Christmas 2060: Grandma Just Paid Off Her Student Loan Debt

That’s not the best title in the world, but it’s an accurate one. Student loan debt is putting not only students but their families on hold in terms of big life events like buying a home and starting a family, or getting the kids out of the nest and taking retirement. Millennials’ debt is hitting hard on their middle class parents who made too much money for their kids to get financial aid, but not enough to pay their way through college. In some cases they have even cosigned private loans and are now on the hook for the payments. It’s a bitter pill for Boomers who were expecting to retire in their fifties, only to see their jobs take a hit in the Recession, along with their retirement savings, and sometimes even their homes.

Retirement and Everything Else Postponed

With all the handwringing about the Millennials’ inability to buy homes, start families, and do other American Dream type things, you’d think that there would be more measures taken to alleviate that debt and help them find work that these degrees were supposed to secure. While the job market is looking up, there is still little guarantee that a degree will get you that job. What’s worse, the person holding position at the top of the ladder can’t afford to retire even when social security kicks in, because of their financial position. The result is a bottleneck that retiring at 55 and collecting social security was supposed to alleviate. It’s a safe bet that the Boomers never thought that they’d be in this bind, either.

As it stands now, the Boomer parents are in it until their kids are no longer crippled with debt and they can rebuild their savings enough for a modest retirement. Generation X – the generation after the Boomers – are struggling with their own student debt as their own kids move up on college age. They’re dealing with stagnant wages, the after effect of the Recession, and the echoes of the mortgage crisis and crushing credit card debt. When out government got into the student loan business, it was supposed to increase enrollment and make a path to more prosperous careers for graduates. Instead, it’s making sure that the newest crop of grads won’t be able to retire until an even later age than their parents.

Make It a Family Affair

If student loans are eating three generations of savings and stonewalling dreams instead of helping to pay for them, it’s time to get help. There are steps you can take, you can do something to get your financial house on a firm foundation, and one of those steps is consulting with us. We have experience, we have knowledge, and we can help you to tame your debt, no matter what generation you are. There are lots of options open to you, and we’ll help you to find the ones that will work for you. Then in 2060, Grandma can be baking cookies instead of working two jobs.