The Best and Worst States for Student Debt
Where you go to college and what major you pick can have huge financial consequences, but where you live after graduating can also have a big impact on how much your diploma is worth — and how well you can handle your student debt.
How likely are you to land a good paying job? How high will your living expenses be? The answers to those questions and others like them go a long way to determining how burdensome those monthly student loans payments are.
Related: The Best Investment the U.S. Could Make—Affordable Higher Education
To ensure your loan doesn’t break you, experts suggest that your payment should not exceed 8 to 10 percent of your monthly income.
Unsurprisingly, the personal finance website WalletHub says, “Student-loan borrowers will fare better in states that produce a combination of lower college-related debt levels, stronger economies and higher incomes.”
To find those states, WalletHub looked at seven metrics, with special emphasis given to student debt as a percentage of average income, the local unemployment rate for people aged 25 to 34 and the percentage of borrowers aged 50 or older. Here are the 10 best and worst states for student debt. You can click on your state on the map below to see where it ranks.
Related: Private Student Loans: Everything You Need to Know
10 Best States for Student Debt
- Utah
- Wyoming
- North Dakota
- Washington
- Nebraska
- Virginia
- Wisconsin
- Minnesota
- Colorado
- South Dakota
10 Worst States for Student Debt
- Mississippi
- Rhode Island
- Connecticut
- Maine
- Georgia
- South Carolina
- New York
- Alabama
- West Virginia
- Oregon
Top Reads from The Fiscal Times:
Why Craft Brewers Are Crying in Their Beer
It may be small beer compared to the problems faced by unemployed federal workers and the growing cost for the overall economy, but the ongoing government shutdown is putting a serious crimp in the craft brewing industry. Small-batch brewers tend to produce new products on a regular basis, The Wall Street Journal’s Ruth Simon says, but each new formulation and product label needs to be approved by the Treasury Department’s Alcohol and Tobacco Tax and Trade Bureau, which is currently closed. So it looks like you’ll have to wait a while to try the new version of Hemperor HPA from Colorado’s New Belgium Brewing, a hoppy brew that will include hemp seeds once the shutdown is over.
Number of the Day: $30 Billion
The amount spent on medical marketing reached $30 billion in 2016, up from $18 billion in 1997, according to a new analysis published in the Journal of the American Medical Association and highlighted by the Associated Press. The number of advertisements for prescription drugs appearing on television, newspapers, websites and elsewhere totaled 5 million in one year, accounting for $6 billion in marketing spending. Direct-to-consumer marketing grew the fastest, rising from $2 billion, or 12 percent of total marketing, to nearly $10 billion, or a third of spending. “Marketing drives more treatments, more testing” that patients don’t always need, Dr. Steven Woloshin, a Dartmouth College health policy expert and co-author of the study, told the AP.
70% of Registered Voters Want a Compromise to End the Shutdown
An overwhelming majority of registered voters say they want the president and Congress to “compromise to avoid prolonging the government shutdown” in a new The Hill-HarrisX poll. Seven in ten respondents said they preferred the parties reach some sort of deal to end the standoff, while 30 percent said it was more important to stick to principles, even if it means keeping parts of the government shutdown. Voters who “strongly approve” of Trump (a slim 21 percent of respondents) favored him sticking to his principles over the wall by a narrow 54 percent-46 percent margin. Voters who “somewhat approve” of the president favored a compromise solution by a 70-30 margin. Among Republicans overall, 61 percent said they wanted a compromise.
The survey of 1,000 registered voters was conducted January 5 and 6 and has a margin of error of 3.1 percentage points.
Share Buybacks Soar to Record $1 Trillion
Although there may be plenty of things in the GOP tax bill to complain about, critics can’t say it didn’t work – at least as far as stock buybacks go. TrimTabs Investment Research said Monday that U.S. companies have now announced $1 trillion in share buybacks in 2018, surpassing the record of $781 billion set in 2015. "It's no coincidence," said TrimTabs' David Santschi. "A lot of the buybacks are because of the tax law. Companies have more cash to pump up the stock price."
Chart of the Day: Deficits Rising
Budget deficits normally rise during recessions and fall when the economy is growing, but that’s not the case today. Deficits are rising sharply despite robust economic growth, increasing from $666 billion in 2017 to an estimated $970 billion in 2019, with $1 trillion annual deficits expected for years after that.
As the deficit hawks at the Committee for a Responsible Federal Budget point out in a blog post Thursday, “the deficit has never been this high when the economy was this strong … And never in modern U.S. history have deficits been so high outside of a war or recession (or their aftermath).” The chart above shows just how unusual the current deficit path is when measured as a percentage of GDP.