Guide to Financing a College Education
devider

Many parents and students alike start thinking about the college years far in advance. It takes planning to successfully prepare for college and financing plays a major role in that endeavor. What has been saved? Will there be enough? Do I need financial aid? These important questions and more can be answered with some research into the variety of available resources.



Affording a College Education

In today's ever changing world, it is becoming more important for people to receive a higher education. A college degree has become the standard for most upper level positions. Unfortunately, a college education comes at a cost that keeps rising. It can be difficult for the average family to afford the tuition, room and board, expenses, and fees involved in paying for school. Planning ahead with all of the costs and opportunities for assistance in mind can help make it possible for many to attend college.


  • Affording College - A family approach to help students understand finance and their role in it.


Tuition

Tuition is the cost to attend and receive credit for college courses. College and help websites offer resources to help compare and prepare for tuition costs. If there is a particular school of interest, it is best to visit their individual website for up to date information. Whether planning to attend a community, private, or state college or university, information is available to guide students through the tuition process. By seeking out information and opportunities, it is sometimes possible for students from low to middle income families to receive reduced or free tuition to attend college.


  • In-State or Out-of-State - Deciding whether to go to a college in state or out of state often affects the cost of tuition.


Room and Board

Many families choose to reduce room and board costs by having the student continue to live at home. This option is available for those who choose a college close to home. Students who plan to go away to school must consider living expenses in order to estimate the true cost of going to college. Living options for students usually include a dormitory, on campus apartment, or off campus renting. Meal plans are often a choice for students living on campus. Students without a full meal plan need to be prepared to buy their own groceries or pay to eat out.


  • California Colleges How Much Does College Cost? Estimated costs for different types of California institutions.


Additional Expenses and Fees

On top of tuition and room and board, there are many additional college costs. Examples of additional fees include transportation and parking fees, the cost of textbooks, computer and paper supplies, and student health insurance. These items are often overlooked and written off as something that can be taken care of as needed. But these extra costs can add up quickly, so it's best to plan ahead and to include all expenses.


  • Comparing College Costs - Site including charts and quick links take into consideration all of the costs involved in a college education.


Saving for College

A general rule for saving is to set funds aside before you have spent them all. Every little bit saved ahead of time can add up to a tangible amount with enough time. College is more affordable when parents start saving when their child is still young. While that is not always possible, the sooner parents or students themselves start saving, the better.


  • College Savings Plan - Site includes a savings calculator, information on 529 plans, and answers to common questions.
  • Tax Benefits - Explanation of the Coverdell Education Savings Account (ESA).
  • Mapping Your Future - Covers many aspects about saving for college, information on careers, managing your money, and more.


Financial Aid

Financial aid is often offered by the government as an investment towards the future. Take advantage of what is available through financial aid by researching early to find out what works best for you and your situation. With financial assistance, many find their college savings are able to go much further.


  • FinAid - Information about financial aid, including calculators, a Q&A, and information on loans and savings.
  • FAFSA - The official site where a student can complete the Free Application for Federal Student Aid, includes step-by-step instructions..


Grants

College grants are offered by the government to help pay for tuition. Grants are not loans, because they never have to be paid back. There are more than a thousand grants available through twenty-six federal agencies, as well as some state-funded grants. The most popular federal grant is the Pell Grant, which is usually awarded to undergraduates enrolled into a degree program. Grants offer different amounts and have different eligibility requirements, and they are well worth looking into to see if you qualify.


  • Grants - Information about grants from the U.S. Department of Education.
  • Scholarships & Grants - Offers links to many varying sites that discuss opportunities for student aid, scholarships, and grants.


Loans

Student loans often come through financial institutions or the government. Sometimes they come through financial institutions to the student, but are provided by the government. For this reason, it is sometimes best to start with the government loans and consider options from there. Loans can be used to help fund either part or all of a student's education, including room and board and additional fees. Unlike grants, student loans must be repaid in full and usually with interest.




Scholarships

A scholarship is different than a loan in that it is given to a student based upon their merit. Scholarships are often provided for athletics, music, and academics. They are usually given by the college, companies, or groups as a gift that the student receives for achievement or good grades. Scholarships may also be awarded as a prize or based on ethnicity. Finding a scholarship can be a challenge, but there are many available. It takes some research to find one that a student can qualify and apply for.


  • Native American Scholarship - A scholarship program for Native Americans, provides general advice on how to find and win scholarships.


Work Study

The work-study program is a federal program that allows students to work part time in order to defray their educational costs. Students must meet eligibility requirements in order to qualify. Only a select number of students are chosen to receive work-study in any given school. A student must complete a federal financial aid application and any additional forms for each college applied for.


  • Federal Work Study - Utica College offers basic information on the Federal Work-Study program.


Campus/Off-Campus Jobs

With all of the costs associated with college, it is often necessary for a student to hold a part time job. Finding a job may be challenging, as many other student are also looking for employment. When searching for a job, keep in mind what you need to be paid and what hours you can reasonably work within your school schedule. Ask friends if there are openings where they work, search job boards, and read ads in the daily paper. Campus jobs and local businesses often post positions for college students on campus. It's always best to be prepared before an interview and keep a professional looking resume ready at all times. Those who stay on top of the job market and act quickly are the people who get the positions.


  • Get Hired - How to identify your skills and experiences that will help you get a job.