Just as you decide to apply for the Paystack-Lambda School income share agreement education – you get training free, to pay from your future paychecks – please note this: it could cost you up to $25,000. They have capped the future pay at $25k. Yes, there is a huge opportunity cost there. You are looking at 9-month remote software training and the possibility of paying $25k for same in future. Make those decisions yourself.
The ISA [Income Share Agreement] for African students is a little different from the ISA for students from the US and EU, in recognition of different economic conditions. As an African Lambda School student, you only pay the ISA if you’re making over $15,000 a year (or the equivalent in your local currency). If you don’t find a job, or don’t reach that level of income, you’ll never pay a cent. If you do meet the minimum requirement, you’ll pay 10% of your gross income monthly (before taxes) over the course of 5 years. The amount is capped at $25k.
The U.S. wage base is $50,000 but they have made the African one $15,000. The Lambda School is a 9 month immersive training program that gives you the tools and training you need to launch a new career. The program trains people online to be software engineers at no up-front cost. Instead, students have the option to opt into an Income Share Agreement where they pay a fraction of future income.
- When you have nothing, all agreements really look fantastic, until you worth something, then you begin to question everything. In Naira terms, that’s over N8M pay out in five years, and if Naira tanks, it could be over N10M. The catch is that you only pay when you are working, but when you now have a colleague who goes home with full cheque – while yours is punched with 10% drop; you are likely to feel ‘cheated’, but remember where you were coming from… No free lunch, just make sure you possess both the mental and emotional capacities to make this sort of decision, once you are in, you are locked!
- That calls for some decision. For me, I would use the following parameters to make that decision. 1 ) Are they going to provide me with a job after the training? 2 ) Are they going to provide me with all the facilities I need for the training apart from the training content? That is to say, are they going to provide me with laptop, internet, and electricity for the training? Or maybe access to any training facility?