On the Money Fall 2013

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BY TEENS FOR TEENS

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n a c n i i a F l r F u i o t n Y ess x le

Entrepreneurs Tackle Food Deserts Pages 5-6

Invest in Your Future Pages 12-13

Scholarship News You Can Use! Pages 8-10

TABLE OF CONTENTS page 3

page 12

Letter From the City Treasurer & College Funding/Saving

Investment Treasure Chests & Struggling with Scammers

Letter From the Editor & Chicago Entrepreneur Chef

Make Your Money Work for You

Food Deserts: State, National and Entrepreneurship Perspective

Budgeting for Financial Independence

Food Deserts: Community Perspective & Lose Weight, Save Money

Public and Private Spending & Smartphone Expenses

Making it to the Pros & Planning for Athletic Career Success

Cost Effective Study Abroad & Apple Products Vs. College

Athletic and Academic Scholarships

The Truth About Hair Products & Cost Effective Advertsing

More Scholarships and & iOme Challange

Stop the Violence & the Hip Hop Movement

Scholarship Mythbusters & Intern with On the Money

CPS Budget Cuts & Libraries: a Community Resource

Careers in Law & Highest Earning Careers

In the Know & Young Illinois Saves

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page 13

page 5

page 6

page 7

page 8 page 9

page 10 page 11

INTERNS

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Back Page

ABOUT ON THE MONEY On The Money magazine is written by teens for other teens. On The Money covers entrepreneurship, business, finance, credit, saving and more... providing real world experiences and resources that can help students learn to meet their business, money and career goals. On The Money is provided by the Economic Awareness Council through collaboration with Chicago Public Library, DePaul University, the Office of the City Treasurer of Chicago, Stephanie D. Neely, and True Star Magazine.

ABOUT THE EAC The Economic Awareness Council (EAC) is a financial education non-profit organization that serves over13,000 individuals each year with programming for students and families.

Thanks to our program partner

On the Money Magazine would like to thank HSBC, the Office of the City Treasurer of Chicago, State Farm Insurance CompaniesÂŽ, the Charter One Foundation and Republic Bank for their sponsorship of this issue.

Magazine Design and Layout by Jessica Alessi

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Kamal Bilal Senior, Whitney M. Young High School Goldene Brown Junior, Lincoln Park High School Diamond Burton Sophomore, Lindblom High School Demetrius Drummer Senior, Lindblom Math & Science Academy Brittni Foster Sophomore, Lincoln Park High School Aide Garcia Senior, Gwendolyn Brooks College Preparatory Academy Gabrielle Going Junior, Gwendolyn Brooks College Preparatory Academy Dayanara Guyton Freshman, University of Illinois at Chicago Empress Howard Junior, Dr. Martin Luther King Jr. College Preparatory High School Amy Jin Senior, Whitney M. Young High School Julian Jones Senior, Mount Carmel High School Clark Lewis Junior, Whitney M. Young High School Samantha Mallett Sophomore, Lane Tech College Prep Kaprisha Martin Senior, North Lawndale College Prep Alex Mitchell Senior, Whitney Young Magnet High School Elijah Mitchell Junior, Lincoln Park High School Justin Mitchell Senior, Whitney Young Magnet High School Sana Moore Senior, Chicago High School for the Arts Kendall Nelson Sophomore, Urban Prep Bronzeville Adriana Nunez Senior, UIC College Prep Yerre’Elle Patton Senior, Morgan Park High School DeVante Sherod Senior, De La Salle Institute Crystal Stonewall Junior, Chicago High School for Agricultural Sciences Khadija Williams Junior, Johnson College Prep

LETTER FROM THE TREASURER These are daunting times for anyone considering a college education. The costs of higher education have been rising steadily, and students who do finish school are entering the most difficult job market in generations.

College-bound students and their families are looking at an average cost for a single year of college of nearly $22,000 dollars. That’s enough to give anyone second thoughts about taking on heavy debt.

It’s also an incentive to explore career options so you can choose a major that will deliver job opportunities and a good enough salary to pay back your loans.

Careers with the best return on investment include Health, Business and Engineering. Students who graduate with degrees in Humanities and Social Sciences tend to earn a lower income.

Plus college grads are more likely to get a job or keep a job even during times of high unemployment.

Even in our struggling economy there are good reasons for getting that college degree, and they will show up in your paycheck from the day you graduate until the day you retire.

Workers 18 and over with a bachelor’s degree earn an average of just over $51,000: those with only a high school diploma earned just over half that, just around $28,000.

Those holding bachelor’s degrees earn about $2.27 million over a lifetime, those with masters and professional degrees earn even more.

A high school diploma will earn around half that, $1.3 million over a lifetime.

And the value of a college degree will only continue to grow in our competitive job market.

The bottom line: if you’re wondering if a college degree is worth it: Not only is it worth it, but the premium is growing.

Remember, it’s your money, your choice.

Stephanie D. Neely, Treasurer

COLLEGE FUNDING/SAVING Where there’s a will, there’s a way! Don’t let the high cost of higher education discourage you from pursuing your dreams. Whether you are considering a junior college or four-year institution, there may be several ways to help pay for these expenses. (Note: Some of the ideas below may have tax implications; be sure to consult a tax advisor.)

The Basics Many students and families rely on some combination of savings, scholarships, grants and loans to help pay the costs of higher education. Savings may be in the form of tax-advantaged accounts, such as 529 college savings plans, pre-paid tuition plans, or savings bonds, or from taxable accounts belonging to either the parents or student.

Scholarships can provide another way to help with college expenses. Scholarships, based on merit, athletic or other performance, do not need to be repaid and can come from a number of organizations, including schools, private organizations, nonprofit organizations, professional associations and more. (Sponsored by the U.S. Department of Labor, Employment and Training Administration, www.careerinfonet.org can be a useful tool to explore the many types of scholarships available.) Grants may also be available from a variety of sources, including federal and state governments, private universities and businesses.

Public and private loans are often another source of funding to help pay for a college education. Public or federal loan options can take the form of Direct Subsidized or Direct Unsubsidized, Perkins loans, or loans made to parents under the Parent Loan for Undergraduate Students (PLUS) program. Private loans from lenders such as banks or credit unions may also be options for those who qualify.

Keep Debt in Check When reviewing your higher education plans, be sure to consider how much loan debt to take on as it compares to your intended course of study and what type of career and income you anticipate. Consider limiting college debt at graduation to no more than what you may expect to earn as your first year’s salary once you graduate.

Prepare for the Process A higher education can often provide the means for students to build a secure future. Whether you and your family have been planning for years or are now just getting started, there may be several ways to help fund your dream of a college degree – start researching them now. The more information you have, the better you will understand the process and costs of funding your dream. Visit YourMoneyCounts.com for information on a variety of financial topics.

Carlo Airdo Vice President, Corporate Sustainability HSBC

Sponsored by

LETTER FROM THE EDITOR

On the Money Magazine is happy to have you as a reader.

We are focusing this semester on financial fitness. What does that mean? Well, we are pressing that people should apply for as many scholarships as possible (pages 8-10). We are getting the point across to people about how to budget and the essentials of how budgeting can positively affect a family and their home (page 14-15). Related to budgeting, saving is another major priority that we at the magazine are trying to get across to our youth. Youth who have saved for college are 7 times more likely to actually make it to college (page12-13).

We truly believe our readers have a fresh start to a promising financial future.

We as a magazine don’t write these articles just to print words on paper for the recognition. Our writers truly feel strongly about our topics and have put a lot of work and research into letting our readers know what is going on in today’s society, about money and the economy and how to get financially fit.

Thank you, Demetrius Drummer President, Entrepreneurship Track Editor, On the Money Magazine

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Chicago Recipe for Success: Entrepreneur Chef Clifford Rome Diamond Burton Chicago’s chef, Clifford Rome, raised in Englewood, owns two top businesses and one restaurant in Chicago’s Bronzeville neighborhood. Rome is proprietor of H-Dogs, Parkway Ballroom and Blanc Gallery. He is also the owner of a catering business called Rome’s Joy Catering.

Chef Rome grew up in Chicago and has no intentions of leaving. “I’m a Chicago boy so I would like to keep my roots here in Chicago. But there are tons of opportunities all over the country, all over the world actually,” he explained. There is one business that he owns in Gary, Indiana, which chef Rome refers to as the “neighboring suburb”. It is called Marquette Park Pavilion. Just like Parkway, it is a ballroom and the city has contracted with Rome’s Joy Catering of Chicago to prepare the food for pavilion events.

Regarding businesses in the Bronzeville area, chef Rome says, “It’s always difficult when you start a business in a community where you have very little foot traffic.

It’s very difficult to bring outsiders into your community which they have either not heard a lot about or they have no idea where it’s geographically where it’s located. That’s probably one of our biggest challenges, needing more people who are familiar with services that we provide”.

Rome advises young teens who are interested in culinary arts to “Stay focused, work hard, be disciplined”. He encourages teens to find mentors. Find someone doing exactly what you see yourself doing. Learn by doing while working for them. A lot of people want to be an entrepreneur since, “nobody wants to work for anybody else; unfortunately you have to go through those growing pains,” Rome says.

Many people believe that “90% - 95% of restaurants fail within the first year”. However, this common belief is not true. The true statistic shows that the failure rate is only about 59% for the 3-year period, 1996-1999 (http://researchnews.osu.edu/archive/restfail.htm). Chef Rome’s story is inspiring for all teenagers who want to major in culinary arts.

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Food Deserts: National, State, Entrepreneurship and Local Perspective Kamal Bilal

Food deserts are neighborhoods that lack access to affordable, nutritious foods due to the absence of grocery stores in the area. The USDA estimates that nearly 23.5 million people live in food deserts. Most of Chicago’s food deserts are found in the south and west sides in predominately minority neighborhoods. Because of this, food deserts raise not only a health problem, but a civil rights one as well.

Dr. Damon Arnold, Director of the Illinois Department of Public Health, stated that, “obesity costs the state of Illinois $3.4 billion a year.” Food deserts are a contributor to this issue. 600,000 Chicago residents live in food deserts (NeighborhoodCapital.com). With government intervention and help from its residents, Chicago can potentially eradicate food deserts and solve a huge health, racial, and economic problem.

The Illinois government can play a big part in the elimination of its food deserts. The government of California created a $200 million partnership loan fund that gave grants and loans to grocers who wanted to sell produce in underserved communities. Illinois could adopt this idea along with enacting certain initiatives that require convenient stores to sell fresh fruits and vegetables. This initiative could potentially save millions of dollars in health care costs.

The city itself can also play an active role in the solution process. Community gardens can turn vacant lots into accessible nutritious food. With help from the American Community Garden Association and strong community involvement, Chicago can turn its food deserts into food forests.

Furthermore, food trucks and mobile markets can be great accessible sources of fresh produce. With these simple solutions, Illinois can greatly improve the lives of its residents affected by this problem. This initiative will not only better the diet and health of Illinois residents, but also will save a lot of money that the state can use for other projects.

Lorri Newton, a Certified Health Coach and president of Fittobeamom.com, has been working on this issue and says, “Building a food co-op store (on Cottage Grove), planting community gardens, attracting grocers like Whole Foods in Englewood” have all been accomplishments in combatting food deserts. Additionally, Peapod and Neighborhood Capital have been working on the Healthy Families Project since autumn of 2009, aiding in the solution of Chicago Food Deserts. Learn more about this project at NeighborhoodCapital.com.

Thank you to our many volunteers, partners and writing coaches from DePaul University.

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Living in a Food Desert: Community Perspective Crystal Stonewall A food desert is an area where affordable healthy food is difficult to obtain, particularly for those without access to an automobile. The term food desert may be uncommon; however, this condition is very common, especially in Chicago, Illinois.

The neighborhood that is gaining the most press regarding being a food desert is the Southside neighborhood of Englewood. In spite of Englewood being the home to a Food4Less grocery store, many of the residents are too poor to shop at the grocery store, and therefore rely on food ministries and food pantries for food access. Englewood’s median household income is $24,049 which is low in comparison to Chicago’s average median household income of $43,628 (Englewood neighborhood in Chicago, Illinois, City-Data). When asked about living in a food desert, an anonymous teen stated, “At this point, I am accustomed to living in a food desert. I have hope that one day this will change for my neighborhood. In fact, I have been listening to the news, and heard about the new Whole Foods opening in the near future.”

As mentioned by the teen, the reason Englewood has been gaining so much attention is because Whole Foods is opening in the neighborhood. Many feel Whole Foods is not an appropriate store for this neighborhood because the prices of the goods sold at Whole Foods are substantially higher than the average grocery store. According to a study done by The Bill Fold, 10 Whole Foods grocery items cost, on average, $2 more than items sold in the average store.

According to JaMonica Marion, an Agriculture teacher, “Educating consumers on healthy food choices, promoting local grocery stores to sell produce, and creating urban co-ops can help alleviate food deserts.”

Ultimately, the best way to improve a food desert is having the willingness to make a change.

To help eliminate food deserts, you should: (1) help those in your community understand the problems associated with food deserts, and (2) discuss the different options, such as community gardens and working with local retailers.

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Lose Weight, Save Money Samantha Mallett America has been making unhealthy food choices which have led to obesity in both children and adults. According to the Food Research and Action Center, 68.8% of adults and 31.8% of children are overweight or obese in America. Obesity comes at a tremendous cost in the State of Illinois each year (see Kamal Bilal’s article on page 5 in this issue). Price and the preference for unhealthier foods have all contributed to obesity in the American population. The chart below displays the percentage of overweight children in America between the ages of 2 and 19.

Minorities have been particularly hit hard by the obesity epidemic. With a higher percentage of minority families with children living in poverty, the cost of healthy foods may also be a factor here.

An example of the impact of price on food selection is organic foods. A majority of Americans enjoy indulging in organic foods. According to NPR-Thomson Reuters Health Poll, 58% of American adults stated that they enjoy organic foods. However, organic foods are pricier than non-organic foods because there is overwhelmingly high demand and not enough supply (synthetic pesticides and chemicals allow farmers to produce crops faster than with organic methods). In an interview with Denise Peroni in food services at Lane Tech College Prep, she mentioned that she also enjoys organic foods, but they are too expensive for her budget. Isis Thomas, a junior at Lane Tech, also said she prefers to eat healthier because she is an athlete and it’s important to stay in shape, but she agreed with Peroni that it can be hard at times because of the prices of organic foods Even non-organic fruits and vegetables are expensive and can also spoil if not eaten in time. For example, including salad with an average meal for a family of 5 can easily cost twice as much per serving as including basic, non-whole grain pasta. The price of soda has become 33 percent cheaper, but the price of fruit and veggies has become over 40 percent more expensive over the past 30 years. This additional cost can also contribute to Americans not making as healthy food choices.

The American population can work on slimming down. In order to do this, costs need to be reduced, education on healthy eating needs to be increased, and healthier food options need to be offered in more locations (http://frac.org/initiatives/hunger-and-obesity/obesity-in-the-us/).

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http://www.heart.org/HEARTORG/GettingHealthy/Overweight-in-Children_UCM_304054_Article.jsp

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Making it to the Pros Khadija Williams Are you thinking of going pro, whether it be the NFL or the NBA? Well you’re not alone! Many teenagers have the dream of going to the NFL or the NBA, but most of them do not think of how hard the competition really is, and most of them do not have a backup plan. Matt Mayberry, a former player for the Chicago Bears, also had the dream of going into the NFL and has been playing since the age of 8. He knew since childhood that the NFL was going to be his profession and as a result, he was not completely prepared for the aftermath. Even though he has been playing roughly 12-13 years, he had an ankle injury that caused him to sit out of the game for 8 months when starting in the NFL. “I only played for the NFL 1 year due to my ankle injury. I did not go back to the NFL, I instead followed my passion and wrote a book called A Guide to College Athletic Scholarships: A Personal Journey and became a public speaker.”

When asked if he had any advice for students seeking to go pro, he said, “Have a strong work ethic. Don’t listen to outside influences that try to discourage you and believe in yourself by setting your mind to it!”

Matt Mayberry, Chicago Bears

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Statistics says of the 545,844 high school basketball players, 155,955 are seniors. Only 5,000 (3%) are admitted into the NCAA. But even less, only 1.2% make it to the NBA from NCAA and only 0.03% of high school basketball players make it to the NBA. (www.traintoball.com/ what-odds-making-nba/). Same with the NFL, only 1.7% of college players and only 0.08% of high school players make it to the NFL (http://www.businessinsider.com/odds-college-athletesbecome-professionals-2012-2?op=1).

“Have a backup plan! EVERYDAY work diligently, EVERYDAY work hard!”

–Matt Mayberry

What Are the Chances? Planning a Secure Path to Athletic OR Career Success Julian Jones It’s every high school athlete’s dream to be in a professional sport. Unfortunately, athletes need to understand the low success rate of making it as professionals in sports. Athletes need a backup plan which includes the salary and potential jobs that having a college degree will offer. High school athletes with dreams of making into the big leagues need to consider that only 0.08% and 0.03% of athletes for football and basketball actually make it. (http:// www.businessinsider.com/odds-college-athletes-become-professionals-2012-2#mens-basketball-12-of-college-players-play-professionally-003-of-high-schoolplayers-do-4).

Even if you do make it, there is a high chance of injury. A study in 2006 estimated there are 529,837 injuries in basketball and in football each year.

What happens if the athlete does not make into the league they desire? What happens to all the time they spent in the gym and on the field? It does not have to go to waste when one doesn’t make it into the league. Students who graduate college with a bachelor’s degree make $51,206 per year on average.

Higher forms of degrees make $74,906 per year on average (http://howtoedu.org/college-facts/howmuch-more-money-do-college-grads-make/).

If you’re an athlete you may find jobs in your former sport, like Brett Favre, who is now a high school football coach, or others who have found a job at their alma mater. Or you can be like Matt Mayberry, a former Chicago Bears player. He “went down with an ankle injury for 7-8 months.” He decided not to play football again. Instead, he chose to follow his passion and help college students find scholarships.

He recently authored a book titled A Guide to College Athletic Scholarships: A Personal Journey. Student athletes need to know what their chances are in making into professional sports, and they need a backup plan in case they don’t make it at all or when that dream comes to an end due to injury.

Matt Mayberry, Indiana Univesity

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Stay Involved. Earn Scholarships Goldene Brown College is expensive, which for most students makes scholarships a key factor! College prices have increased dramatically and currently run up to $20,000-$36,000 dollars a year for most colleges or universities, and around $11,000-$17,000 a year for most junior colleges. Tuition and fees have increased 5.4 percent annually above inflation. Who has money to afford these high prices each year? Unless of course you’re Bill Gates or Oprah, right?

That’s where scholarships come in as well as benefits. There’s a scholarship for everything, but there are two main types, which are ‘Athletic and Academic’.

Getting scholarships all come with making smart choices and wise decisions.

Check out these online resources to get scholarship and college repayment resources that YOU can use! www.Isac.org www.Mappingyourfuture.org www.Knowhowtogo.org www.Studentaid.gov www.fafsa.ed.gov www.collegezone.org www.CollegeBudgetBuilder.org www.FinancialAidToolkit.ed.gov www.careerinfonet.org/scholarshipsearch www.studentaid.ed.gov/resources www.CollegeGreenlight.com

Grades play a major role in being eligible for a scholarship. “Good grades plus good athlete, equals more opportunities, and more money,” says Chris Baker, who received a track scholarship to Pittsburg State University. Chris coached the track team at the university for 2 years after graduation and is now a high school counselor. Generally, according to ‘the criteria’ or basic college scholarship guidelines, in order to be eligible to apply for an academic scholarship, you have to have minimum 3.0 grade point average (GPA), or higher. As for athletic, you have to have at least a 2.5 (GPA) or higher. The better the grades are the more money you receive, the better athlete you are, increases your chances. Nevertheless, if your scholarship doesn’t cover your full college tuition, there are always other forms of financial aid.

When colleges give away money, they want to give it to those who work hard. Former Bears player, Matt Mayberry, who obtained a full ride to Indiana University recently published a book, A Guide to College Athletic Scholarships: A Personal Journey. He said in order for him to get his scholarship, “Every day I worked diligently. Every day I worked hard.” Scholarships are amazing. They can help students and family save plenty of money, and be able to buy other things they need. Likewise, before you make any choices, be certain that it’s something you want to do. “Full ride scholarships are scarce... As for any scholarships; you want to make sure it’s something you want to do.” [Chris Baker] Scholarships are key, grades are key, sports are key, and may mean more money for you!

Matt Mayberry, Full Ride Indiana

REMEMBER THE FAFSA (Free Application for Federal Student Aid) is available in January and is first come first serve so visit http://studentaid.ed.gov/fafsa and get ready to apply TODAY! (Applications end June 30th but apply early for the best results!)

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Reality of it All: More Scholarships Than You Think Sana Moore Every year massive numbers of high school students overlook valuable scholarship opportunities. A popular belief for not applying is that you must have an incredible GPA (grade point average) and tremendous ACT scores to receive money. The major reason high school students don’t apply for scholarships is due to being uneducated on the money offered for future students. A classroom poll I conducted exemplifies just this. This poll in a local Chicago Public High School class showed that currently only 27% of current high school juniors and 57% of current high school seniors had applied for scholarships.

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Some of the most fascinating scholarships are the uncommon ones, for example, the “Tall Person Scholarship”, “Egghead Scholarship”, and even the”Chick and Sophie Major Memorial Duck Calling”! These scholarships are not advertised as much as the Bill Gates Scholarship or the Ronald McDonald scholarship, but they can offer valuable money for college. A senior named Justin Mitchell at Whitney Young High School explains, “[These scholarships] are good because they add another opportunity to gain financial aid even if [a student] struggles academically.” A large portion of these scholarships could go to low-income students who are not financially able to afford college. Many low-income students become discouraged to apply to universities because they feel that their families will not be able to afford an expensive institution.

All high school students, especially seniors, should not be discouraged to apply for scholarships no matter how much competition they think there will be. Keep in mind that just because your family may not have an income to can pay for college, there are always other mechanisms. You must have a drive to find scholarships that will help you in any possible ways. Getting involved is the key. Believe in yourself and start as soon as possible as well as keep track of all deadlines! If you wait on others to make a reality for you, you might end up creating a nightmare. If you want it, go get it YOURSELF !

Free Application for Federal Student Aid opens January 1st!

Apply early at FAFSA.edu.gov

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iOme Challenge: An Entrepreneur That Will Inspire You! DeVante Sherod Adi Redzic is truly an inspiration. Mr. Redzic is a young entrepreneur who has had a passion for political science and writing since he was a kid. He lived in Montenegro until he was 17 and came to America for higher education. He arrived in the US with just $300, so one can only imagine his financial struggles. After checking out 150 different schools, he decided to go to St. Norbert College for a degree in political science. He graduated in 2009 during the time of the recession. He got many job offers right after college, but some of his friends didn’t. He worked with another friend of his to help people find jobs. He noticed many of his friends didn’t know a lot about finance and what to do with their money. In 2011, he started the iOme Challenge. “iOme challenges college students to change the world by investing in their future.” Mr. Redzic has achieved the American Dream, but it wasn’t easy. iOme Challenge offers a $10,000 scholarship competition to college students who prepare a project on a social issue. Learn more at iOmeChallenge.org Intern DeVante Sherod and Ari Redzic On the Money Magazine and Young Illinois Saves would like to thank Republic Bank for their support

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Scholarship Mythbusters Justin Mitchell Throughout a student’s high school career, no matter that person’s age, gender, or race, there will always be an ever-present burden hanging over his or her head, and a question that must be answered: How will I pay for college? “I had thought scholarships existed only for sports players”, says Jake Guzzardo, a senior at Whitney Young. I have talked to many other kids at my school, like Jake, regarding this question, and to my surprise many did not know that scholarships, and financial aid, existed beyond athletics. They didn’t know of the more than 300 scholarship organizations around the country, not to mention the scholarship money that they could receive for academics from colleges that they gain admission to. “Currently we have $3.1 billion in scholarships”, says Mark Kantrowitz, publisher of FinAid.org and FastWeb.com.

Below, a few more myths regarding scholarships will be busted.

The first myth that is often thrown around is that scholarships are only for top scholars. To many people’s surprise, there are many scholarships that require students to only have a 2.5 G.P.A to be eligible, which many high school students are able to achieve. The David Letterman Telecommunications Scholarship and the DO Something Awards are both scholarships that require students to excel in something other than academics.

Also, it is a common belief among students that they should start to look for scholarships during their senior year. If one does so, he or she will be stressed to meet the many January deadlines that scholarships hold. It is advised to start looking for scholarships that are right for you sometime during your junior year.

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“I was a finalist for the Posse Scholarship last year, and although I wasn’t chosen, I saw the huge benefits that it had to offer. I would definitely recommend that students look into as many scholarships as they can…” , says Heather Richards, a CPS graduate, who is now in college at Fordham University. Junior Kiara Hardin, who has received several scholarships, says, “When writing the essay or filling out the application, be honest and creative!” So, follow in Heather and Kiara’s footsteps. Get out in the scholarship world and find one that is right for you.

Check out more Financial Aid Myth’s from the US Department of Education in the Financial Aid Myth Video at studentaid.ed.gov/resources.

tern with Want to In ey? n On the Mo ail at nd em Send us a uncil.org nCo OTM@Eco to apply! ow h rn to lea

Share your financial story and enter to win a $250 scholarship. Visit EconCouncil.org Resources to learn more.

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Searching for a Right: Careers in Law Dayanara Guyton The concept of moral rightness is justice. Lawyers are problem solvers in the judicial system.

When becoming a lawyer, justice is your life. There are different types of lawyers. The variety of law careers range from bankruptcy, corporate, civil rights, criminal defense, environmental, family and divorce, government, immigration, military, personal injury, real estate, and trial. There are many career choices you can choose from within a lawyer’s job’s opportunities. However, if you can be successful as a lawyer, it is worth the journey of hard work and perseverance.

There are several steps to becoming a lawyer. One needs to graduate from a credible university, pass the LSAT, attend law school, pass the Bar Exam, and then you can either work for a law firm or start your own law practice. According to www.LawyerEdu.org, “The average annual wage in Illinois for a lawyer is $138,550.”

Jill Vorobiev, employee litigation lawyer in Chicago at Dykema Gossett PLLC, suggests, “Continuing your education without any breaks in between and paying off your loans right after grad school.” This is what she did and helped lead to her success. During law school, Vorobiev was offered a job opportunity right after graduation. There were plenty of jobs available then, but now it’s different. Becoming a lawyer is now very challenging due to the increase in the number of lawyers and decrease in job opportunities.

According to lawyer Jill Vorobiev, “I never have the same day at work. It’s fun but challenging.”

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What Color is Your Collar: Which Career Path Allows for the Highest Earnings?

Kendall Nelson What color is your collar? In today’s world, teens love money. According to http://blogs. wsj.com and http://bls.gov the chances of eventually making more than $100,000 a year for graduating high school seniors are 30%. So, if you think about it, the odds are stacked against you if achieving this level of income is your goal.

After looking at the previously mentioned stats you might be wondering what you can do now so in the future you will have a well-paying job. Most people believe the way to a better life is to go into a music career or be a professional athlete. The odds of being either is only 0.3%. What choices can YOU make that will have a higher chance of success?

Education, Education, Education. Historically, workers were referred to by the characteristics of their clothing, by blue collar workers who perform non-office jobs that usually pay an hourly wage around $7.75 to $14.50. and white collar workers who perform jobs that Bureau of Labor Statistics, 2007 usually earn an hourly wage of more than $30.00 an hour and require more education.

Today, to get to a higher paying job, whether a traditional office, white collar job or a more casually dressed technology career, you need at least a undergraduate degree. This might seem like a significant amount of schooling, but the commitment will be well worth the investment for a better future!

According to a college professor I interviewed at DeVry University-Downtown Chicago Campus, it’s beneficial to get a full education to make more money and to fulfill your dream in anything you want to do. He encourages everyone to graduate school if you really want to get ahead in the workforce and beyond!

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Investments Are Treasure Chests. Start Yours Early Demetrius Drummer Investments are treasure chests Digging for gold Searching for the smart choice To stay out of the cold Heating up with money growing in a security Diversity would make an investment safe It isn’t good to have all your eggs in one basket Deciding on where to go with the paper chase Hedging for the fence To grow funds explosively More money in your pocket makes ‘cents’ But everyone needs something to start with

INVEST = to use money to make more money DIVERSIFY = to obtain a mix of investments to reduce risk.

MUTUAL FUND = an investment that pools individuals’ funds together to buy a group or collection of stocks or bonds.

STOCK = A financial tool or security that means part ownership of a company BOND = an investment in which an investor loans money to a company or the government for a set time period and a set return (or interest rate).

“How do you feel about investing and growing financially?”, I recently asked in an interview with a young investment banker. He replied, “Take care of it… diversity, security, risks, hedge funds. These things are needed to grow net worth, but also you must have something to start with.” This young investment banker in the Chicago-land area shone a light on knowing where you are financially and growing your money at a rate that also has stability so a person has emergency savings or fall back money.

One of the things the banker said that caught my attention was, “having something to start with.” This is vital in saving. If you invest money with nothing to start with or for emergencies, this could lead to a late payment or debt. Save instead of spending money. My mom would say, “You’re not spending this until later when you need it, not now when you want something because you see it.” My mom is a smart lady.

Age is not a factor on when to start investing, investing money should be a task everyone takes on when they are at a stable state and have emergency savings and want something that can lead to profit. Derrick Williams, an inner-city producer says that, “There is always a chance that an investment can cause a loss in the initial deposit.”

This is true. You should have the security of emergency savings and diversification but also start young.

“Someone who puts $4,000 a year into retirement accounts starting at 22 can have $1 million by age 62, assuming 8% average annual returns. Wait 10 years to start contributing, and you’d have to put in more than twice as much -- $8,800 a year -- to reach the same goal.” (http://money.msn.com/retirement-plan/your-20s-planning-pays-off-richly-weston.aspx) “According to the Center for Retirement Research at Boston College, of workers in 2010 who were eligible to participate in a 401(k) plan, 60 percent contributed to it when they were in their 20s, compared with 84 percent in their 50s.” (http://www.bls.gov/ooq/art02.htm)

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Are You Struggling With Scammers?

Aide Garcia For as long as there has been money, there has been a risk of becoming a victim to scamming and frauds. Anybody can become a victim of fraud and we’ve also seen a steady increase in it because of developments in technology and globalization.

Why do so many people easily fall for scams? When asked this question, both Brian Frizzell (Certified Fraud Examiner) and Sarah McGinnis (former Financial Litigation consultant) responded with the following: “people have a natural inclination to trust people.” Sometimes people don’t exercise the best judgment because as McGinnis said, “asking for help seems like a sign of weakness” and people may not want to admit that they aren’t financially savvy.

When in a time of need, most people are desperate to find a solution.

Internet and other scams are a significant and growing problem. Over 275,000 internet scam complaints were filed in 2008 (up over 30% from 2007) and the total dollar loss due to these was estimated at over $260 million dollars. The median loss per complaint was $931. (ConsumerFraudReporting.org) There are several types of scams: lottery fraud, auction fraud, Ponzi schemes, and many more. Many ask you to send money or share vital personal information in advance in order to receive a large prize or investment or award. Overall, people must become aware of the many resources available to them. There are several things a person can do to avoid becoming a victim; such as reading the fine print before signing anything, visiting the FBI’s fraud website (http://www.fbi.gov/scams-safety/ fraud), asking for an expert’s help, or researching if anything seems sketchy. Do what you must to insure that you are safe.

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Make Your Money Work for You! Invest!

Clark Lewis Investing isn’t limited to a certain group or age of people. Teens should invest their money in order to be financially well off in the future and because it is a wise decision for anyone interested in making money. Investing money can potentially gain profit for you in the future. You can start off with any amount of money and through monitoring, wise strategies and patience, it can grow. Currently 1 out of every 5 students are investing their money (“More Kids Investing In Stocks”). Slowly, teens are realizing the money they invest in the market can reap them substantial benefits in the future.

However, as told by high school junior Fredrick Cherry, teens are discouraged from investing their money because they don’t know how to start and they think it will require significant work. Teens should realize that their young age is a perfect time to start investing because they will be starting early. According to professional investment advisor John K., “The best friend any investor has is time in the market. The sooner someone gets started the better chance they have for favorable returns”.

Several options to invest include the stock market, mutual funds and bonds. Although investing involves risk which means you may not make as much as you want on all your investments or you may even lose money on some investments, investing your money wisely can make you more money. It can be beneficial in the long run because the money you earn may grow as time goes on. For example, investing $100 today in the S&P500 stock index would result in over $950 in profit after 30 years based on historical stock market returns (Google).

John K.’s tips for teens to start investing are: • Look towards building a nest egg for retirement, and not for a way to make a quick and easy profit • Set up an automatic investment schedule (i.e. once a month), this will average the price at which you buy stocks to avoid bad timing • Investing in mutual funds is a great way for young people to get started because they offer good diversification and a level of professional money management

Learn more about investing.

Check out earlier issues of On the Money magazine covering stocks, bonds and risk.

Visit www.EconCouncil.org – Programs - On the Money Also, visit: Investing 101 by Investopedia http://www.investopedia.com/university/beginner/ Investing Basics by CNN http://money.cnn.com/magazines/moneymag/money101/lesson4/index.htm

On the Money Magazine and Young Illinois Saves would like to thank the Charter One Foundation for their support

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A Budget: Your Key to Financial Independence DeVante Sherod Budgets are so important and challenging, even the government has problems making them. Look at the budget arguments over Obamacare during the government shut down. Teens usually don’t manage our money well because we rely too heavily on our parents. The sooner we become more financially independent, the easier budgeting will be when transitioning to adulthood.

Many kids get a weekly allowance from their parents, and end up spending it as soon as possible. People should save up for bigger and more valuable purchases. According to Charles Schwab’s 2011 Teens and Money Survey, only about 57 percent of teens know how to budget their money. This can be improved if kids start getting allowances and saving money at a younger age. In the words of my mom, Dena Thurmond, “Budgeting lets kids be flexible with their money.”

Managing and saving money lets kids have more choices to what they can buy. Many people save up for the things they really want like an iPod or a laptop.

As a senior in high school, I have to learn how to get better at budgeting money because I will be on my own in a year.

Many of my peers are going through the same things. Malik, a senior at De La Salle, said, “I started budgeting when I made the transition to high school.” He has made progress since then by getting a job and having his own income. Now, he doesn’t have to rely as much on his parents and will likely have a smooth transition to college.

Create your own college budget for free at CollegeBudgetBuilder.org!

Budgeting a skill that will be used for the rest of your life. It is best to start as early as possible.

BUDGET = a plan with an estimate of the money you will make (your income) and the money you will spend (your expenses) for a specific length of time INCOME = money you earn or receive EXPENSES = money you spend A budget is only useful when you USE IT. You must track your spending and compare what you spend to what you budgeted to make your budget work for you. Try it now!

Try to think of the last 15 things that YOU purchased. Record these in the column to the right.

This can be a pack of gum, soda, chips, whatever. Small items count. It’s fine if you received the money from your parents to spend. Just remember as many items as you can BUT you must remember both what the item was AND exactly how much it cost!

How many items could you remember? Did you spend more than you thought? This is how a budget could help you!

Tracking Your Spending Amount

Item 1) 2) 3) 4) 5) 6) 7) 8) 9) 10) 11) 12) 13) 14) 15)

Of the teens who do budget their money, 76 percent save for college expenses (Schwab, 2011).

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The Costs of “American Exceptionalism”: Public and Private Spending Brittni Foster Born out of revolution, “American Exceptionalism”, (The Myth of American Exceptionalism, Sullivan, Huffington Post, 2013) is the ideology that Americans embody a seemingly idealistic and good-natured society. However, both politically and economically, this may have created a sense of security and entitlement amongst the American people and government to feel that they can spend arbitrarily (or exceptionally). The government debt is currently over $17 trillion dollars. After, the recent government shutdown, U.S. debt surged $328 billion (How the Government Shutdown Shook Up the U.S. Economy, Ehley, 2013).

While combatting terrorism is paramount, the cost of foreign war spending is high. The cost of the war in Afghanistan reached an apex of $700 billion in 2010. (Trends in U.S. Military Spending, Walker, 2013). Spending overall is even greater according to the Congressional Budget Office, with spending overall at over $3,537 billion in 2012 (cbo.gov).

It’s not just the government. Many Americans are living significantly outside of their means. As of (November, 2013) the total U.S. credit card debt stands at $793.1 billion dollars. In fact, 14.7 percent of families report that their debt exceeds 40 percent of their income. (Credit Card Statistics, Gharemani and Ray, 2013). This statistic, alone, illustrates that the majority of Americans have the tendency to overindulge even when they do not have the means of supporting their indulgences.

In conclusion, the issue of “exceptionalism” and our proliferating debt worries many modern-day contemporaries (American Exceptionalism, Explained, Tumulty, 2013) Question is, where does the nation go from here? Leave your thoughts. Check us out on our Tumblr blog at econcouncil.org - Programs - On the Money

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Expenses of the New Age: Smartphones Elijah Mitchell

What do teen consumers say about the new iPhone 5s or 5c?

Jenna (5s) “I like that it is more updated and has a lot of new features but the care plan still costs the same as it would for the 5c or 4. The price was pretty normal for a new phone.”

Elena (5s) “It seems pretty expensive -especially the prices seem high when the phones first come out.”

Jackie (5c) “I like the 5c because you can pick the color of your choice to show your personality and ....I am always texting and having a larger phone makes it easier to type on your phone. I think the 5c is a good choice because its plastic it is not as easy to break.”

Remember the time when you were getting a new smartphone, and you found it to be incredibly expensive? Or instead you subscribed to the long, strenuous 2-year contract? Well smartphones are arguably incredibly expensive, due to the paying for an unlocked phone upfront, the different carrier plans and advanced mobile technology incorporated in the phone. Even with these high prices, people are still willing to pay for them, because the phones are extremely convenient to communicate with, to play games, and to use them as handheld computers for access to the internet, among many other functions.

Smartphones are essentially computers that are available in your pocket. This increases consumers’ willingness to pay for them. But this is generally for the new unlocked phone with no contract or assigned carrier. For example, the new iPhone 5s, prices are $649 16GB, $740 32GB, $849 64GB for unlocked phones, whereas the locked ones with a contract to AT&T, Sprint, or Verizon cost $199 16GB, $299 32GB, $399 64GB for the respective prices to data storage. What about the ones that cost only $0.99? How can this be?

Well, “you’re paying it back, with all the bells and whistles”, says Apple specialist, Ronald Bass, in our interview. With the contracts, the customer doesn’t need to pay for the phone upfront; he can pay it off in an extended amount of time and the prices are determined by the carriers (Apple.com). “Carriers take the prices down to what they think is best”, Ronald also said. For example, at T-Mobile, you can have a data plan for 500 MB/month for $50, 2.5 GB/month for $60, or unlimited/month for $70. The price of the data truly depends on the kind of service you take, and thus influences the price of the phone over time and why they seem to be so expensive.

Though many of the phones differ in features and prices, the phones’ costs are explained by the carriers, the service they provide, and whether the phones are unlocked or not.

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The Traveling Effect: Cost Effective Study Abroad Options Benefit Student Learning Adriana Nunez

It is said that “the world is a book and those who don’t travel read only one page.” In America, less than 50% of teens have traveled out of the country. Many don’t do so due to the great cost of traveling abroad, but with the many opportunities available, it is cheaper and easier than ever. Now, there are many programs across the world that make traveling low cost or free. Below is a chart that compares different costs of trips across locations and programs that we researched.

“U.S. TRAVEL ASSOCIATION.” Travel Facts and Statistics. Ustravel.org, n.d. Web. 05 Nov. 2013

Kevin Dorcy, founder of crowd funding website Touraise, and high school Latin teacher, organizes each year’s foreign trip for students at UIC College Prep. He encourages traveling to all his students to “introduce teens to the world outside their neighborhood” and expand their views and goals in life (“U.S. TRAVEL ASSOCIATION.” Travel Facts and Statistics. Ustravel.org, n.d. Web. 05 Nov. 2013).

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Although traveling is often considered a leisurely activity, for many it can be a productive as well. It leaves students with knowledge that can’t be learned through books or courses. Myriam Segura and Jessica Hozzian, two students from UIC College Prep who traveled to Spain over spring break, say that “If we could do it again we absolutely will, and we can’t wait to study abroad in college.” Their belief is in line with common trends, which show that, according to the Institute of International Education, the number of US students studying abroad has increased by 3% between 2011 and 2012, and is now at a record high (www.ilc.org).

Apple Products Vs. College Yerre’Elle Patton There’s always that one person bragging about a new Apple product. A few days later, there’s another person.

After a while, the number of people with Apple products increases, yet you’re still the one without the latest Apple product. Don’t feel pressured and struggle to buy expensive technology because in the end, you are making the best decision. According to the Apple Store, they will provide you with anything you are looking for.

However, the real question is what do you need? Rather than spending hundreds of dollars on an apple product, put the money toward college. Do not let the variety of apps distract you because college is a priority. According to Kelly Hodgkin, in the App Review, “The average iPhone owner has 108 apps, spends 84 minutes a day using them.” However, just 37% of teens actually use every app provided (2011). As an App Review Editor, Hodgkin has concluded multiple apps take up your time and money!

For example, let’s say I pay $60/month for my data plan with an iPhone, plus $10 a month for insurance plus incidental expenses such as downloading an app for $0.99 per month. The cost of a 32GB iPhone direct from Apple is around $600. Add that to, if I purchased a new iPhone every year, I would be spending $600 + (12*$70) + (12*$1) annually, or $1,452. (Not including if you want the latest release of every iPhone). If you saved this amount money, you would have at least half of annual tuition at a public 2 year university covered.

Understand that every dollar counts for something so don’t waste it on one item that appears to be so amazing.

Focus on college expenses rather than apple products because, although expensive, college pays off in the long run in a big way on average (see page 11). So, make the smart decision! You are never too young to save or invest for your future.

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Let’s Get Hairy: The Truth About Your Hair Products Kaprisha Martin Ladies, you know what is it means to take care of your hair. We need to keep up with the latest styles and trends. But at what cost? Did you know that the US hair care services industry includes about 86,000 establishments with combined annual revenue of about $20 billion? So much money spent on hair alone.

Perm Hair Products

Natural Hair Products

Benefits:

Benefits:

Drawbacks:

Drawbacks:

• “Soft, wash-and-wear hair is a major benefit of perms and the reason many clients choose this option” says Damian Santiago, Mizu co-owner and former Bumble and Bumble stylist.

• Perm makes the hair shine and gives it volume.

• It makes hair easier to maintain.

• 26 percent of women went natural in 2010, but this jumped big time with a 10 percent increase, hitting 36 percent for 2011 (http://madamenoire. com/121607/study-says-black-women-with-natural-hair-increased-big-timein-2011/).

• It aids natural oils in your hair for long term growth.

• It is quite expensive when done by a professional and even at home. Average cost of a perm is: from $5 to $35.

• Perm products contain certain chemicals that may be damaging to the hair or other parts of the body.

• Can cause breakage, hair thinning, and stunt your hair growth. Some women have also complained of scalp irritation, scalp damage or hair loss.

• Hair may be harder to maintain, which may cause you to spend more money on products for upkeep.

• “I just started transitioning to natural hair products, and its already so much money out of my pocket”, says Yvette Calmese, student at North Lawndale College Prep.

• Average cost of natural maintenance products: from $8 to $60.

• Certain products that are considered natural aren’t all the way natural some contain chemical ingredients.

While perm products may have more of a style benefit, natural hair products may be better for the long term health of your hair. It is up to you which one you want to use.

Keep an awareness of what is best for your hair and lifestyle and pocket book.

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Cost Effective Advertising: Getting the Most Bang for Your Buck Alex Mitchell

The goal of any business is to make money, and one thing all businesses have in common is that they must work to get their name out there. One way of doing that is by advertising. There are many different ways to advertise, whether it is television commercials, Internet ads, and newspaper ads. A big decision that each and every business must make is, which of these forms of advertisements is most effective.

One important factor to take into consideration is costs. Obviously, national advertisements cost the most, Super Bowl commercials can cost up to $4 million, but for the average business, advertising in the local news will do. According to smallbusiness.chron.com, a 30-second commercial on television (TV) costs approximately $850. An online ad has a wide range of costs depending on the popularity of the website. One way to advertise on the Internet is using a CPM (cost per impression) model, where the advertiser pays for the number of people served by the ad. A CPM can vary from as little as $10 to $100 (according to WAHM.com). Just like the previous two forms of advertising, newspaper ads have a lot of variables such as what newspaper, where in the newspaper, and how big the ad is. When talking with an employee of The Onion, he says the average person will buy an ad that costs $750.

When looking at these prices, it is important to consider how many people will view each ad. A local television station has a large number of consumers but a small target audience. A newspaper depends on circulation, but has a low response rate. And lastly an online site has a broad range base on the website you want to advertise on.

When taking into account all of the costs and audiences of each of these three mediums, it appears that online advertising may be the best form in general due to its generally low cost, and potentially high outreach.

A representative in the advertising field with experience in print, radio and TV recommended, “All [advertising] can get very expensive, so know how to track your ROI (return on investment) and know how to hit your demographic.”

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To Kill is Free, To Bury is a Fee Gabrielle Going “You realize you’re just a number.” -Jesus Guadarrama, former gang member Ice cold configurations of what they should be.

Young people dying, but there’s no one left to pay the fee.

The average cost of death is free, but the average cost of a funeral is between 5 and 10 thousand dollars; that’s enough for a shopping spree.

Killing spree.

Why does this world have to be so deadly?

Hopes, dreams, and futures taken away all within less than a day.

Who’s left with this price to pay?

The families are.

How dare a person go so far?

“Excuses are monuments to nothing.” -Ronald Holt (2009 Chicago Father of the Year, Anti-violence advocate who lost his son to gun violence) To kill is to die Now that innocent body is there to lie.

Their families’ lives are full of tears that they cry, not caring that their pockets are running dry.

The morgue has had approximately 374 teen deaths due to gun violence just for the 2013 year! (DNAinfo Chicago: Chicago Murders) I can’t wait to get rid of these tears.

We’re living in a funk of moral intuitions; it costs less to start preventive institutions.

Everybody wants to kill, but no one is willing to make deals.

Deals to confess who did the crime, so the right people who did the wrong things are the ones to do the time.

It’s time to take a stand so these mourning families can keep their loved ones money in their hands.

Silence is deadly.

So speak loud and shout it proud!

STOP THE VIOLENCE!

The first inalienable right is the preservation of life. However, the perpetrators of gun violence fail to recognize and abide by this law. Urban blight and decay are now widely recognized as invitations to violent and property crimes; this refers to the Broken Windows Theory that was introduced by James Wilson and George Kelling in the early 1980s.

This not only has a huge human cost but also a further cost for hospitals and communities as well. According to the American Public Health Association, hospitals spend approximately $2 billion a year to treat victims of firearms-related injuries. Between the years 2000 and 2010, 275,939 individuals were victims of gunfire in the U.S. and received 1.7 million days of hospital charges.

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It takes a village to raise a child, but where is the village? Unfortunately, with a rise in gun violence (approximately 31,000 deaths per year due to gun related injuries) ( Kaplan, Morriah and Kerby, Sophia, January 17), people are scared of losing their own lives, resulting in huge losses of positive emotions toward their villages or communities; no one is willing to help, because they feel as though there is no way to protect themselves. Prevention centers are needed to reinvest in the community so there is a village to to go to for help. Prevention centers will keep people off of the streets and in a safe environment that will, hopefully, encourage them to do positive things in their life.

Hip-Hop Movement Dayanara Guyton Annually, a premier of global leaders introduce new ideas and inspire results at Chicago Ideas Week. This year, Chicago Ideas Week hosted the event “Hip-Hop Movement: Beyond the Music.” This talk exposed the major impacts that hip-hop has on our lives. There were many speakers including the host, Reggie Osse, and several other speakers. Each speaker shared their definition of hip-hop and their routes of continuing the true meaning of hip-hop. Hip-hop ambassador, Toni Blackman enforced her “I am an invisible woman” phrase and piece of art. This illustrates that she may not be seen, but she will be heard through her work. Mark Anthony Neal, professor of Black Popular Culture at Duke University, spoke of the justice hip-hop acted upon. Hiphop artist, speaker, and activist Brother Ali described the reasons why hip-hop is what it has developed into today.

The music genre embracing African American cultural motivation for its society was Hip-Hop. It originated in New York during the 1970’s. People sang and delivered verses to express themselves and a situation. It was a way to empower one another. Individuals could relate through another’s music. As the culture evolved, hip-hop has transformed. Although, don’t misinterpret the concept of hip-hop, it has its positive and negative aspects. Now, hip-hop incorporates many elements such as fashion, dance, and speech. According to www.npr.org, “There was a time in the not too distant past when hip hop was thought to be meaningless noise.” Now, other cultures have even merged into hip-hop. Most of the younger generations are listening only to the beat instead of lyrics. Many think hip-hop has grown towards a negative path. Instead of encouraging one another, it’s hindering one another. There aren’t many positive role models in the hip-hop industry. According to www.hiphopandpolitics.com, “Eighty percent of the rap music that is currently on the top ten lists around the world contains violence.” Many debate if it’s steering our children in a careless manner that is accepted in the public culture. What do you think?

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Chicago Public School Budget Cuts: Tough Times for All Empress Howard

Can you imagine being told that your school district’s budget for classrooms has been cut by $68 million?

Well, that is what happened to Chicago Public School (CPS) students as they were entering the 2013-14 school year. The budget cuts were to go into effect after schools reported their enrollment to the Board of Education. The schools that met enrollment weren’t to receive budget cuts, while the schools that didn’t meet enrollment were to receive cuts.

But CPS had decided that they would just wait until the 2014-15 to put the budget cuts into place (AhmedUllah, Chicago Tribune, 2013). It seems as though nothing had changed for the 2013-14 school year, but what is the reality? Some students and teachers are still feeling the impact of current cuts. According to DNAinfo.com/Chicago/, 94 teachers received notice that their positions will be eliminated in November due to reductions in state and federal funding. According to CPS (CPS.edu, 2013), the school district faces a $665 million budget deficit or shortfall and must “make difficult but necessary choices”.

What solutions would you suggest to the budget crisis? Give us your feedback, visit EconCouncil.org – Programs - On the Money and comment through our Tumblr Blog.

“We had been told that schools would not have to make any more cuts due to low enrollment this year. So I thought my position was safe for this year. However, Friday, November 1, I was notified my position was being eliminated...”

- Anonymous Teacher

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“My teacher’s position was cut, which means that the class she taught will also be cut.”

- Student at King College Prep

Libraries: A Community Resource, An Individual Cost Saving Amy Jin

Across the country, nearly 9,000 public libraries serve hundreds of millions of people per year (American Library Association), showcasing the magnitude of these hubs of intellectual curiosity.

The resources provided are endless and can save one a lot of money.

Numerous people believed that the information technology bubble would render libraries obsolete, but libraries have many resources that keep patrons coming back, and what’s more, Chicago Public Library (CPL) keeps rolling out new innovative services, such as the Maker Lab, open-source software, the expansion of YOUmedia or online tutoring through Brainfuse [CPL Young Adult Specialist Robin Willard, 2013]. Clarke White, a high school student at Whitney Young, states, “I frequently go...for specific projects. I had a research paper about North Korea, which is a difficult subject because I couldn’t find much documentation, but the library had many resources.”

Visit ChicagoPublicLibrary.org to learn more

Aside from research materials, the library also offers access to other resources. According to the ALA, sixty-two percent of public libraries report that they are the sole providers of free computer and web access in their communities. Other resources, such as books, music, and movies, can also save individuals up to thousands of dollars per year.

Libraries not only save individuals money in the short run, but also help to spur national economic growth in the long run. In 2012, CPL offered 2.8 million Internet sessions; close to 6,000 resume-writing sessions; almost 20,000 hours of after-school homework help and more (see the 2012 Annual Report). Research shows that for every $1 invested in a public library, more than $4 is returned back to the community (Library Research Service).

Ms. Jenna, a Children’s Librarian at the CPL Roosevelt Branch, sums it all up: “Libraries shape minds, nurture souls, renew spirits, and build communities. In this age of social, political, and economic uncertainty, libraries are constant companions, bringing comfort and joy.”

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In The Know 1) In Kamal Bilal, Sana Moore and Crystal Stonewall’s articles on page 5-6, they discuss the problems of food deserts as well as overall poor nutirition habits as they contribute to issues like increasing obesity rates and health costs.

What are some strategies that entrepreneurs could use to tackle the problem of food deserts, improve nutrition and still make a profit? (Profit = Revenue (or Sales) – Costs). Describe 2 ideas here:

2) Identify three practical tips from On the Money that you can use to increase your chances of obtaining a college scholarship.

Tip 1: Page #: Tip 2: Page #: Tip 3: Page #:

Visit OTMSURV EY.COM to take ou r Money Sm art Surve y and be en tered to win

$20

3) In her article on page 13, Clark Lewis identified the expected return on $100 in the S & P 500 stock market index based on average historical returns after 30 years. Draw a graph below to show the value today and at 30 years of this investment.

Value ($) Today

30 Years

4) DeVante Sherod disucsses stratetgies to create a budget and reduce spending in his article on page 14. Visit CollegeBudgetBuilder.org to create your own budget for college. Record your income and expenses below from your budget.

Income ____________ — Expenses _____________

= ____________

Or visit www.YoungIllinoisSaves.org to pledge online.

(Must be 13 years of age or older)