It is December, which means it is time to consider your financial aid options. While many college-bound students and their parents tend to put off this seemingly arduous task, discussing your choices now will ensure you kick off the new year with a clear plan as to how you will pay for your continuing education.
Most college-bound students and their families must seek outside financial help to afford tuition costs and the many other expenses that come along with attending college. Thankfully, there are options that will ease the financial burden. Here are some key things to consider when looking into the financial aid process.
Start the Process
All college-bound students who are interested in receiving financial aid are required to fill out the Free Application for Federal Student Aid (FAFSA). It is imperative that this application is completed accurately and completely. Applicants will receive a Student Aid Report (SAR) after submitting their FAFSA. This document will give students and their families an idea of aid eligibility, which is determined by multiple factors, including Expected Family Contribution (EFC), the student’s enrollment status, and the cost of tuition per institution.
Weigh Your Aid Options
Taking time to research the many financial aid options available is vital. Many students and their parents are surprised to learn that they qualify for multiple forms of assistance. Below is a brief description of the types of assistance available:
- Loans: College-bound students may take out a loan for tuition and other expenses. This is borrowed money that must be paid back with interest. The federal government offers student loans, which often have minimal interest and flexible payment plans. Financial institutions also offer loans, but the interest rates are typically higher.
Grants and Scholarships: Qualifying students may receive grants and/or scholarship money to assist with college expenses. This money is gifted to students and does not need to be repaid. This money may be issued by the government, colleges, and other organizations.
- Some examples of grants are: Federal Pell Grants and Federal Supplemental Educational Opportunity Grants
- There are many types of scholarships, including academic, performance-based, athletic, minority, community service, and scholarships for creativity.
- Work-Study: Students may qualify for the Federal Work-Study program. The program allows college students to work part-time jobs to earn money while attending college. Students are advised to check with their school’s financial aid office for Work-Study opportunities.
- Note: It is important to remember that these financial aid options can often be used in conjunction with each other.
Meet with a Financial Aid Advisor
Once students decide which colleges they are interested in attending, it is essential to schedule a meeting with a financial aid advisor at the chosen institutions. These knowledgeable counselors will highlight all of the options available at that school.
Keep an Open Mind
Often, students and their parents assume they will not be able to afford to attend colleges they are interested in, so they opt out of applying altogether. Keep an open mind. Combined aid from the various sources above may allow a student to attend a school he/she never thought possible.
Tip
When considering your financial aid options, it is important to consider more than just the published tuition, fees and room and board of the school you are considering. What you’ll want to consider are all of the variables that go into the Total Cost of Graduation, in order to ensure that you will be able to fully fund your education.
The financial aid application process may seem overwhelming at first, but taking the time to research options now will reduce stress and make the college experience more enjoyable.
