Is College Worth It in 2026? Plus, How to Split Solo 401(k) Contributions to Save More

NerdWallet's Smart Money Podcast

NerdWallet Personal Finance

Investing, Education, Business, How To

4.3 • 892 Ratings

🗓️ 7 May 2026

⏱️ 38 minutes

🔗️ Recording | iTunes | RSS

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Summary

Learn what 2026 grads could borrow for college and how solo 401(k) contributions can build retirement wealth. How much could it cost to go to college in 2026, and is a four-year degree still a smart financial move? Hosts Sean Pyles, CFP®, and Elizabeth Ayoola dig into a new NerdWallet analysis of federal data with senior news writer Anna Helhoski and NerdWallet data writer Erin El Issa. They explore why most Americans say the federal student loan system feels broken even as they still see college as worthwhile, the rising appeal of the trades, how AI is shifting the way teens think about majors and careers, and what new borrowers could expect from the federal repayment options rolling out July 1. Then, Ryan Sterling, wealth advisor at NerdWallet Wealth Partners, joins Sean and Elizabeth to help answer a listener's question about how to split solo 401(k) contributions between the employer and employee sides of the account to maximize retirement savings. They discuss how solo 401(k)s differ from standard workplace plans, how to think about the contribution split if you also have a W-2 job, when traditional versus Roth contributions could make more sense, how solo 401(k)s stack up against SEP IRAs, the investment flexibility you could gain through a brokerage-based plan, and the common mistakes business owners make when trying to maximize retirement savings. NerdWallet Wealth Partners, LLC is an affiliate of NerdWallet Inc. NerdWallet Wealth Partners is a fiduciary online financial advisor, offering low-cost, comprehensive financial advice and investment management. Learn more at nerdwalletwealthpartners.com/smart Read NerdWallet's 2026 high school grad analysis here: https://www.nerdwallet.com/student-loans/studies/high-school-grad-analysis Want us to review your budget? Fill out this form — completely anonymously if you want — and we might feature your budget in a future segment! https://docs.google.com/forms/d/e/1FAIpQLScK53yAufsc4v5UpghhVfxtk2MoyooHzlSIRBnRxUPl3hKBig/viewform?usp=header To send the Nerds your money questions, call or text the Nerd hotline at 901-730-6373 or email podcast@nerdwallet.com. Like what you hear? Please leave us a review and tell a friend. Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0	Hey Elizabeth, we have to talk about the newsletter.
0:04.0	What newsletter are you talking about, Sean? You mean the new, free, smart money email newsletter?
0:08.6	Yes, and I have to say it is so good.
0:11.4	It really is. It has clips, episode roundups, and behind the scenes takes from me, you, and our producer, the stuff that makes you feel like you're really part of the show.
0:20.4	And listeners, for the record, you actually are part of the show.
0:23.7	I'm going to be sharing personal stuff.
0:25.4	You know, I love sharing my business, and I'm going to be sharing parenting tips from an eight-year-old and a single mom perspective.
0:31.5	And I am loading up the newsletter with my favorite gardening tips and lots of cute photos from my garden, including my pets,
0:38.4	just napping among my flower beds. It's kind of adorable. And the best part is that this newsletter
0:43.8	is totally free. So head to nerdwollet.com slash podcast to sign up. For the record, that's
0:49.4	nerdwollet.com slash podcast. Come hang out with us. An increasing number of Americans think college is not as important as it used to be to earn a decent living.
1:00.1	So it's only right that we ask the question, is college still a good investment?
1:05.6	Today, we'll be using NerdWallet's 2026 high school grad analysis to help answer that question.
1:11.1	Also, we'll be answering a listener's question about Solo 401ks.
1:17.0	Welcome to NerdWallet's Smart Money Podcast, where you send us your money questions,
1:21.1	and we answer them with the help of our genius nerds. I'm Sean Piles.
1:24.8	And I'm Elizabeth Ayola. Later this episode, we're going to be discussing solo 401k options for all the entrepreneurs
1:31.4	out there.
1:32.3	But first, our weekly money news roundup, where we break down the latest in the world of finance
1:36.7	to help you be smarter with your money.
1:39.0	Our news colleague, Ana Helhouski, is back to talk about the findings of the grad study. Welcome back, Anna.
1:45.2	Thanks, Elizabeth and Sean. So yeah, a new Nerval analysis of federal data shows that nearly
	...

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