Terry

I’ll trll you why I don’t apply. I have an idea, but I don’t have a team. Also, I am not female and I am not under 35. Tell me where an individual male over 35 can apply and I’m on it.l

Also, I have a minimum wage job and as I understand the VC world, they check out the principal(s) as much as or more than the business plan, so I doubt I’d measure up to their standards.

Kevin Cherrick

I wouldn’t apply because I’m not a woman. Warning: Tangent ahead! How important is it to have patent protection before trying to build a team. It’s been a barrier to me and I just want to get on with it.

Terry

Excellent point – and one I have a hard time holding onto – thanks!

I have a lot of experience reading job listings and have self-selected out of applying for so many, thinking they’re asking for the moon and I’m not up to their standards.

I forget that while they’re asking for the moon, they’re usually not likely to get everything they want in an applicant, so my prospects are better than I think.

Canadian Money

You make some excellent points! Once I was in a company training course and sitting at a table with a guy who years later became the head of my department. I did badly on an exercise and said something negative. His response was…don’t worry about it…see it as a learning experience. I have forgotten the course, the exercise but I always recall what he said. His subsequent successes proved the value of his “view failure as learning” attitude.

Azraael

Excellent points.

It seems to me that the (or at least A) big problem is information… where can someone find out what opportunities are out there? Is there a “google scholarships” out there? Or does one have to first look up institutional contacts, then figure out if they offer anything, and only then apply?

Philip Plante

Stefanie, I think that is exactly what Ramit is talking about. Overnight the idea RIGHT NOW, it will get there in time.

Don’t let that stop you.

jrk

It’s funny you should post this, as I just had such an exchange with a friend and mentor (now an EECS Prof. at Davis and PBwiki fan) about my application for an Intel fellowship this year.

As he points out, I have 3 years of NSF Graduate Research Fellowship coverage, I just got my 2nd annual NVIDIA fellowship, and my advisor has an NSF CAREER grant, Alfred P. Sloan fellowship, etc. Shouldn’t we opt out to save some money for the less well-off?

In this case, Intel only runs its fellowship program through the top 5-10 EECS programs, and they ask those schools to internally select a small handful of applicants among whom Intel makes the final decision. So who am I stealing from? A computer architecture student in an even better-funded group at Stanford? Another such student at Berkeley?

Still, the world of research funding actually is limited (effectively zero-sum) in the short term. The vast majority of funding comes from a handful of government sources—NSF, DoE, DoD, NIH—and they have fixed annual budgets to apportion among applicants and programs. And they never have too few.

You might argue, though, that by better supporting the best work, they can effectively increase the potential for long-term funding throughout the country and world by supporting economic development through innovation (increasing the amount of available money), and by demonstrating positive results to the people who control their budgets (congress).

I’m not sure how well anyone can judge whether that line of reasoning works out in reality, though, and I think John has much more direct experience with academic research funding than I do. I’ll see if I can get him to post.

Dan

I wouldn’t apply because it’s for women only.

Nir

It’s interesting that so many are so quick to give themselves exuses thinking that it won’t be worth the trouble.

Personally for me, as a High School Softmore, I can’t want until I can apply for your scholarship Ramit.

Sandy

In my senior year I was only interested in money for college, not to start a company or do a project. I would have been very turned off by the fact that it looks like you are not offering the money for college. (Also, in high school I had no interest in business or entrepreneurship, so that probably plays into it – I was not the type of person you seem to be searching for.)

Also, I agree with the poster above who wondered how many students knew of your scholarship. What did you do to publicize your contest?

Terry

I *already* got in debt to get a college education. Worse, I had saved up $4K by the time I graduated high school in the mid 70s (probably about $20K in today’s dollars), blew it all on college, and then took out student loans while working min wage jobs.

My student loans are currently in default (making partial and negatively amortizing payments) and therefore I cannot get any loans or grants at all.

Also, an aggressive debt scavenger has bought up almost all my old non-student-loan debt (charged off when health issues put me in hospital and unable to work and without income for an extended time) and is suing me to collect.

So it looks like either bankruptcy for me or else I will have no money for the foreseeable future.

I don’t see a light at the end of this tunnel.

Carter Adler

I know the truth of what Ramit is saying. My wife and I were both actively involved in marching bands in high school & college. Money is tight for the universities around us, and on no less than 5 occassions (and probably closer to 10) we have told the university band staff to call us the next time the do their annual fund drive. Each year we set aside some money to give to them. At this point we’ve got nearly $2,000 saved up, because year after year, they never ask! If they aren’t calling us — and we have told them that if they call, we will give — then how many other potential donors are they missing?

Beejay

No surprise no one applied for your so-called scholarship of only $ 1.000. Who could possibly study a whole year on such a low amount? If you are really poor, about $ 100 a month is simply not enough support. I am surprised you don’t comprehend that. If you had studied the situation that poor students are in, you either would not have started this initiative, or would have made more money available.

Now it seems your scheme is more geared at attracting attention to yourself then it was ever intended at allowing anyone from a low income environment to study.

No doubt your name now is somewhere on a list of benefactors of some school or university. No doubt you have been spreading the news amongst your friends that you have established “a scholarship” in your name, without giving too many of the cheap details

Maybe some people have already praised you for your enormous generosity, without knowing the facts. This must have given you already some of the satisfaction you were really after.

If you ever seriously considered setting up a scholarship with the real intention to help a poor student, but could only spend $ 1.000 a year, you would soon have found out that far more money would be needed. Apparently you never did have really poor students in mind, and you certainly did not study their situation.

You’re not the only newly rich person that wants to achieve some fame without the sacrifice.

I conclude that “The Sethi Scholarship for Young Entrepreneurs” is a cheap way of self-satisfaction! Enjoy it, maybe you get away with it.

However as a regular reader of your website, I am deeply disappointed that you prove to be such a newly rich cheat as well. I enjoyed reading your articles, but now I feel you have fooled your readers, you appear to be overlooking the facts of life for some people in our society for your own benefit.

I understand that you are originally from India, a country with about a billion people today, most of which live in unbelievably poor circumstances, I don’t hope you’re going to tell me someday that every Indian has a chance to come to America and start a life like yourself. You should know that this is not true, just as much as it is not true that every child in America can go to a university. Not even with a mere 1.000 dollar “scholarship”.

Don’t try to treat your readers as fools again!

  A Great Post About Ways To Make College Affordable by Money Crashers

[...] from I Will Teach You to Be Rich, writes about how much money is lost from unclaimed scholarships each year.. The money is out there, you just need to apply for it! Don’t be shy or hesitant to apply for [...]

Ryan Johnson

Agreed. Keep up with the scholarship.

So does this count as the Millionaire Next Door book review?

Brittany

Ramit,

I completely agree that $1,000 here or there really adds up. I went to Indiana University and didn’t pay a dime. Not because I got one full scholarship, but because I applied for every one I was eligible for. That $1000 here or there quickly adds up to tuition, room, board, and less student loans for the scholarship recipient.

I think what you’re doing is great – keep it up

Gabe

I don’t even know where to begin responding to Beejay’s off-base tirade, but here are a few points:

- This is a scholarship for entrepreneurs, not a need-based financial aid grant. While helping poor students is certainly a noble goal this is not the focus of the scholarship.

- $1,000 is not a trivial amount – I think Ramit covered this well enough. It’s a myth that successful financial aid packages are the result of one or two massive grants. Plenty of people pay for college through a combination of smaller scholarships that add up.

- And the fact that no one applied should signal GREAT news to would-be applicants. Case in point: a girl in my senior class ended up getting so many scholarships that she had to give some money back – and she was attending a UC, one of the more expensive public university systems in the country. This girl was hardly the most distinguished academically – but she did distinguish herself by often being the ONLY applicant. Some people complained, but they had only themselves to blame.

Now, you wanna talk about an empty award: When I was graduating HS I received the Bank of America award for outstanding performance in the humanities. Guess how much money was included? 0.

Caitlyn

I’m a high school senior, and my mom is always ticked off that I won’t apply for any scholarships, besides those that knock on my door.

Last year, I watched all my friends apply to 10+ scholarships, invest so much energy and time, and only make $200, tops. So, besides the National Merit Finalist designation and MD Distinguished scholar money, both of which I had little choice in completing, I’ve entered for no scholarships. Instead, I’ve worked for a $7/hr, 17hr/week at a local used book store. I’ve earned about $4,000 this since last June, I’d estimate. (Not much, but I’m proud of it, and with the exception of money for Christmas presents, and an iPod, it’s all gone to my savings account.)

Why not enter? First, many “scholarships” are so stupid–”write 1500 words on patriotism’s importance to geology.” Am I supposed to take something so intangible seriously? Why not ask questions that are actually thought-provoking? I’m quite uncomfortable with BSing my way through something so lame, and frankly, it feels like prostitution. You give me $700, I tell you why goat farming holds America’s future. There’s no dignity there.

Second, I’m not going to invest myself in something that lame if it’s not a sure thing. For two hours of my time, I’d rather have $14 for certain than a 1/150 chance of getting $500. Personal preference.

Finally, the scholarships that do offer a sizable amount of money have stiff competition, and I don’t like that. I don’t deny that competition is an aspect of life, but I’ll just avoid such American Idol-like exhibitions, thank you.

Basically, I feel that the current scholarship system is another way adults can screw with talented young people in an attempt to control their future. “Say what we want you to say and be what we want you to be, and here’s $2,000.” There’s better ways to distribute money to needy kids than to give them two arcane essay topics, three recommendation forms, a transcript request and packet of indecipherable legislation.

Sorry if this comes across as excessively acrimonious but the whole situation just ticks me off, and being just barely 18, I feel some right to unjustifiable indignation.

Andy K

I’ll defend Caityln and the critics, to a point, on this thread. First off, both the napkin thing and Ramit’s scholarship are poorly communicated and marketed. If guys are thinking they can’t participate, and nobody applies for your scholarship, maybe this will go into the Failures folder and lead to improvement (I love that idea, it’s a great exercise in humility).

The napkin thing tries to be hip and minimal and fails to inform. The “scholarship” is presented as VC for a student-sized projects, it says nothing about using that money to pay for college (though that could be formulated as investment in Self, Inc.). In fact, the way it’s worded, using the money for scholarship seems excluded from a winning answer.

I think the elephant in the room that nobody mentions is “judgement.” Nobody wants to subject themselves to judges they don’t respect. Ramit and the VCs imply everything is based on rational analysis and persuit of purpose. They fail to realize that people operate on principles, desires, prejudices and other motivations they may call irrational.

Case in point is Caitlyn, whom I admire for not applying to frivolous “scholarships.” She has done a rational analysis of the EROEI and concluded that in her case it’s not worth it. Mike, shame on you for calling someone working hard to pay for college lazy. Nowhere did she disregard others, she just did her own thing–you’re the one knocking her for it. Thank god for youthful idealism and a little arrogance, they keep the world interesting and are probably major traits in 95% of successful entrepreneurs. The old calling the young immature, the young calling the old cynics, nothing new under the sun.

Finally, a reflection that has dodged me ever since reading this blog: if everybody did it, it wouldn’t be called entrepreneurism, it would just be run-of-the-mill daily grind. In other words, aspiring entrepreneurs shouldn’t knock those who choose something else. Ramit’s at his best when he gives insight into being an entrepreneur and encouraging others, not when he’s preaching to those that aren’t–their irrationality is relative. So Terry is not “selecting himself out of the pool,” he’s decided to spend his time differently in a way that may not benefit the contest organizers, and he even took the time to give you feedback about the image you project–don’t knock him.

I hope your week of ranting will be about something interesting (here’s a free idea: investigate the Rich Jerks) and not about the people who post here. Learn from those who think differently than you–that’s why I’m here.

Caitlyn

I AM sorry if I came across as arrogant; I’m in the middle of a difficult decision–I have to take a full ride + $4,000 cash/yr to UMD or pay up some $33,000 to the delightful UChicago. It was unwise to comment on this blog after leaving an animated discussion with my mom on the subject. I feel that the scholarship system is, if not broken, inefficient, and I wish that I could access that money without compromising my values, misguided as they might appear to you.

Mike, I wish that you reserve judgment on my character and rather than spend your time composing lists of my supposed “less-than-quality attributes,” consider my perspective and arguments. If you wish to correct my immaturity, provide me a graceful example of maturity. Thank you, and know that I read your comment with an open mind and great interest.

And thank you, Andy K, for being sweet.

Terry

I got a National Merit Commendation (translation as I understand it: I would have been a Semi-Finalist in some other state, but my state had a high cutoff score I did not reach) and all I got was my state’s piddly competitive scholarship which was worth $100 if I stayed in-state which I didn’t because I was academically recruited by an out-of-state college and I went there even through they didn’t offer any money.

Stoney851

I remember growing up (I am currently 27), that the largest financial lesson taught was to save, save, save. I believe the mindset of limited resources are trickling down generation to generation. I do see light at the end of the tunnel. Parents taught their kids to save for the disaster, rainy day, or whatever. Obviously, there is some truth to that, but it faulters us in things like finding college money.

It really boils down to laziness, in my opinion. There is always a better, or smarter way to do things. Thinking that there is nothing out there for “you”…IS rediculious! And it may be getting worse. Ramit, I will forward an interesting article I came accross and some responses from current college students. I hope it provokes an entry.

I Will Teach You To Be Rich » Students: Win $1,000 for your social entrepreneurship idea

[...] you’re not sure if you should, read what I’ve written before about applying here, here, here, and [...]

ptmoney.com » Blog Archive » 10 Things That Bring Success in Personal Finance: #3 Get a Job!

[...] are tons of ways to afford education. Here’s a book that might help. And here’s an inspiring article by Ramit at iwillteachyoutoberich.com about this [...]

Garbage, all of it. - Page 7 - Personal Development for Smart People Forums

[...] That’s Keeping You Broke | Inspired Money Maker – How To Make Money Doing What You Love I Will Teach You To Be Rich � Some people think there’s only a limited amount of money Mind-Manual � “Some people think there’s only a limited amount of money” The Little [...]

DRB

A $1000.00 scholarship is a huge help. How many of us pick up a quarter we see on the street? Most kids don’t apply for scholarships and I have never understood why. Some of the reasons may be that they don’t have any knowledge of the scholarships. But finding out is part of the job. One of my children received two $500 scholarships, one $1000 scholarship, one $1500 scholarship, and one $4000 scholarship. Ask the guidance counselor, go online, ask the parent’s employer, and apply for them. Here is one kid’s attempt at funding their college education http://www.payformykidscollege.com

50+ Tips, Ideas, Resources on Saving Money for College Students — Broke Grad Student

[...] Some people think there’s only a limited amount of money at I Will Teach You To Be Rich [...]

Nitin Rao

I’ve found it frustrating to see great opportunities, and very few applicants. The organizers lose our on access to the right talent, and applicants lose out on access to the right opportunities.

We’ve been running Let Me Know (http://www.letmeknow.in) to break this information barrier, finally. This is certainly a work-in-progress, but I’m happy that the over 500 opportunities we list is making an impact for a large number of students in India.

What To Bring To College- Applying For College Scholarships | Financial Independence in Your 20s | Studenomics

[...] some would call it, “free money.” It’s funny because Ramit Sethi wrote about how some people think there’s a limited amount of money and when I read the article it hit me that I am one of those people, sorry [...]

The Ultimate Financial Survival Guide For New College Students | Financial Independence in Your 20s | Studenomics

[...] Then one day I read a post over at I Will Teach You To Be Rich that really opened up my eyes about scholarships. I realized that Ramit would probably want to hit me over the head with a laptop if he spoke to me [...]