What is a Super PAC?

As mentioned in our previous blog posts, Super PACs have played a role in creating some of the campaign ads you have seen this year. Super PACs are not formally associated with the politicians that they support or condemn. So, if they are not part of the official campaigns, then what are they?

PAC stands for Political Action Committee,  an organization that works to influence the outcome of an election. Super PACs were created in 2010 following the Supreme Court rulings in the case of Citizens United vs. the Federal Elections Committee (FEC). The Court ruled that corporations are entitled to give campaign contributions, as long as the money does not go directly to a candidate. So instead of giving lots of money to a particular candidate, corporations can give lots of money to PACs. Even though PACs also cannot contribute directly to a candidate, they are allowed to receive and spend an unlimited amount to reach an independent goal (and that goal may be to get someone elected). When a political action committee receives funding from millionaires, corporations, or big groups without any legal limit, then it is known as a Super PAC.

Super PACs have influenced the 2012 elections by funding many of the (mostly negative) political advertisements. These organizations have the money and resources to air their ads practically all day on all TV channels . The more funding a group has, the better it can bombard viewers with its message. And because Super PACs are not technically associated with candidates,  politicians are not held responsible when a Super PAC chooses to lie.

Coincidentally, presidential elections have often been decided by who spent the most money. This year's president may the one with the richest PACs behind him.

Readers, what do you think?  

Should corporations be allowed to donate to Super PACs anonymously?

Let us know your opinion!

References:

Cordes, N. (2011, June 30). Colbert gets a super PAC; so what are they?. CBS News. Retrieved September 7, 2012, from http://www.cbsnews.com/stories/2011/06/30/eveningnews/main20075941.shtml.

CNN Political Unit. (2012, August 2). Poll: super PACs? Never heard of them! CNN. Retrieved September 7, 2012, from http://politicalticker.blogs.cnn.com/2012/08/02/poll-super-pacs-never-heard-of-them/?iref=allsearch.

Ensign, R. L., & Mullins, B. (2012, August 6). Here a PAC, there a PAC - except some are not so super. Wall Street Journal. Retrieved September 6, 2012, from http://online.wsj.com/article/SB10000872396390443343704577552950583164464.html.

Web Site Pick of the Week: Mint by Elizabeth Kolles* (Guest contributor)

Web Site:     Mint     (https://www.mint.com)

CORRESPONDING POST:  How to Save Money While Going to College

REASON:

Wouldn’t it be nice to actually see all your accounts in one place, set financial goals, have a budget, and find the best ways to save all in one place?  Fortunately, there is actually a Web site that offers all this and more. The best part: It's FREE!  

As stressed before in How to Save Money While Going to College , higher education is expensive and paying for financial advice is the last thing broke college students need. Mint.com actually provides you with the virtual tools needed to be financially savvy. 

Upon registering for Mint.com, you must simply provide your banking username and password.  Be sure to use a secure internet connection (while the site is secured and encrypted, your connection may not be). Within minutes your whole financial profile is displayed before you: your cash, credit cards, loans, investments, property, upcoming bills, etc.  You can view all your previous transactions, create a budget, and set financial goals for your future… all things necessary for students to keep track of.  

Another benefit is the “Trends” tab, which includes extremely helpful charts and graphs that illustrate your expenditures overtime, so you can see where your money goes. In addition, the web site actually sends automatic reminder alerts to your mobile phone or email, which can be useful for those individuals who must pay their rent, utility expenses, cell phone bill, car payment, etc.  

TRY ME:  Go to www.mint.com and sign up for FREE.  Make a budget, chart your spending, and see where your money goes.

Leave us a comment and let us know if you see any interesting spending trends!

 * Elizabeth Kolles is an undergraduate student with UK Department of Family Sciences

 

References

"What is Mint?" (2012). Mint.com. Intuit Inc. Retrieved September 2012, from  https://www.mint.com/what-is-mint/.

Video Post: Attend College for Free by Mariah Hosey* (Guest contributor)

Visit NBCNews.com for breaking news, world news, and news about the economy

Why pay for college when you can go for free? It seems like only the straight A, All- American students get scholarships these days, but really they aren’t the only ones who have been given free money. College is so expensive, sometimes costing up to $100,000 over a four-year process; and there are some accessible ways around those costs.

Good Morning America shows us how to work the financial systems for cheap higher education. Fanoush, who is a financial expert, explains that the difference between debt and surplus is a little digging and planning ahead. She tells the watchers that

1) Some select colleges have free tuition

2) Scholarships aren’t just for the elite

3) Serving your country can lead to some pretty good perks

Quick Thought:

As a young adult, the lack of money is such a scary thought. Sometimes it seems easier to just get a job right after high school to avoid having loads of debt the second you graduate. It is important to know your options when it comes to college so that we may think ahead to the future with hope and not fear. I think going to college is a very tangible thing with a little bit of work. I wish I had spent a little more time researching available scholarships earlier in my life, because it would have been a tremendous help during my undergrad years. Fortunately, I now know the tricks to free school and will be able to use this knowledge for graduate school.

It's never too late to start looking into saving money and finding scholarships, even if college is a few years away. Every dollar helps, and very small scholarships and grants will add up over time. Take the time to do a little research, and apply for as much financial aid as possible.

READERS, what do you think?

•  Is higher education a tangible idea? What if it were for free? 
•  Would you ever want to dedicate a couple years after school to the military or a humanitarian organization?

 Tell us your thoughts!

*Mariah Hosey is an undergraduate student with UK Department of Family Sciences

References:

Cibrowski, Tom. (Producer). (2012, September 12). Good Morning America (Television Broadcast). New York, NY.