BY TEENS FOR TEENS
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Chicago Teen Entrepreneurs
SPRING/SUMMER 2017
Highlighted at Chicago Park District Competition
T TER O W
Learn More About Funding Your Business! Page 4
Trying to Land a Job While Going to School? Page 14
Hear from REAL Chicago Teen Entrepreneurs
Create a College Budget
Pages 17-19
Pages 3-10
On the Money, Leah LaQueens & Things, and I Am BornMade
INTERNS
TABLE OF CONTENTS 3 4 5 6 7
Letter from the Treasurer Dollar, Dollar Bills Successful Entrepreneurs What's Your Story? Considering Entrepreneurship?/Rebirth Fasion
12 13 14
Illinois Budget Crisis/Birth Control Options
15 16
Importance of GPA to Colleges
17 18
Attending College on a Budget
Housing and Poverty/Gentrification and Small Business How to Make Money While You're in School
Look Great for Less!
8 9 10
Entrepreneurship/ MakerGirl
Girls Who Code (GWC)
19
Transition to College and Impact of Money
11
Player Salary in the Sports World
20
Try It Out!
Kim Products/Feminist Teen Entrepreneurs
College Life for Dreamers/ Money Walks
WANTED
T EEN ENTR
EPRENEURS
Take your business idea to the next level! Compete in the
On the Money Entrepreneurship Challenge with the Chicago Park District.
Winners will receive up to $200 in seed funding, business training & mentoring and the opportunity to sell their product at large community events this summer!
Alexander Shaw Grade 9, Kenwood Academy Allegra Mendonsa Grade 11, Jones College Prep Amari Martin Grade 11, Urban Prep Academy Bronzeville Amber N. Anderson Grade 10, Kenwood Academy Fan Xuan Peng (Carina) Grade 10, Northside College Prep Carmen Li Grade 12, Westinghouse Christi Wright Grade 12, DeVry University Advantage Academy Colette Gordon Grade 12, Walter Payton College Prep Daniel Kolade Grade 12, Sullivan High School Jasma Wheeler Grade 12, King College Prep Jazlynn Williams Grade 12, King College Prep Jennifer Baeza Saint Xavier University Jonathan Lee Grade 10, Northside College Prep Karmen Rosiles Grade 12, Westinghouse Kayla Lucas Grade 12, Butler College Prep Lorren Ross Grade 12, Morgan Park High School Min Zhen Chen Grade 12, Westinghouse Natasha Chaiyarat Grade 11, Lincoln Park High School Nia Robinson Grade 11, Jones College Prep
Go to OntheMoneyMagazine.org/opportunities to learn more and submit your application. Contestants must be Chicago residents between the ages of 14 - 24. Businesses cannot be food items.
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 the Chicago Public Library, DePaul University, the Office of the City Treasurer of Chicago, and True Star Magazine. Also visit On the Money St. Louis! www.OntheMoneyMagazine.org
www.OntheMoneySt.L.org
Thank you to the Citi Foundation and the Cities for Financial Empowerment Fund, State Farm Insurance Companies (R), the Coleman Foundation, the Office of the City Treasurer of Chicago, Republic Bank of Chicago, TCF Bank, Bank of America, Huntington Bank, Byline Bank and MB Financial for their support of On the Money.
ABOUT THE EAC The Economic Awareness Council (EAC) is a non-profit financial education organization with program attendance of over 25,000 each year. www.EconCouncil.org
LETTER FROM THE CITY TREASURER
Dear On The Money readers,
which eliminates traveling to a bank branch for a deposit or waiting for your check to be mailed or delivered to you at work.
Summertime in Chicago is upon us and that means school is out and summer jobs are in.
No Bank Account? If you do not have a checking and savings account, now is the time to open one. Did you know that the cost of not using a bank account can add up to $65 a month? By opening a bank account, you can save up to $780 a year.
This is an exciting time because with more time and money to spend, you can continue—or begin—to be financially fit. As you work over the summer, I encourage you to make the smartest investment you can make for your financial future: an investment in yourselves.
Summertime Saving With more cash coming in, it may be hard to hold yourself accountable when it comes to saving the money you earn. Especially during the summer months when there are things happening all over the city all day, every day. Luckily, Chicago has tons of festivals and events that are fun and free so you can be nice to your wallet while you enjoy the best the city has to offer. From Movies in the Parks to the Millennium Park Music Series to neighborhood fests, there are plenty of options when looking for something to do on a responsible budget.
Smart banking and saving practices are important to start in your teens. Learn how to be financially responsible now so you can continue to find ways to save smarter later. Direct Deposit Banking When starting your summer gig, inquire about direct deposit for your paychecks. Direct deposit allows your paycheck to be deposited directly into your bank account
If you have any questions or want more tips, feel free to email me at city.treasurer@cityofchicago.org or tweet me at @kurtasummers.
Text “MyPay” to 95577 to find One Summer Coalition banks near you & to learn more about banking & direct deposit.
I hope you have a fantastic summer! Sincerely, Kurt Summers City Treasurer of Chicago
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ON THE MONEY: ENTREPRENEURSHIP Dollar, Dollar Bills:
How to Get Money For Your Startup as a Teen Does this sound familiar to you? You think of an idea for a company but have no idea how to get the money to start it. However, don’t let the lack of funding stop you from creating your dream company, product, or service. Here are some tips and tricks to get money as a teen in order to begin your own startup. Create useful, practical partnerships. Ever worked on a project with a friend but regret it because they did not do their work? This can be a hard situation, so why would you put yourself in this relationship when it comes to your startup? Approximately 80 percent of business partnerships ultimately fail -- which is substantially higher than the American divorce rate. So make sure you are selecting your partner based on merit, not friendship. When it comes to a business partnership, you should seek someone who would best add value to your project, not someone to spend Friday night with. Pitch your needs to friends and family. No one supports you like the people you love most. If your friends and family won’t invest in your company, don’t be surprised if outsiders won’t either. Family & friends might not be able to help you from a monetary standpoint, but they could help you raise money by spreading your business.
Use crowdfunding to your advantage. Although crowdfunding might sound unfamiliar, it basically means using popular websites like GoFundme or Kickstarter to fundraise for your ideas online. The average successful crowdfunding campaign is around $7,000. High school senior and SLAP’D CEO Genevieve Liu said that, “Last summer [we] were successful in our first attempt at raising money with crowdfunding.” Don’t be afraid to go online with your campaign. Request a small-business grant. A grant is money that is given to you that you do not have to pay back. A good place to start looking for grants is Grants. gov, which is a searchable directory of more than 1,000 federal grant programs. Liu agrees, “we hope to use more conventional ways of raising money like corporate sponsorship and grants moving forward.” Overall, high school senior and entrepreneur Ayanna Watkins from Rebirth Fashion advises: “Do your research and remember social media is powerful.”
By: Nia Robinson
On the Money would like to thank the Coleman Foundation for their support of entrepreneurship education.
Ayanna Watkins of Rebirth Fashion at the Young Chicago Saves Conference with On the Money 4 Entrepreneurship
Keys to Entrepreneurship Success Entrepreneurship is becoming increasingly more popular; being one’s own boss and running a business is a dream for many teens. Entrepreneurship is an amazing way to pursue one’s passion, dreams, and potentially create innovative and revolutionary products or services. People look at Mark Zuckerberg (Facebook), Steve Jobs (Apple), and Mark Cuban (owner of the Dallas Mavericks) as inspiration. While entrepreneurship seems very appealing, it is important to understand that success stories such as Zuckerberg are extremely rare. In fact, 9/10 startups will fail according to Forbes. Having a realistic vision for business can help it become a success. Overall, only 39% of startups end up making a profit, about 30% break even and another 30% lose money. With these statistics in mind, anyone considering entrepreneurship should define their own definition of success. Is success making it the business a full time job? Growing your business nationwide? For many, a small family business would be enough, or maybe a part time job during college that can generate some income. Having a realistic vision helps entrepreneurs stay on the right track and guides important decisions that they make when their business starts to grow. For example, if I open a small family bakery, I am not going to take high risks and invest all of my profits in excessive advertising or corporate expansion. Having a set, yet flexible vision of your business is a great way to navigate through the many decisions you will have to make as an entrepreneur. If you do decide to pursue entrepreneurship, don’t be too discouraged if the business doesn’t initially grow in the way you had hoped. According to BusinessNewsDaily, 93% of
prematurely scaled companies did not top $100,000 in revenue, and 70% of all startups scale too quickly. It may take longer for your business to blossom but don’t let that discourage you from nurturing it and fostering its growth. Successful serial entrepreneurs (those who lead one or more businesses) such as Zuckerberg and Cuban often possess many important characteristics. TEDx speaker and entrepreneur Dr. Emad Rahim has found that most serial entrepreneurs have the following 10 traits: Unbridled passion Risk taking Zeal Learning from mistakes Strong self confidence
Growth Patience Networking Realistic Optimism Pursuit of Success
It’s important not to be too encouraged nor discouraged by these traits. This list should be seen more as a guide rather than a deciding factor in whether or not you feel you’re ready to start your own business. At the same time, if you find that you handle defeat badly and you lack real zeal or passion then perhaps becoming an entrepreneur isn’t for you. Think about whether or not you have these traits and remember: there is no formula for successful entrepreneurship. So before you drop out of school and try to create the next Apple, Facebook or Snapchat ask yourself: Do I have what it takes to be an entrepreneur?
By: Jonathan Lee
More than a Fairytale: Successful Development of the Rapunzl App In interviewing Myles Gage, former On The Money Intern and University of Illinois at Urbana Champaign Business alumni, I received some very helpful hints that you too can use in starting your own business! His motivation in starting his new app, Rapunzl, was to teach financial literacy and investment tips to anyone in any socio-economic situation. The easily accessible app is available on Android and Apple. During our interview, he says his biggest tip for a new entrepreneur is to never give up. He recalled several hiccups in his journey working with his friend and business partner to create the app. The one thing he wish he knew before is how difficult it is to find a good app developer, recommending new entrepreneurs to "do research and never automatically go with the first person you meet" when finding people to work with. Regardless of his ups and downs Myles was successfully able to develop and market his app with networking and social media such as Twitter and Facebook. In the end, Myles’s passion and luck brought him success and believes that with the same motivation any young entrepreneur can succeed as well!
5 Entrepreneurship
By: Karmen Rosalies
Gage at the On the Money Pitch Prep Training Event at Ping Tom Memorial Park
What's Your Brand's Story? Once your business is established, how do you approach building your brand? How would you go about getting those around you excited about your company -- whether it's an investor, a potential partner, a customer or even just your friends? “61 percent [of small businesses are] spending more than $1,000 per month on marketing” and in this field, 97% of Chief Marketing Officers think that they must do inventive things to be successful. As young entrepreneurs, what makes us unique is our stories. So, what’s your story? Start With Why: Why are you creating this company? Why is it important to you? Why is it going to help someone? Of course, you need to know exactly "what" your company does, but the key here is focusing on "why" your company does it. It is only by connecting to your own heart and emotions that you can successfully connect to the heart and emotions of your customers. Identifying a NEED for your business and then telling a passionate story about that need is critical. Focusing on that passion, the "why," will establish a context of why your work is important to you and therefore why it should be important to your audience as well. At the end, your goal is to do business with people who have the same beliefs as you!
of Georgetown University, Rob Lane. It is very helpful to identify trends and recognize the unique values and beliefs that differentiate your business from others.
4 Strategies to Build Your Brand:
Website Blogs Promotion Videos Social Media “First why and then trust.” -- According to Simon Sinek, a famous British American author and marketing consultant, a simple but powerful model for how young entrepreneurs can inspire action is starting with the “Golden Circle” and the question “Why?” Storytelling shows awareness of how the brand is perceived in the market, knowledge of the technology behind the product and how it is differentiated, and the relationship with the customer experience. The better you craft a story that speaks to your audience and their pain points, the better your company's success will follow. Now, take a moment to reflect, what’s your story?
By: Fanxuan Peng
TIP: To get to the core of your company -- journal. This advice, centered around “blocking out 15 minutes every day to write everything down that comes into your head” comes from a marketing expert and a graduate 6 Entrepreneurship
On the Money would like to thank Republic Bank for their sponsorship of this issue.
Considering Entrepreneurship?
You Are Not Alone!
Being a teenager is tough, especially if you are searching for a job. Parents always stress finding and holding a job, but they often don’t expand on what other options you might have. You don’t always have to get a corporate job, consider entrepreneurship! Be your own boss, work on your own time. Sounds great right? Well, don’t forget great things are built off of hard work, perseverance, and persistence. You want to make sure you consider the advantages and challenges of entrepreneurship as well. Money plays a huge part in the success of your business. During his interview Jeff Beckham, program manager of Pathways to Success, pointed out “starting a business requires a lot of cash or time. Teens can be busy with school or other activities and that could be difficult. However, if you start your own service like babysitting, cutting grass, writing and/or doing something you enjoy you could potentially start at 15 years old. At that age, you are learning how to manage the money and your own bank account." Obtaining these skills can be beneficial for the future. Entrepreneurship is growing each day. According to the Global Entrepreneurship Monitor (GEM) study, sponsored by Babson College and Baruch College, in Inc. magazine, in 2015, 27 million working-age Amer-
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icans-- nearly 14 percent-- are starting or running new businesses. This is a record high in 16 years of the study. Successful owner of The Ideal Candidate, Kevin Davenport, would like to see more teens own their own business because he feels that that is the direction the economy is going nowadays. Thinking about starting your own business? Entrepreneurs can improve the way we live. The world will always need innovative thinkers, and entrepreneurship a great way to make a positive impact in your community. Have a great idea you want to try? Share your idea, build a team, and get to work. Don’t know where to start? Visit www.TeenBusiness. com or OntheMoneyMagazine.org to network with other teen entrepreneurs, investors, inventors and more.
By: Jazlynn Williams
Ayanna Watkins: Rebirth Fashion Line Know any high school seniors who were in a forum with Barack Obama? I do! Ayanna Watkins, a high school senior at Kenwood Academy, is a stellar senior you should look for! Watkins is the creator of the clothing company, Rebirth Fashion, which is focued on empowering individuals. Watkins spread the importance of community empowerment when she recently spoke in a forum alongside former President Barack Obama at the University of Chicago as the only high school student. Being a teen entrepreneur might seem hard, but the rewards of networking yourself and getting amazing opportunities to make a difference in your community are well worth the costs. Just ask Ayanna Watkins! View the stories other teen entrepreneurs like Ayanna at OntheMoneyMagazine.org. 7 Entrepreneurship
Ayanna Watkins at the Young Chicago Saves Conference
Entrepreneurship: What’s In It For You?
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According to the Bureau of Labor Statistics, entrepreneurship plays a key role in the United States’ economy as reflected by the number of business establishments. Since the 1970’s, small businesses have provided 55% of all jobs, according to the U.S. Small Business Association. There are entrepreneurship opportunities everywhere, ranging in various areas from fashion to music or technology. In this day and age, youth are starting to take over many innovative fields. Today, 30% of all the entrepreneurs in America are ages 20-24 according to Grow America. Entrepreneurs serve as the driving force of America’s economy.
alternative for medicine and help students focus.” Entrepreneurship allows for one to take initiative whether it be on a local or international level. For example, MakerGirl is a program that is led by University of Illinois students and graduates who aim to educate 7-10 year old girls on STEM. The reason why they started MakerGirl is because they noticed the lack of women in the math and science fields. Thus, MakerGirl encourages young girls to consider a future in STEM. Caitlyn Deegen, a spokesperson for MakerGirl says that she anticipates “MakerGirl will thrive in the state and even out of state” in the future.
Ideas are everywhere and can stem from one’s own passions. Benjamin Braverman, a current student at Devry, took notice of his friends who need medication in order to concentrate and he decided to take action. His product, which he says is “still in its early stages, would be an
Inspiration can be found all around us. Entrepreneurship allows for the implementation of these ideas, and people of all ages can start their desired business. Your ideas could make you into the next successful entrepreneur!
By: Natasha Chaiyarat
MAKER GIRL
By: Natasha Chaiyarat
MakerGirl is a program that teaches 7-10 year old girls 3D printing and helps shape them into women leaders in STEM fields. It was started by students and alumni from the University of Illinois at Urbana-Champaign. MakerGirl representatives hold workshops for young girls from grade schools in their local area. During workshops, the staff engages the girls in conversations about women in the STEM fields, and introduces activities involving 3-D printing! MakerGirl has access to 15 3D printers all of which were provided through donations. In the future, MakerGirl hopes to spread more workshops outside of Champaign. Learn more at MakerGirl.us.
8 Entrepreneurship
KIM PRODUCTS, CUSTOM FASHION If you haven’t yet heard of Kim Products, you probably will soon. Kim Products is a Chicago streetwear brand run by Lincoln Park High School sophomore, Kimisha Moxley. Moxley started her company by designing custom jean jackets for her clients. She then decided to take her business to the next level by selling shirts, pants, and other apparel pieces. According to the company’s website, the main purpose of Kim Products is to lend a helping hand to Chicago teens to express themselves through art and other crafts instead of the stereotypical standards that surround them. Moxley said her inspiration to start her business came from other Chicago Kim at the On the Money Pre Ptich Event designers like Joe Fresh Goods and Save Money Studio. Taking into with the Chicago Park District account her Chicago background and artistic style, Moxley designs pieces that appeal to Chicago youth. She finds her customers primarily through social media and her community. Though she receives help from friends and her parents, Moxley is a one-woman show when it comes to creating each of her pieces. When asked about what she would’ve done differently with starting her own brand, [one of the things] she mentioned was changing from custom products to a more streamlined production process. She says the customized product idea started with her custom jackets, but it can become overwhelming and can confuse customers on the purpose of the brand. Despite these challenges, Kim Products is growing and is recently in the running to win the Chi Awards award for Fashion. Moxley plans to grow her brand in high school and beyond as she hopes to pursue business and fashion design in college. Learn more at kim-products.com or on Twitter @KimProducts.
By: Colette Gordon
The Rise of Feminist Teen Entrepreneurs Ever since the turn of the century teen employment has seen a dramatic decrease due to the increasingly difficult job market for teenagers, which causes them to turn to alternative methods of work such as entrepreneurship. A Gallup and Operation HOPE survey of U.S. students grades 5-12 reported that 40% of students say they’re planning to start their own business. However, starting a business is challenging and only 3% of youth have actually successfully started a business. For youth that start a business, it can be a rewarding experience professionally and financially. Chicago teenagers Olivia Landgraff and Chloe Hancock attend Jones College Prep. These two teens who have been able to make money while spreading a feminist message about the Chicago Public School’s dress codes in schools. Their shirts read, “I am not a distraction” including a picture of a young girl with shorts on, referencing the CPS “fingertip rule” which says girls cannot wear shorts above their fingertips. Within two days they sold out of their first 100 t-shirts, purchased by females and males from schools across the city. Olivia says she was, “completely shocked at the overwhelming positive response to our shirts.” During their first week of production Chloe got the idea to create an instagram account to gather even more attention towards the shirts. She says, “I thought it would be a good idea just to post pictures of people wearing our shirts and try to get the message out there.” And indeed it worked; simply with an idea and imagination these girls have been able to sell over 200 shirts and counting.
By: Allegra Mendonsa 9 Entrepreneurship
Girls Who Code In a recent survey of the 10 skills employers want the most in college graduates, proficiency in coding was at the top. You don’t need to go into computer science, or even a technical field, for coding skills to be beneficial. The reality is, in the digital age, coding skills are applicable to every job and help job applicants stand out. A new report from Burning Glass, a job market analytics firm, found that there were as many as 7 million job openings in 2015 in occupations that required coding skills. The report also found that programming jobs overall are growing 12% faster than the market average. If we’re moving towards a society where coding skills are expected -- why not start early? One of the programs that is working towards making coding more accessible, especially to high-school girls, is Girls Who Code. GWC is both an after-school program & free summer program that is hosted by area companies. One of the companies that hosts in the Chicago program is Synchrony Financial, a financial firm that has a growing focus on technology. Melanie Shanks, VP of Synchrony’s BI Enterprise Report and Engagement Information Technology, explained, “Most
jobs today require you to have technical skills; even people who work on the business-side get involved with IT projects, and they work very closely with people who are technical and coding. Having existing knowledge in coding provides some context to the job itself.” Coding often pays more too. According to Burning Glass researchers found that jobs that require coding skills pay up to $22,000 per year more, on average. GWC Alumni Allison Lettiere got her start in coding when she participated in the program at GE during the summer of her junior year. She explained, “Even if you don’t want to become a software engineer, coding is a skill that can be applied to the day to day of many different jobs. It is important for college students to take an intro class that can simply expose them to the basics of coding while experiencing the analytical mindset that coding requires.” Even if you’re not looking to become a programmer, coding skills give you valuable exposure that can help you in many aspects of your 21st century career. Learn more at girlswhocode.com.
10 Entrepreneurship
By: Colette Gordon Congratulations to the On the Money team. On the Money was the ONLY business to compete in the Junior Achievement Company Competition during Spring 2017. Congratulations to Natasha Chaiyarat, who was selected Customer Service & Sales Team Lead of the Year. Also, congratulations to Nia Richardson who was selected to speak at the Junior Achievement KIN Global 2017 Next Generation Module Meeting & Colette Gordon who is a finalist for a scholarship from Junior Achievement for her essay detailing her experience as President of On the Money Magazine.
ON THE MONEY: FINANCE
Player Salary in the Sports World Have you ever wondered why certain athletes make more money than others? Athletes with the same legendary legacy in their sports have contracts with different worth. For example, the highest paid athlete in the NFL is the Indiana Colts quarterback, former first pick in the NFL draft and a 3 time pro bowler Andrew Luck who made $24,594,000 in 2016. But in baseball, a statistically safer sport, the highest paid player in MLB is 6 time all-star & former MVP, the Los Angeles Dodgers starting pitcher Clayton Kershaw who racked up a whopping $35,571,428 in 2016. And finally, in the NBA, the athlete who is arguably one of the most imposing and most well known athletes in the world, 4 time MVP, a 3 time NBA champion, and a 13 time all star, Cleveland Cavaliers superstar forward Lebron James, made $30,963,450 in 2016.
is the NBA with the average player earnings at $5.15M. Next, it’s the MLB with average player earnings at $3.2M. Then, the NHL with $2.4M and finally, the NFL with the lowest at $1.9M even though, according to Bleacher Report, football is third in the top ten rankings of sports with the most injuries. Many things play a part in these average individual earnings. The number of players on the team or in the league or even how many games are played throughout the year all have an impact. For example, a single NBA season is 82 games, but the MLB has 162 games. The NFL has only 16 games. Also, football (NFL) not only has the shortest seasons, but the most players per roster at around 50-54. In the sports world, the more people to a team, the more money that has to be distributed throughout the roster.
By: Alexander Shaw
But those are just individual players, let's take a look at the facts. The league with the highest average salary
Average Salary: Total # of Teams: Avg # of PPT*
NBA $4.6M 30 13-15
*players per team
11 Finance
NFL $1.9M 32 53
MLB $4M 30 25-40
NHL $2.4M 30 23
Illinois Budget Crisis Be Aware, Be Prepared
The reality of the Illinois budget crisis cuts deeper than schools losing funding. Billions of dollars in pensions are at risk; you may be asking yourself, “I’m young, why should I care about pensions?” Well, let me give you a reality check. Currently, Illinois owes $203 billion dollars in pension and health care benefits to retired workers (Illinois Policy.org).
for the 2016 school year. However, with the budget impasse and the money failing to be provided, “This burden falls on both public and private colleges and universities that desire to serve a range of students, rich and poor” (News Gazette & nonprofitquartely.org). Furthermore, when commenting on the university cuts, Southern Illinois University President, Randy Dunn states, “We’re seeing this incremental dismantling of our universities piece by piece, as people get laid off and things get shut down”.
Furthermore, according to Ted Dabrowski, Vice President of the Illinois Policy Institute, “The growing cost of pensions has trapped the state...forcing many governments to raise taxes and shortchange programs on which lower-income Illinoisans rely. Younger government workers are also trapped in state and city pension systems, forced to pay into broken pension funds from which they may never see benefits. In short, if you plan to work in Illinois, be prepared to start funding your hard earned money to the state, in addition to trying save so you can actually have a retirement.”
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Although the reality is startling, do not be discouraged but be prepared. Apply to scholarships, ask questions, start saving and stay involved in and aware of the funding situation in YOUR state!
Wait! There’s more. For those of you who are part of the low income community and are eager to go off to college, prepare for the worst but hope for the best. The MAP grant, provided by the state, which particularly supports low-income students, was expected to provide over $300 million to Illinois students
By: Christi Wright
16 and Pregnant… Or Not? Affordable Options for Birth Control A total of 249,078 babies were born to women ages 15–19 years in 2014. That is a birth rate of 24.2 per 1,000 women in this age group. This is a huge number of most likely unplanned pregnancies that could have been prevented with proper health care or even knowledge pertaining to this issue.
those who aren’t insured, they’re able to go to places like Planned Parenthood to schedule an appointment for a birth control discussion known as HOPE or a gynecological exam in order to obtain the birth control. The use of Planned Parenthood health centers is free, but there may be other costs associated “with the examination and the birth control. Cost varies depending on where the teens live as well as the type of birth control they want.” The visit for the prescription costs around $35-$250 while the birth control pills can go up to $50 for one month supply. If the cost is too much, consulting a health center can help teens find an option that fits their budget.
For those with insurance, according to Ms. Maher, a healthcare agent, “[currently] insurance companies are required to cover some form of preventative health care which includes birth control under the Affordable Care Act.” Alhough there may be changes in the future, companies must cover at least one form of birth control, whether it’s the pill, the NuvaRing, or the patch. Birth control is easily accessible and covered as long as there’s a prescription from the doctor. In 2014, 6% of children under 18 were not covered by any health insurance. For
Prevention of sexually transmitted diseases (STDs) is also important to consider. Condoms are a generally low cost option that can prevent STDs AND are a form of birth control. Condoms are available at any drugstore for a low cost AND are also available at health centers such as Planned Parenthood for free or a very low cost. Teens have options and it’s time to recognize it. 12 Finance
By: Carmen Li
HOUSING AND POVERTY In 2015, there were 43.1 million people in poverty (2015, Census), and in particular, there are a number of children living in poverty. In 2014, 44 percent of children under age 18 (31.4 million) lived in low-income households and 21 percent lived in poor families (15.4 million) in the U.S. The percentage of children living in poor households increased by 18% from 2008 to 2014 in the U.S. (National Center for Children in Poverty (NCCP) at Columbia University’s Mailman School of Public Health, 2016). Increased childhood poverty leads to many disadvantages for children. Research indicates that children living in high-poverty neighborhoods are less likely to perform well in school and are at a higher risk of being involved in criminal activities. The U.S. Department of Housing and Urban Development conducted an experiment called Moving to Opportunity which involved 4,604 families. They were either placed in a group that received a housing voucher or continued to live in public housing without receiving a voucher. The results show that children who were younger than 13 when their families used the voucher to move to areas with lower poverty rates had 31% (~$3,477) greater average annual wage than those in the control group by their mid-twenties (Wascalus, Federal Reserve Bank of Minneapolis). Today, many of the biggest programs that assist families with housing vouchers are generally Housing Authority programs around the United States. The director for youth opportunities under the Chicago Housing Authority, Ebony Campbell stated that the mission of the program is to “provide a safe and quality home across Chicago for families in poverty.” She also explained that families who qualify for the program will be open to housing choice vouchers or Section 8 vouchers. The CHA also provides clinical services as well as youth education and jobs to residents or anyone under the CHA program. Under the youth opportunity department, the CHA will also assist high school seniors into getting assistance in paying for college. There are 220 scholarships of $2,500 with only a requirement of a GPA of 2.5 and being in the CHA. Finally, any student who wants to attend a community college can apply for a full tuition scholarship to attend the college. Finally, through various housing programs like the CHA and the Sargent Shriver National Center on Poverty Law, many families were able to receive vouchers for homes in safer environments. If more programs were available, additional youth living in poverty could have housing in safer environments.
By: Min Zhen Chen
Gentrification Exists, but Culture and Small Business Persists Walking down in Pilsen today, a neighborhood on the West Side of Chicago, compared to 8 years ago, I have noticed a change in the way Pilsen and its people have changed. I’ve noticed more ‘hipster’ coffee shops, nightclubs and high end restaurants, replacing local businesses that have previously been there for years. Gentrification has affected many low-income and minority neighborhoods in urban cities, forcing their residents to move to other neighborhoods with affordable housing and services. What people may not realize is that as the consumers in a neighborhood change, the local businesses also face the challenges of the changing environment and clientele. The local average income in Pilsen has risen by 24% (considering inflation) within the last 17 years and is currently at $47,856, according to the City of Chicago’s data portal. With this increase in income has come an increase in property value, which local resident and business owner Thelma Uranga (owner of Rowdy Corazon) has agreed that she is experiencing. As helpful as increased value for your property sounds, there are challenges as many new residents are choosing to shop at larger corporations rather than the local businesses already in place. John Wedbee (owner of Heart of Chicago Grooming) explained the struggle faced as large corporations move into small cultural neighborhoods saying “… the American public [prefers] convenience over quality.” Regardless, Wedbee notes that he will not be changing his image of personalized dog grooming business saying, “If I were to give up, it’ll open the door to replace higher quality service [with convenience].” In addition, Thelma Uranga also said she isn’t willing to change her Mexican-inspired accessories line because of the “importance of preserving culture.” Thus regardless of the challenges local business owners may face, many refuse to change their image and plan to stay in Pilsen as long as possible. Gentrification is happening, but we can support local small businesses by shopping local.
By Karmen Rosiles
13 Finance
How to Make Money While You're In School
Created by Jcomp - Freepik.com
There comes a time in every teenager’s life where they want to earn money, but they just don’t know how. Finding work while attending school can help you have money for college. According to the Institute of College Access and Success, the average undergrad student loan debt is $30,100. Here is a step-by-step guide on how you can be a part of the adult world and start earning your own money.
While living at home, you may be able to save 70% of your earnings, and then set aside the other 30% for things that you want to do for fun. Keesha made this possible by working hard prior and during her college career by taking on things like babysitting, being a cheer coach, starting up her own business, and even doing YouTube videos. Learn how to network and start doing it! Networking is one of the most talked about skills that anyone can possess, but many people have not mastered it.
The first step to make money while you’re in school is to actually do something to earn money! According to the Bureau of Labor Statistics, the youth employment rate was 12% in 2016.
Here a few tips to consider: • Dress for the part. • Have integrity! -- be the same person when people are and aren’t looking. • Clean up your social media (this is a strong part of marketing yourself). • Don't be shy! (Trust me, if I hadn't networked I probably wouldn’t have as many opportunities as I have now.) So get out there!
How do you find a job or internship that peaks your interest as well as your pocketbook? If you’re just looking for a small part-time job, go job searching on the web or even at your local library. One program that youth ages 14-24 can apply for is One Summer Chicago (OneSummerChicago.org). If you’re in college and receive work-study, make sure you’ve talked to your college to secure your position.
Remember: It’s not who you know, it’s who knows you.
A fellow student of mine, LaTonya Anderson, 17, found an internship through a program founded in Chicago named the Chicago Summer Business Institute. She found out about this opportunity through her counselor at her school.
By: Kayla Lucas On the Money would like to thank Byline Bank for their sponsorship of this issue.
Learn how to budget your money! Graduate student and former marketing major, Keesha Anderson, advised that you should keep a journal or agenda with you to keep track of all of your expenses. “You should plan to spend and save your money on a 70/30 system,” Anderson stated. 14 Finance
How Important Is Your GPA to Colleges? According to the article, The Importance of the GPA in College Admissions written by Marie Schwartz, “You should rest assured that a student's GPA does not paint the entire picture of an applicant. College admission officers are looking for students who will make a positive impact on their campus, both inside and outside of the classroom.” Although colleges look for students with strong GPAs, several also look for students who are very active outside of the classroom; students who participate in sports, clubs, programs, and display excellent leadership skills. Colleges also look at a student’s test scores and high school curriculum. On the Collegexpress list of top ten things that college admission officers look for in high school students, the first four include: a challenging high school curriculum, grades that represent strong effort and an upward trend, solid scores on the SAT or ACT--consistent with high school grades, and passionate involvement in a few activities, demonstrating leadership, initiative, and impact. According to Michael Hines, Program Coordinator and Assistant to Purdue University Northwestern’s Vice Chancellor Educational Opportunity Programs and Ronald E. Mcnair Post-Baccalaureate Achievement Program, a student's GPA does have an impact on their chances of admission into college. Hines stated that, “The GPA is a track record of a student's progress throughout a 4 year span and is a larger predictor of college readiness, persistence, and retention as compared to their ACT or SAT score alone.” The GPA does have a large impact on a student's application. It allows the college to see if he/she is prepared to succeed in college, but that does not mean that universities are not still on the lookout for a well-rounded student. Hines described a well-rounded student as one who puts their education first, is inquisitive about their education as well as being involved in campus activities and building relationships with staff/facility. Students overall should maintain a good GPA as well as work to be a well-rounded student. High school senior Madeleine Beirne, who will be attending Tufts University in the fall, stated that she definitely believed that her performance outside of the classroom had a greater impact on her chances of admission into college due to the simple fact that it made her stand out from all other applicants. Beirne believes, “Universities tend to prioritize an applicant's work outside of the classroom because it is the part of their application that tells their story best.” The bottom line is students should not just focus strictly on their GPA, but also on being a well-rounded student. By: Amber Anderson
15 Finance
Look Great for Less! New fashion trends are constantly dropping, and teens have the urge to get the clothing that is in style. Most of the new trend items that drop are expensive, but can be easily copied and done at home. For example, the black bleached T-shirts that have cuts in them are trending, and teens are buying them up in popular stores like Forever 21 and H&M. As you walk in these stores, you will see surprising prices on these easily designed shirts. Now is the moment to change the game and show your creativity! Try upthrifting or customizing your clothes in the comfort of your own home. Upthrifting is shopping at a thrift store, flea market, garage sale, or other resales to find inexpensive clothes and then adding your own touch of style onto the clothing such as sewing fabric onto pants or painting or drawing on a jacket. When you shop at a thrift store, the price of the clothes is lowered drastically, and they also have 50% off days. For example, the Salvation Army’s thrift store has “50% off Mondays.” The upthrifting movement has really taken off during the recession and has grabbed hold of millions of people across the country, especially adolescents. Based off The National Association of Resale and Thrift Shops (NARTS)’s survey, there are more than 25,000 resale shops in the United States and growth in the number of stores was 7% for two years in a row. Goodwill and some other resale chains have over $1 billion in sales annually.
Interview: Tatyana Morris, Thrifting expert 1. How often do you shop at a thrift store? Every couple of months 2. Why do you shop there? I find unique, vintage, and twisted clothes that are limited so most people don't have them. 3. How do you add your own style to your clothes? I add buttons to the jackets, paint or bleach some of the clothes, and add a few cuts.
Instead of throwing away your old clothes, you can use fabric to add to it. For example, those too-small leather pants at the bottom of your dresser can be cut and sewed onto your back pants pockets to match your black shirt that you bleached yourself. After getting the hang of upthrifting, you might even think about starting a clothing brand. The entrepreneur Ayanna Watkins, creator of ‘Rebirth Fashion’ clothing line, had suggestions about how to make your fashion brand a success. One of her key tips was to actively network. Even if you don't want to start a clothing brand, upthrifting is inexpensive. Overall, upthrifting is a positive and growing trend.
By: Lorren Ross
The CFA Society of Chicago volunteers provided financial education to EAC youth across Chicago during spring 2017.
On the Money would like to thank TCF Bank for their sponsorship of this issue.
16 Finance
Attending College on a Budget How to Survive Freshman Year
Good News! You graduated high school and now you are entering the hardest stage in life financially: ADULTHOOD. You’re not alone. Many students are struggling to balance school and social life as well as trying to pay bills. According to Best Colleges, “In 2016, U.S. graduates left school owing an average of $35,200 in combined private and state loans and credit card debt”. The good news is that you don’t have to be a “starving student” in school if you take advantage of all the opportunities available to you and make a budget that fits you.
On Campus
The key to having a secure financial future is having an estimate of income & costs, a budget. Here are some tips for creating the right budget for you:
Many colleges have onsite facilities that hire students, like the dining halls which may have a perk of free meals! Other options are: • Cafe Barista • Mail Room Attendant • Library Attendant • Resident Adviser {RA} • Teaching Assistants {TA} Another perk about working on campus is that it will be easier to balance your school life and work. If being on campus 24/7 is overwhelming, then there are many off-campus jobs available to college students. Here are some things to keep in mind:
Be Realistic
Off Campus
• Know the difference between wants and needs. • Align your budget with your goals and values. • Don’t punish yourself for messing up-no one's perfect!
Wants Vs Needs “Needs are anything involving hygiene, food [not junk], and cleaning supplies.” - Siobhan Kelsie, college freshman. How do you determine what is a need or want? A need is something that is necessary or required while a want is something you desire. Sometimes in life you need to indulge yourself in your wants, but it’s important to focus more on needs.
Make That Money
College is the gateway into adulthood and part of being an adult is being able to support yourself financially. Also, if you work during college, then you can reduce the debt you may owe. According to The Citi/Seventeen survey, nearly 4 out of 5 college students are working part-time while studying for their degrees, averaging 19 hours of work per week.
“It’s good to have a job that is flexible for you as you are finding yourself ”- Autumn Bolling, college junior.
• Take into account your class schedule when deciding how many hours to work. • Try to get a job that is close to save money on transportation. • Consider your sleep schedule and study hours.
Save That Money
Saving money is just as important as making money and here are some tips to save some cash: • Don’t make impulse purchases. • Always pay bills on time to avoid late fees. • Wait to get credit. If you have a credit card, pay the FULL BALANCE every month. (It’s good to establish credit, but a bad credit score follows you everywhere. Learn more – visit EconCouncil.org – Get Real program) • Get banked and setup direct deposit for your paychecks. You just need your account number and routing number. • Walk, use public transportation or ride a bike instead of having a car. • Live with others so you can split rent and utilities. College is all about molding how your life is going to be. Make a budget that fits you too!
By: Jasma Wheeler
College Life for Dreamers I know some of you will be wondering what the word “dreamer” means. Dreamers are people who moved from their countries to the United States in search of a better life. There are 11.7 million immigrants in the United States, and there are 4.4 million teenager dreamers in the United States. High school seniors that are dreamers likely worry about what college they will attend, how to pay for it, and safety for them and their family.
is to invest it in your own business or someone else’s business. Investing is putting your money into a business to yield a good return. Where you invest your money depends on your time frame and risk.
Dreamers can benefit from financial capability as much as other teens. Here are some tips to managing your funds as a high school senior and dreamer. future date. It is important not to spend everything you earn.
Working hard could lead to a better life and attending college. For example, a senior at Roger C. Sullivan moved to the United States four years ago. He could not speak English at all, but he did not let it bring him down. He is now attending Arrupe College, and he is transferring to a four year college. You are not alone, dreamers together stand and together succeed.
Invest your money: Another way to put your money to use
By: Daniel Kota
Learn more at EconCouncil.org - GetRealProgram
Scholarships: Some scholarships are available to everyone
regardless of your immigration status so I encourage all dreamers to take advantage of these opportunities and apply for scholarships. Every little bit of money helps to pay for college. There are also states that give financial aid as long you went to high school in the state for at least 3 years, such as Minnesota.
Save your money: Saving is setting aside your money for a
Money Walks: The Budgeting Transition From High School to College “A budget is telling you where to go instead of where it [money] went” - Dave Ramsey
planning for future expenses, cutting spending, and spending wisely when necessary. Teens should always keep track of what their money is being spent on. According to Investopedia.com, teens’ income projections should include sources of income, such as: Allowances Stipends Bonuses Tips Gifts Wages
Teens transitioning from high school to college ultimately have to spend money at some point within their transition. Have you wondered what would happen if you ran out of money and were in need in an emergency? The way to maintain money and build emergency savings is to have a budget. Creating a budget not only will help save money, but it can also teach you how to better your spending habits overall. According to the Allstate and Junior Achievement study, a majority of students admit that they don't know how to balance their spending and saving.
Did you know that a surprising 60% of teens run out of money before the end of their first semester (Edvisiors, scholarshippoints.com)? Clearly, teens more than likely do not know where most of their money is going. During the summer, before you go to college, get started on the budgeting process. Start saving even in high school and track how much money you spend. Finally, be sure to get a bank account so you’ll know how to handle money when you go away to college.
“Those who don’t manage their [money] will always work for those who do.” - Dave Ramsey A budget, or a spending plan, is an outline of expenses that can layout the course of any money spent. A budget can financially help teens by
By: Amari Martin 18 Finance
My Transition to College: The Impact of Money
2. Save: Laundry, gas, food, books - they all cost money.
During high school, I was in the mindset that I would go to college far away where it would be 24/7 sun and nice weather. I wanted to be away from Chicago and its bad weather; however, at the end of my senior year, it all came down to money. I was able to receive almost a full ride to Saint Xavier University and only had to pay a reasonable amount. Even though I stayed in Chicago, I had to get used to a whole different side of the city that I had never seen before. I commute a 45 minute drive from home to Saint Xavier. This means that I have to wake up two hours before my class, with an hour to get ready and an hour to get there. I go to a small school where classes are up to 25 people in a class. I enjoy attending a school where I know my professor, and they know me by my first name.
3. Deadlines: Always jot down your deadlines in an agenda or calendar to keep you on track with school work. Also include bills. Try to have one online and physical calendar. 4. Take a break: Breath in and out. 5. Make a strong relationship with your parent(s): Although you might feel free from them, keep in touch with them because they’re going to be there for you through thick and thin. 6. Use technology: Great apps to check out if looking for a car is; Let go,Vinny, Wiper,etc.
Through On the Money Magazine, I was able to save up to buy a car to make it possible to get to college. It is a completely different experience from high school to college. Most importantly, you have to learn how to balance your money. Most of the money I’ve spent this year was on books, gas and food. Sometimes you may have to make a choice whether to eat, study or sleep. You learn to be an independent individual with plenty of responsibility that follows you everywhere. I learned to balance three jobs while being a full time student. I learned to get around by myself without the assistance from my parents. Soon I will be moving out and actually living on my own. At the end of the day, you have to put your priorities before fun.
7. Explain: Try to explain to your parents why you chose the school that you did. 8. It's okay to transfer: Sometimes you think a four year university is the right fit for you, but if you decided to start off doing your "Gen. Eds." in a community college, it's perfectly fine and could save you money too! Finally, I just want to wish all of the OTM interns and CPS students graduating, congratulations and good luck in college!
By: Jennifer Baeza
Here is some advice for incoming college students, based on my experience. 1. Socialize (the right amount): It’s great to socialize but try not to overdo it when you have a deadline right around the corner.
Thank you to State Farm Insurance Companies for their support of On the Money Magazine and the Economic Awareness Council. Thank you to Illinois State Treasurer, Michael W. Frerichs, and State Farm agents Dwan Johnson-Bell & Linda Mitchell for speaking to Chicago students at the Young Chicago Saves Conference. 19 Finance
TRY IT OUT!
Apply what you learned in On the Money!
1) On page 5, Jonathan Lee lists Dr. Rahim's 10 entreprenuerial traits. Select three of the traits you have and explain why you think they are important. 1. ___________________________
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2. ____________________________ 3. ____________________________ 2) On page 6, Fan Xuan Peng discusses telling your business' story with the HOW, WHY & WHAT. Select one entrepreneur profiled in On the Money and tell about their business. HOW: WHY: WHAT: 3) The articles on pages 16-19 all relate to budgeting. Test yourself, do you know what you spend money on? Try to remember as many recent items you purchased and how much they cost.
Expenses Items
Cost
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