The Biden-Harris administration has signaled interest in forgiving up to $50,000 in student loan debt per college graduate. With a mind-boggling $1.6 trillion in total student loan debt, forgiveness would supposedly make living expenses more affordable.
But while it's appealing to some, plenty oppose this plan, and rightly so. Student debt forgiveness discredits the financial responsibility of thousands of families.
For some families, the cost of college is a planned expense. Parents save money meticulously. They sacrifice many luxuries to ensure their child graduates college with minimal debt.
Come May 2021, I (Leah) will graduate from Wheaton College with $11,000 in federal student loan debt. The out-of-pocket cost, approximately $10,000 per semester, was covered by my parents’ college fund. For over two decades, my parents prioritized my education (and that of my five siblings) over new cars, country club memberships, cruises, and vacation homes.
Without my parents’ sacrifice, my debt would likely total over $25,000, and I would not possess the financial habits I have now. Because of their sacrifice, I understand the value of spending wisely, prioritizing saving, and giving generously to others. My parents’ sacrifice inspired me to start a college fund for my future children.
For other parents, paying for college is out of the question, and their children absorb the burden of the cost.
I (Nathaniel) graduated from Ashland University with $32,000 in federal student loan debt. I paid for the out-of-pocket cost, approximately $5,000 per semester, with money saved from summer internships and an on-campus job. $32,000 is a lot of money, more than a college education should cost, but a manageable amount of debt. I was determined to pay it off within three to five years after graduation.
During undergrad, I spent two summers in Washington, D.C. For the first time in my life, I was forced to create (and live by) a budget in order to pay for school the next year. My grocery allowance was $30 per week. My meals consisted of oatmeal, scrambled eggs, and anything that simmered in a Crock-Pot. I did not go to happy hour, ride Uber, or go to New York City for a weekend. I walked or rode the Metro, read novels, and visited the Smithsonian. I could not afford luxuries, but at the end of the day, I met my basic needs and did not take out private, high-interest loans the following year. If I did not make those sacrifices, I could have graduated $72,000 in debt between private and federal student loans, a crisis brought on by indulgence, lack of discipline, and poor spending habits.
Student debt forgiveness insults families that spent years saving, and it equally insults students who painstakingly saved, budgeted their spending, and understood the damaging effects of debt. Student debt forgiveness teaches families and students that financial responsibility is foolish and unnecessary.
If the Biden administration wants to assist people financially, here is what it can do: increase financial literacy education and consider rewarding people who pay off debt on time rather than exempting them from responsibility by forgiving debt. The United States of America needs citizens who are financially literate and responsible and do not expect the federal government to ease their burden.
If the Biden administration cancels any amount of student debt, whether $10,000 or $50,000, we expect reimbursement checks from the Department of Education.
Nathaniel Urban is a graduate of the Ashbrook Scholar Program at Ashland University and the Academy at the Heritage Foundation. Leah Schnyders is a senior at Wheaton College and a graduate of the Academy at the Heritage Foundation.
