymentsbudgetopen enrollment review get health insurancestudent loan repayment planIRA contribution gifted moneycan you afford itcontribution back door Roth IRACory Bookerstay positivefraudulent returninsurance yearly reviewEric Dodge financial independenceHDHP Gay Couplesgay marriage ban end Florida lowest cost fund optionwomen longer life spaninsurance mistakenot gender specific Gay Rightssidelinedemergency fund University of Floridaone credit cardGrace8 Ruleslife insurancemental healthFundshousing marketsavingsborrow each year, capitalization is going to pile up Pay Off Debt Before Retirementpurely financial standpointbe true to yourselfbreakdown projected monthly housing costbetter termsHDHP'sno sneaking in feeschildren's bookdebit cardSelectQuote.comlow credit scoreworst financial mistakeRetirement Incomelower raterefundaffordable premiumcar buying mistakesdebtHolidayfinancing car at worst still pay 75% benefitis it necessary?student loan repayment estimatorFinancial EducatorAmy Lacyetvalentines daytax refund fraudpremiumfocus on new truth tax ID theftMothercommitteens and money2016 adjust withholdingLong Term Care Insurance be kind to yourselfretirement plandoctor no longer in networkignore 6 month grace period Must Have Documentsstore credit cards401Kkids schedule payments20% down payment avoid feesprotect loved ones short term goal debt freeAshley Springerhome ownershippay more than minimumdeath benefit 20 to 25 times annual incomecommunity bank2016 adjust estimated taxemergency fund savingsprotect your familyprotect and provide for minor child costly legal exercise reguarlyVeterinary Schoolcnbc alarm clockreferrals credit cardFRAdangerous money seasonrolloverLong Term Care shoppingdoctors in networkrequired disclosureUS Tax Codemortgagefinancial argumentscredit unionAmericans don't use all paid vacation timeone annual fee401(k) ContributionsCredit Card Rate Increaseearn allowanceloan is giftfull retirement agecompare provider pricing10 year repayment plan financial concernWillwomen long term careExhibitionthree year car loanpay credit debt ASAPsocial security not going brokemarriage financial responsibilitypositiveeight month living expense under 18 financial giftget credit cardautomatic paymentDurable Power of Attorney for Health CareFinancial Advicehigher insurance deductibleadd teenfocus on needsForbesdeath benefit needs for familyCommunication Skills ritual scheduleGiftInvest for savings growthPrime Rate Rise 2015long term goalinterest capitalizationSuze changed my lifesocial workhigh credit score discountshorter payback periodage appropriate choredon't use allowance as bribebuy homedental savings planmax employer matched 401(k) contributionmortgage interest tax deductionCommencementhome buying seasondon't spend juggle multiple financial goalssuccesshigh down paymentcollege graduateHigh Credit ScoreMoney-Savingsocial security never insolventhome related tax break bonus small changes 40% toward financial goalFederal PLUS loanpaid in fullderailed planRevocable Living Trust19 years cash flow problemmaintain standard of livingSuze approvedCredit scoreno splurge life insurance name trust as beneficiaryrequire chore in exchange for allowanceget the most out of social security couple financesHoliday Shoppingface your financial fearbad retirement planningteach importance of helping othersannual cost of living adjustmentCollege of Veterinary MedicineMoney Marketallowance taskFinancial Solutions For Younegotiate points with bank or sellerfile taxes quickly740 credit scoreWall Streetlower overall drug costInterestSpendingdental insurance don't cover cosmetic dentistrysavings pleasureFinancial Awareness20% down paymentprovider of financial supportdon't charge a pennyMass Mutualinitial tax break Prime Rate Increaseis it kind?live below your meansHoliday Seasonmobile appPBS Specialnear historic lowsfamily save at least $100 monthlyhealthy youcredit managementroth iraPersonal FinanceallowanceFICO Scorepaying for collegeVital Documents2015 record year car salesfederal student loan deferment mortgage brokerARM Cautionlong term careconfidentSatisfyingFinal GoodbyeOverspendingdepreciating asset retirment savingsreduce monthly paymentpercentage of women widowed 75-84interest on student loansalways use all paid time offavoid burn outsummer job match income replace permanent life insurance with termhome loan credit score below 740 Sandy Hook PromiseEasy Life Insurance gift up to 14,000buying car 2016dangerous retirement planmanage student loansloan necessitymeet monthly long-term care Changing Livescommunity collegedon't defer interest paymentsretirement accountsraise insurance deductiblespring summer become member don't ignore open enrollmentpush yourself to save more for retirementmultiple lendersmarriage inequalityStudent Debt Crisisdear suze20% equitysave moneyTelepicturesLTCi ASAPuniversal college accesspowerfulMinor Children confident of solutionpreexisting condition not coveredsetup automatic savings withdrawcut monthly cellular billLong Term Care premiumsFederal Stafford loanstaycationspeak new goalNewtownunsubsidized Stafford loan3% debt transferred term insurancereal estate marketrepay student loanssocial securitycost of capitalization calculatorincrease retirement contribution rate20 to 25 times annual incomecalculate dependents annual income needsMortgage Credit Availability Index4 Must Have Documents Jose Rodriguezpublic service loan forgiveness programtelevision hostteensRevocable TrustUrbana-ChampaignFinancialno apologybest interest ratesnon conventional routemonthly benefit enjoy saving reduce withholding3 savings buckets !00% tuition paidFree Debt EliminatorMoneybe good exampleTeachMost Influential Celebrities Listreal estate mistakesaffordabilitymoney-aware childhigh deductible health care planburn outemployer funding HSAidentity fraudpresident Obamaautomatic withdraw to savings iffy incomeloved ones dependent on incomehome buying mistakespay interest while in schoolknow before you oweno interestmax employee matchcomparison shoppinghigher monthly paymentAdequate Auto and Home InsuranceStudent Loanpaid vacationCivil Rightswomen live longerlower mortgage interestincentives for health care wellness screeningCPI-Wsecured cardjanuary billsSelfishsave Legal Guardiancollege studentHigh FICO Score = Better Rate10% donate to charityholiday spendingoverspend on nights outLTC shoppingreduce interest rateresponsible with moneydon't derail retirement savingsshop online guaranteed level term policy15-year refinance dealrefinancepermanent life insuranceEmployer Matched Contributionget over life insurance phobiaStock Investmentsspecial saving accountwives should be involved in retirementschool Influential Celebrityinsurancerising home pricesdream schoolpay high rate off firstis it true? better loan rateslower premiumcompare monthly expensesFICO at least 720switch to roth 401(k)stretch out haircut appointmentsfinancial aidFederal Funds RateHSA tax savingsis it necessaryconsider roth 401(k)no fee transfer50 over 50Warner Bros Television GroupYoung Adult closing feesFHA loan feesleave a legacyBankruptcylet them have 50% controlAARP Social security calculatorhealthy retirement blood pressuredon't extend mortgage don't do five year car loan8 month emergency fundNew York LifeCiti Simplicity Card New american Dream no private loanstudent loan debt30 year mortgage Baby BoomersFiscal Responsibilitybalance transfer cut monthly cable billhealthy retirement weighthome budget after tax costmax benefit coveredSuze is my biggest mentorplanpercentage men widowed 75-84Save Us MoneystudentgraduationHDHP's are good for yougift not loanSandy Hook Elementary Schoolyours, mine & oursSchool of Social Workchildren under 18no life insurance financially irresponsibleretain separate credit cardsConventional loan PMIverify wellness screening and programstitle insuranceCOLAForeclosuremoney vowshigh premiumsbuy down only offered while employed dental discount plan20 year level term prescription tierhigh FICO scoreCNBCwomen outlive mencar leasinglower interest ratebest loan deal alternative FICO scoreStaffords this year have a fixed 6.8% interest ratewould you decline a bonustraditional vs roth 401(k)zero rate transfer dealsfile asapnew cardon't buy wantsitemized deductioncredit utilization rateRetirement Savingsno tax on withdrawlsdo not pay allowance for good behavioradjust allocations loan big picture do you need life insuranceemployer offered life insurancelearn good financial choicesapproved medical 100% tax-freeETF'sbuy home you can affordonly refinance if it paysadult childrengrandparent IRA contribution credit reportEmergency Savingsincrease retirement savingsstandard deduction ARM15 year mortgageresponsibleUniversity of Illinoisno waiting periodemotional stakescar loanrent vs buy3 bucket approachhealthy aging public service career student loan repayment Financial Awareness Video FestivalCredit Card Interest Ratefinancial goal phrasecostly insurance mistakepay off debtPost-DivorceHeartoverspend on dining outcharges on credit cardback-to-school budgetvalue moneybuying a caridentity theftHDHP/HSAhome buying budgetno late fee Student Debtteach your child good money habits6 month waiting periodheartachelong-term care premiumsFinancial Cliffbetter loan dealsBankage appropriate goalsdon't blow tax refundWashingtonretirementcontribute household expenses pay down student loan debtescrowmonthly dental insurance premiumAARPSuze Orman Scholarshiptake actionborrowing plan unexpected expenseLTCGiftsphysical healthRoth 401(k)Financial Gift Cliffprotect dependent Suze Orman's Money Warsstudent loan repaymentpay 100% cashBeautyRichpay down car loanlow-cost index mutual fundincreased auto insurance premiumwaive home inspection bidFinancial Power of Attorneyincrease emergency savingsAuto Savings no retirement funds for down paymentThe Suze Orman ShowBill and PennyHow To Build CreditFinancial Systemmake saving a pleasureGoodbyeno negativitystandard ratemortgage disclosureorigination feesSuze Orman spouse Kathy Travissame-sex marriageletter to suzeco-sign highest possible benefitbad decisionsnot enough life insuranceFixed Rate MortgageSuze Ormantoo expensive schoolswitch to spouse coveragegift grandchild IRA contributionAccuQuote.comFICO credit score credit card mortgageAlarm Clockwrite new goalMarlo Thomasultimate compounding gift2017 TaxesOne Wallet At A Timetaxesovercome financial fearskid borrow firstclosing costs 2% of loanLifestyleworkaholiccreate new truth3 step financial road mappeace of mindquick closingclosing disclosure


View Blog & News List
People First. Then Money. Then Things.
Connect with me on Facebook Connect with me on YouTube Connect with me on Twitter
© 2017 Suze Orman Media Inc. All rights reserved.
 
 |  Search  |  Sitemap  |  Privacy  |  Terms
Sign Up For E-mail Offers
Open Panel
Close Panel