head of household; and $240,000 or less per year as married borrowers who file joint taxes or a qualifying surviving spouse.
Economics of aid Eyler says the current state of controversy regarding student debt relief comes from two competing economic perspectives. “One perspective says it’s good to relieve people of debts in which they got themselves into tough terms on credit deals in the first place and they have buyer’s remorse,” he explains. “This basically cleans that up and gives them an ability to rework what they do with that money [to pay off the debt], like spending it on a new car, moving into a home or potentially having a child.” Having the debt hanging over their heads while the interest just keeps growing means many just can’t keep up with the payments. “Debt relief takes away the problem and allows them to have a better economic life. That’s how the Biden Administration sees it. The government can provide relief because they’re too far behind. It’s a social assistance package.” But the flip side of the coin, in many people’s minds, “is that you are rewarding people for taking on debt, maybe not finishing their education or not getting an education best suited for the labor market and it should be on you if you didn’t think about the implications of the debt you took on,” Eyler notes. In other words, “you’re rewarding people for making poor decisions. That’s the crux of the right-wing political argument.” Those who paid Eyler points out that he borrowed money to get both his undergraduate and graduate degrees and he paid it off. There are millions more who have done the same and they have a valid argument, which he explains: “Now you’re saying that somebody who went into the situation with no idea that they would be able to have their debt relieved suddenly gets a check that washes away that debt,” he says. “Where does that leave me as someone who borrowed money to go to school and did the right thing by paying off the debt and not defaulting on it ever? Why am I the unlucky one? I’m not getting a retroactive check.” Another question that conservatives have, says Eyler, “is why are we using taxpayer dollars [for the relief]? Couldn’t we use these tax dollars for something else instead of giving them to these folks who took out the risk and should bear the brunt of the risk? It’s a hot-button item.” There’s also the economic argument regarding how student loan relief, if provided now, will impact how people will make decisions going forward, Eyler says. “Is this just a one-time deal or can people now look at higher education and borrowing to do it with less risk? And will that drive people to make the decision to borrow?” Eyler asks. Investment in people Many of the people wallowing in student loan debt are those who were unable to complete their degrees due to family circumstances or other “life happens” issues. Hence, they are underemployed and not earning enough money to pay the debt. Eyler says the Biden Administration’s push on providing
Education accountability standards for institutions. The new proposal is quite detailed in amounts it will forgive based on specific criteria, including income levels—those earning $120,000 or less per year individually or married filing taxes separately; $180,000 or less per year for those filing as Rachael Cutcher, financial aid director for Santa Rosa Junior College, says the entire student-aid system is ripe for an overhaul.
• 64 new students attained Million Word Reader status! • 15 students became Multi- Million Word Readers! • Roseland Leadership Academy is new to Read On as of 3rd Trimester, and had one Million Word Reader already! Our most recent update shows that approximately 85% of all students earned an Award in the 3rd Trimester for meeting their reading goal or doubling it!
42 NorthBaybiz
September 2024
Made with FlippingBook - professional solution for displaying marketing and sales documents online