[hen-ui-dynamic-experience placement=”aboveTheFold” /] [hen-ui-text variant=”b4″] [/hen-ui-text] [hen-ui-text variant=”b4″ class=”heading-2″]It’s easy to understand why students and parents think college is expensive. Newspaper headlines and social media would have us believe that every college costs $70,000 a year to attend, and that most students leave college with debt that exceeds $100,000.[/hen-ui-text] [hen-ui-text variant=”b4″ class=”heading-2″]The good news is: that simply isn’t true.[/hen-ui-text] [hen-ui-table] [hen-ui-table-header] [hen-ui-table-row] [hen-ui-table-head scope=”col”]＄＄＄[/hen-ui-table-head] [hen-ui-table-head scope=”col”]Approximate Cost[/hen-ui-table-head] [hen-ui-table-head scope=”col”]Example College[/hen-ui-table-head] [hen-ui-table-head scope=”col”]Example College Actual Cost[/hen-ui-table-head] [/hen-ui-table-row] [/hen-ui-table-header] [hen-ui-table-body] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$5,000 or less[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Santa Barbara City College[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$1,400[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄+[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$10,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]University of Iowa[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$9,000[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$15,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Ohio University[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$11,900[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄+[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$20,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Regent University[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$17,300[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$25,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Spalding University[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$24,000[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄+[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$30,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Hillsdale College[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$26,700[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄＄[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$35,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Calvin College[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$33,100[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄＄+[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$40,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]University of Dallas[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$38,800[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄＄＄[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$45,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Ithaca College[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$42,900[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄＄＄+[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$50,0000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]MIT[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$49,900[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄＄＄＄[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]$55,0000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Sarah Lawrence College[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$54,000[/hen-ui-table-cell] [/hen-ui-table-row] [hen-ui-table-row] [hen-ui-table-cell data-title=”＄＄＄”]＄＄＄＄＄＄＄+[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Approximate Cost”]more than $55,000[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College”]Columbia University[/hen-ui-table-cell] [hen-ui-table-cell data-title=”Example College Actual Cost”]$57,200[/hen-ui-table-cell] [/hen-ui-table-row] [/hen-ui-table-body] [/hen-ui-table] [hen-ui-text variant=”b4″]College is likely to be one of the biggest investments a family will make, but a closer look at cost shows that the average [hen-ui-link href=”https://www.collegedata.com/”]tuition at an in-state[/hen-ui-link] public university is still less than $10,000 a year, and the average college graduate will [hen-ui-link href=”https://www.cornerstone.edu/blogs/lifelong-learning-matters/post/do-college-grads-really-earn-more-than-high-school-grads”]earn about $1 million[/hen-ui-link] more in a lifetime than a worker who has only a high school diploma.[/hen-ui-text] [hen-ui-text variant=”b4″]That makes college a wise investment—as long as there’s a way to pay for it. And there is.[/hen-ui-text] [hen-ui-heading variant=”h2″]The True Cost of College[/hen-ui-heading] [hen-ui-heading variant=”h3″]How Much Does College Really Cost?[/hen-ui-heading] [hen-ui-text variant=”b4″]Any discussion about the cost of college needs to begin with a clear understanding of what it costs to actually go to college—and if you think that’s just tuition, it’s time to think again.[/hen-ui-text] [hen-ui-text variant=”b4″]Tuition is what you pay directly to the college for the privilege of being one of its officially enrolled students, attending its classes, and, eventually, receiving one of its degrees. From the college’s perspective, tuition covers the basic costs of offering classes, keeping libraries up to date, paying professors, and making sure the lights stay on. But for students, tuition is only the beginning of the expenses involved in attending college.[/hen-ui-text] [hen-ui-card variant=”background-gray”] [hen-ui-card-content] [hen-ui-text variant=”b4″]Tuition is what you pay directly to the college for the privilege of being one of its officially enrolled students, attending its classes, and, eventually, receiving one of its degrees[/hen-ui-text] [/hen-ui-card-content] [/hen-ui-card] [hen-ui-text variant=”b4″]There’s also the cost of books and related learning materials (art supplies for art majors, laboratory fees for science majors); expenses related to getting to and from campus (maintaining a car if you’re commuting to campus, or coming home a few times a semester if you live at school); room and board (if you aren’t living at home); and enough spare money for “incidentals,” like furnishing your dorm room or apartment, buying some new clothes occasionally (and washing them!), getting a pizza or two every week, and so on.[/hen-ui-text] [hen-ui-text variant=”b4″]Most colleges call this all-encompassing total the [hen-ui-text tag=”em” variant=”b4″]cost of attendance[/hen-ui-text], and it’s wise to use that phrase when asking a college about expenses. The tuition at one college might be less than at another, but if the room and board is higher at the second college, it could actually cost more to go there. The same is true if a college is farther away from home. The tuition might be less, but you still have to pay to get there, and that costs money, too. When a college gives you their cost of attendance, they’re taking everything into consideration. This is the best way to compare college costs.[/hen-ui-text] [hen-ui-heading variant=”h2″]Not Paying Sticker Price[/hen-ui-heading] [hen-ui-text variant=”b4″]It’s also important to keep in mind that many of the more-expensive colleges have ways to reduce the cost of attendance for most, if not all, of their students. This is especially true for private schools, which make up most of the pricier colleges. [hen-ui-link href=”https://www.niche.com/blog/colleges-that-offer-the-biggest-discount/”]This list[/hen-ui-link] shows you the schools that offer the biggest discounts between the advertised cost of attendance and what most students actually pay. If a school you’re interested in isn’t on this list, talk with their financial aid office, and ask about the average financial aid award. A school that first seemed out of reach might suddenly be within your budget.[/hen-ui-text] [hen-ui-text variant=”b4″]Another tool that can help you plan your college budget is the [hen-ui-text tag=”em” variant=”b4″]net price calculator[/hen-ui-text]. Many students don’t know about the discounts colleges offer, and since so many colleges offer them, the US government now requires every college to put a net price calculator on their website. This makes it easy for families to obtain some basic information and get a general idea of what they would be expected to pay for college. Just as important, most net price calculators give an indication of how large a loan the student or parents would have to take out each year. (Want to see a net price calculator in action? Give [hen-ui-link href=”https://studentfinancialservices.vassar.edu/calculator/quick-estimator.html/”]this one a try[/hen-ui-link].)[/hen-ui-text] [hen-ui-text variant=”b4″]In working with a net price calculator, keep in mind that they have some limits. Most don’t ask you about your grades or test scores, so any financial aid information they give you doesn’t include any merit scholarship you might be eligible for—and that can reduce your costs even more. In addition, you may have some financial circumstances that are unusual. If that’s the case, the calculator can’t really take those into consideration, and it’s best to see this as an estimate.[/hen-ui-text] [hen-ui-heading variant=”h2″]Applying for Financial Aid—FAFSA[/hen-ui-heading] [hen-ui-text variant=”b4″]Almost every college requires students and parents to file the Free Application for Federal Student Aid, or [hen-ui-link href=”https://studentaid.ed.gov/sa/fafsa”]FAFSA[/hen-ui-link]. This form is updated each year, and high school seniors and their families can begin filing the FAFSA on October 1 of their senior year in high school. The FAFSA must be completed every year the student attends college, so this isn’t a “once-and-done” form. Rules for eligibility change every year, and so does your financial information, so make sure to file a new FAFSA every year you’re in college.[/hen-ui-text] [hen-ui-text variant=”b4″]Preparing to complete the FAFSA is pretty easy, as long as you have last year’s tax information handy. If you don’t, FAFSA has a data retrieval tool you can use to pull the information you filed with the IRS and place it on your FAFSA. Combined with some basic financial information (like how much your home is worth, and how much you owe on it), you’ll find the FAFSA will take about an hour of your time—and it gets easier every time you file it.[/hen-ui-text] [hen-ui-card variant=”background-gray”] [hen-ui-card-content] [hen-ui-text variant=”b4″]Almost every college requires students and parents to file the Free Application for Federal Student Aid, or FAFSA.[/hen-ui-text] [/hen-ui-card-content] [/hen-ui-card] [hen-ui-text variant=”b4″]Once you file the FAFSA, the Federal government will determine how much Federal financial aid you qualify for. This is an important first step, since the colleges want the US government to pay as much as possible for your college expenses. Once the government reviews your file, they will then pass your FAFSA information along to the colleges you’ve listed on FAFSA, so they can use state, local, and private funds to determine how much aid the colleges can provide you.[/hen-ui-text] [hen-ui-text variant=”b4″]In most cases, FAFSA requires the financial information of both the student and the parents/guardians of the student. There are some cases where parental income isn’t taken into consideration, but for most students graduating from high school and going straight on to college, at least one parent will have to provide financial information.[/hen-ui-text] [hen-ui-heading variant=”h2″]Other Financial Aid Forms[/hen-ui-heading] [hen-ui-text variant=”b4″]The FAFSA asks for general financial aid information, and some colleges feel they need a more complete picture of a family’s finances before the college can award financial aid. As a result, many colleges will ask parents and students to file a second financial aid form with more specific information. For many colleges, this form is the [hen-ui-link href=”https://cssprofile.collegeboard.org/”]CSS Profile[/hen-ui-link], and it costs money to file this form. Other colleges will have their own institutional financial aid form that you also have to file, asking for additional information.[/hen-ui-text] [hen-ui-text variant=”b4″]Some families question if all of this information is really necessary to determine whether they qualify for financial aid. That’s easy to understand, especially if families are hesitant to share their financial information with strangers. On the other hand, many families complete the FAFSA and feel the form doesn’t really tell a complete story about the family’s finances. A large savings account may be the parent’s retirement fund, or the family may be providing for the care of a loved one that doesn’t live with them. This is the kind of information the other forms can identify that will make it easier for families to qualify for aid—but in order to receive the aid, you have to tell them your entire story.[/hen-ui-text] [hen-ui-heading variant=”h2″]Tax Forms and Financial Aid[/hen-ui-heading] [hen-ui-text variant=”b4″]It might seem like the best way to give a complete picture of your finances is to simply send copies of your tax forms to your colleges, but you’ll want to hold on to those. Some colleges use that information to verify what you’ve told them on FAFSA, so they’ll ask you for them when they need them. Sending tax forms ahead of time could actually delay your receiving financial aid, or it could lead to your forms being shared with others who don’t really have any input on the kind of aid you receive. In the interest of your privacy, keep your tax forms at home, until the college asks for them.[/hen-ui-text] [hen-ui-text variant=”b4″]If you file all the required forms, and you feel like the financial aid office of the college still doesn’t have a complete picture of your financial situation, call them. This is the one thing parents are very hesitant to do, but it’s also the most helpful thing they can do. A five-minute conversation with a financial aid officer can shed light on the numbers you’ve submitted and help the college understand your complete financial picture. It can also speed up the verification process. Once the college knows your situation, they can tell you, either over the phone or in writing, just what you need to share with them to complete your financial aid application.[/hen-ui-text] [hen-ui-heading variant=”h2″]The Student Aid Report[/hen-ui-heading] [hen-ui-text variant=”b4″]Once a college has all the information they need to review your application, you will receive a [hen-ui-link href=”https://www.edvisors.com/fafsa/after-submitting/award-letter/”]Student Aid Report[/hen-ui-link], or SAR. The SAR is a summary of the kinds of financial aid you are eligible for from both the Federal government and the college. Typically, aid falls into one of three categories:[/hen-ui-text]
- Grants and Scholarships: This is money that is given to you for college, with the expectation that it does not have to be paid back. Some grants and scholarships have conditions attached to them—like maintaining a certain GPA or completing all the classes you’ve signed up for—but as long as you meet those basic ground rules, you’re all set.
- Work/Study: This is money the student receives for college by working (usually at a job on campus) during the semester they are attending classes. This work can include anything from helping out in the cafeteria to checking out books in the library, and students typically have a choice of the kind of work they complete. Most of the earnings from this work go back to the college, but in some cases, the student will end up with some spending money for every pay period. It’s important to keep an eye out for the number of hours a student will be expected to work each week. Generally, students should have fewer than 10 hours of work each week in their work/study package, in order to keep up with their studies.
- Loans: Loans are funds for college that the student or parent is expected to pay back. In some cases, the interest on the loan is far below that of loans offered by banks, and most student loans don’t have to have payments made on them until six months after the student stops going to college. There are a wide variety of loans and loan repayment programs, so students and parents will want to be familiar with the conditions of each loan before they accept it.
- AP and CLEP Testing: One way to reduce the cost of college is to earn credits by taking an exam that shows you already know the material covered in a college class. The most popular credit-by-exam programs are the [hen-ui-link href=”https://ap.collegeboard.org/”]Advanced Placement (AP)[/hen-ui-link] and the [hen-ui-link href=”https://clep.collegeboard.org/”]College Level Examination Program (CLEP)[/hen-ui-link], and while not every college accepts these scores, students can save up to a year’s worth of tuition by scoring well on these tests.
- Early College or Dual Enrollment Programs: Many high schools offer students a chance to get a head start on their college courses by taking them as part of their high school curriculum. Classes in many of these programs are paid for by the local school district, and students in some programs can complete two years of college classes in high school.
- Start Locally and Transfer: Other students have found a great way to save on college costs by enrolling at a local community college before transferring to a four-year school. Students choosing this option will want to work closely with the transfer admission office at the four-year college they’d like to attend, to make sure all the community college classes they take will transfer to a four-year degree. But if they do well, they could also qualify for scholarships offered only to transfer students, through programs like Phi Theta Kappa, the community college honor society.