Category Archives: college costs

college costs, financial aid, financial planning, scholarships, student loans

Understanding College Financial Aid

financial aid

Those two little words, “financial aid” can be music to a parent’s ears. I know they were to mine. But I had no idea the different types of aid available or the varying awards that colleges can make when they offer admission.

I was surprised to find that private colleges tend to be generous with their merit aid because they have institutional funds available; while public universities will offer less aid because of their strict budgets and large student populations. That’s why private colleges can often cost less than a public university even though their price tags are higher.

When my daughter applied to college we knew we were going to need help paying for it. Since we were not in the financial category that would receive federal grants, we hoped for other types of aid in the form of college grants and scholarships. Some of the colleges she applied to were private universities and some were public. When accepted, she received varying degrees of financial aid awards from the different colleges, both public and private.

One state university offered her aid in the form of student loans, but no grants or scholarships. Another private college offered her a full-ride in the form of a four year scholarship meeting 100 percent of the financial need. Her first choice college, a private university, offered her student loans, work study and parent loans, which did not meet the balance of our EFC (Expected Family Contribution). This is called “gapping” and colleges often do this to students who are accepted but do not qualify for merit aid. The college she chose offered a combination of awards: college grants, honor scholarships, student loans, and work study that met the difference between the cost of the college and our EFC. It wasn’t the full-ride or her first choice, but it was her second choice and was a perfect fit for her.

Continue reading Understanding College Financial Aid →
college costs, financial aid, Student debt, Uncategorized

Borrowing More for College Than You Can Repay

borrowing

I have had some serious conversations recently with a parent and student who applied to college, was accepted, and was shocked at the cost. The parent didn’t want to disappoint her daughter. The daughter wanted desperately to go to an out of state college that would cost over $50,000 per year with no financial aid.

After speaking with the daughter at length, she decided to defer for a year, work, save her money and apply for scholarships. Taking out loan was not appealing to either of them and I completely agreed.

Parents and students should consider college funding even before their student applies to college. The inevitable result is the parents and students borrowing to pay and usually borrowing more than they can repay after graduation.

Continue reading Borrowing More for College Than You Can Repay →
admissions, college costs, financial aid

Breaking Down the Award Letters

award letters

It’s a joyful day for your high school senior when an offer of college admission arrives, and the joy is magnified by a financial aid award.

Award letters arrive along with (or soon after) acceptance letters. I remember the first time I saw one, my daughter’s senior year. Quite honestly, it was Greek to me.

How were we supposed to compare the offers? The letters included the same basic categories — loans, work-study, grants and scholarships — but without understanding what each category meant it was hard to tell whether or not the college was meeting all of our financial need (Total Cost of Attendance minus our Expected Family Contribution, or EFC). Every college was different and every award letter was different!

Continue reading Breaking Down the Award Letters →
college costs, college guidance, college planning, financial aid

How to Pay Less for College

pay less for college

If you’re a parent of a college-bound teen, you know the stress this adds to your family. If you are like most parents, the money you saved for college has not kept up with the increase in tuition. If your son or daughter isn’t one of the ones who snag a full ride, you are going to be looking for ways to cut those college costs.

Here are just a few tips that might help you pay less for college:

Continue reading How to Pay Less for College →
college costs, college guidance, college majors, college planning

How to Find the Best College Bargains

college bargains

In today’s world, we are all looking for bargains. How much can I save on this purchase? Is there a coupon for that item? The college decision process should be no different. You never want to pay full sticker price on a car, and you shouldn’t pay full sticker price for the college education. Here are just a few money saving tips on how to find the best college bargains.

Use online information to find the most generous colleges.

You can start your search by looking at the colleges who are generous with their financial aid by meeting the highest percentage of financial need. How do you find those colleges? It’s simpler than you might think. You can research them at the College Board’s site: Big Future. You need to follow the box at the bottom of the page that says “Find Colleges” and click the search button.

For a step-by-step guide, you can read The College Solutions Blog with photos of each step and how to use the tool.

Continue reading How to Find the Best College Bargains →
college costs, college planning, Guest Posts

5 Changes Parents Should Make When Paying for College

paying for college

Your children are going to college. You may think it will be easy because you’ve been saving for it. But seeing the college fee structure, you’ll know it will not be easy. Coming out of the stress-induced fog might help you manage the costs. 

Here are five things you can do to help you on this journey of paying for college:

Understand your financial situation

Now that your child is off to college, as parents, you’re now left with taking care of the expenses like tuition, housing, and school supplies. Sitting down and looking into your finances is step one for parents. The next step is to make a budget, reevaluate your finances, and look into every savings account because the college costs are now added to your other expenses. 

Continue reading 5 Changes Parents Should Make When Paying for College →
college costs, college planning, financial aid, financial planning

10 Ways to Pay for College Without Incurring Debt

pay for college

Debt from college tuition has skyrocketed over the last several years. Parents and students are weighing their ROI (return on investment) before making their college choices. As college costs have shot up, so has student debt. How can you pay for college without incurring debt?

According to the latest Quarterly Report on Household Debt and Credit, outstanding student loan debt stood at $1.58 trillion in the fourth quarter of 2021, an $8 billion decline from the third quarter. About 5 percent of aggregate student debt was 90+ days delinquent or in default in the fourth quarter; the lower level of student debt delinquency reflects a Department of Education decision to report current status on loans eligible for CARES Act forbearances. 

That’s the bad news. But if you’re a savvy consumer and research the costs before signing on the dotted line, you should be able to go to college without incurring debt. Zac Bissonnette, author of DebtFree U, is proof that it can be done. He graduated from college with zero debt.

Believe it or not, you may be able to graduate without debt if you use these 10 ways to pay for college:

Continue reading 10 Ways to Pay for College Without Incurring Debt →
admissions, college costs, college guidance, college planning, financial aid, parenting

Weighing Your College Options

college options

It’s that time of year when seniors will be weighing their college options. Choices will be made as parents and students evaluate colleges who offered admission.

The long wait is over and it’s time to make a decision. Which college will your student attend? This decision feels like the most important decision in his life up to this point and will weigh heavily on his mind and yours over the next month.

Before your teen makes the decision, however, you should weigh your college options. You would never purchase a home without determining its value, its fit for your family, or even its location. This college decision should be approached in the same manner. And to complicate matters, the decision has to be made in a timely manner—the National Candidate’s Reply Date is May 1st.

If your student didn’t get an offer of admission from his first or even second choice college, or he is accepted without enough financial aid, it’s time to re-evaluate the colleges on his list. Your teen should take a closer look at those schools on the list that weren’t on top. If he did his homework before applying, these schools should be more than sloppy seconds.

Continue reading Weighing Your College Options →
college costs, college planning, financial planning

5 Reasons why College Costs So Much

2 Comments
college

There is one thing you can be sure of in life: college tuition will rise every year. Prices rise and fall all around us, but tuition never seems to go down.

College tuition prices are a lot higher today compared with two decades ago. For instance, the average cost for tuition and fees among ranked public and private National Universities – schools that are often research-oriented and offer bachelor’s, master’s and doctoral degrees – has risen significantly since 2001, according to U.S. News data.

From the 2008 edition of the U.S. News Best Colleges rankings to the current 2022 edition, in-state tuition prices among public National Universities grew by almost 79%. Experts say state schools have typically had more room to increase tuition levels compared with their private counterparts, and finding a bargain price at the state level is becoming harder.

The economic downturn resulting from the coronavirus pandemic may also affect tuition costs in the years to come.

In just comparing the 2020-2021 school year to the current 2021-2022 academic year, tuition rates at both private and public National Universities have increased by at least 2%, according to U.S. News data.

Continue reading 5 Reasons why College Costs So Much →
college costs, college housing

Saving Money While Living Off campus

saving money

Have you been thinking about some of the things that you can do when it comes to saving money while living off campus? There are plenty of options here that you can consider. In this article, we’re going to be looking at a few tips that will always help you to save money when it comes to your off campus home, so keep reading down below if you would like to find out more. 

Grocery Shopping

The first thing that you are going to save money on is your grocery shopping. If you are only ever buying named brands, why? Have you tried the cheaper alternatives? A lot of them taste just as good as the larger brands as they are made from the same things. We’re of course, not saying that this is always true, but even if there is a little taste variation, there is a huge price variation. The last thing that we want is for you to be spending money unnecessarily when there are cheaper options that you do actually like. If you try the alternatives and decide you don’t like them, that’s completely fair enough, but you have got to try them first. 

Continue reading Saving Money While Living Off campus →