Since we were on the subject of college last month, and it’s that time of year, I thought I’d stay with the theme and share some of the information that has been crammed into my brain as we prepare for the senior high school year of our last fledgling in the nest. It seems like this summer has been all about college visits and scholarship hunts. We’ve learned a few things since we sent our eldest off to college. This seemed like a perfect time to pass it along. Whether you have kids in college, are about to, or know people who do, some of this will probably apply.
Eight Top Tips On Paying For College
- Start saving early Putting even a small amount of money away monthly from the time Baby is little can help ease the burden of college costs. The Federal 529 savings plan can also be a good option. Depending on your state, 529 plans can allow you to buy tuition credits for tomorrow at today’s prices or to enjoy tax-advantaged college savings accounts.
Never underestimate the value of good test scores. Start late in the sophomore year or early in the junior year of high school working toward the best ACT/SAT scores your child can possibly achieve. Even a few points can make a big difference in potential scholarships. Have your child take the test several times during the junior year—for the most competitive college programs, you’ll need your scores by the end of the junior school year. College applications open August 1st prior to your child’s senior year. Consider investing in some study materials to prep for the test. For a great free option to help kids prep for ACT or SAT, check out www.Number2.com.
- Find out what it’s really going to cost. While it’s impossible to fully estimate the cost of college (there are all those late-night pizza runs and but-I-need-gas-money calls to contend with, after all) you can get a good idea of a college’s estimated costs from the estimators or calculators on each college’s web site. Some will even allow you to factor in financial aid. U.S. News and World Report has a great list of links to the calculators for major colleges. To check it out, go to: www.usnews.com/education/best-colleges/features/net-price-calculator.
- Look at financial aid packages before marking even the most expensive colleges off your list. College websites also provide calculators to help you calculate your EFC (Expected Family Contribution). Depending on your family income, the dollar amount various colleges actually expect you to be able to pay out-of-pocket can vary greatly. Colleges that are more expensive often tend to specialize in helping families fill the gap between EFC and actual yearly costs, with loans, grants, work-study programs and so forth. So don’t automatically cross the Ivy League colleges off your list. Some parents find that with financial aid and these other assistance programs the “expensive” schools can yield bottom dollar as low as the “cheaper” local or state colleges.
- Fill out that FASFA early. It’s fun! It’s easy! Not. Completing the federal financial aid application is like returning to grade school and taking twelve SRA tests in one day (remember those?). But, the FASFA is necessary if you want to seek any form of federal loans or grants. You can find it online here. www.fafsa.ed.gov/. You’ll need to dig out all your income tax information. Don’t wait until you’ve filed your return for this year. Estimate based on last year’s taxes, then amend your FASFA after you’ve filed for the current year. Start in January of your student’s senior year of high school, or sooner. Be sure you know the deadlines for your state. You can find that here: www.fafsa.ed.gov/deadlines.htm#
- Don’t forget local scholarships. If you haven’t raised a National Merit Scholar (or even if you have). Don’t forget local scholarships and/or scholarships offered through organizations you may have connections with. Rotary clubs, optimist clubs, arts organizations, local corporations and utility companies, and many others may be sources of potential scholarships. Chances are, your high-school counseling office has stacks of literature available on these (What? Your child hasn’t snatched that stuff up yet? Really?). Local newspaper articles from last year’s graduation can also be a great source of information. Google online to find these and see who received scholarships last year, and from which organizations. And who could forget the magic of finding scholarship information on the web? For starters, follow Twitter hashtags #Scholarship and #Scholarships as well as @scholarshipscom, @collegeweeklive, @scholarshipsUSA, @scholamerica, @collegemoneybig, @debtfreescholar.
Be sure to also use website resources such as:
The Financial Aid Information Page www.finaid.org
Nelnet College Planning Scholarship Search www.collegeplanning.nelnet.net
Fastweb www.fasweb.net
College Net www.collegenet.com
The Scholarship Resource Network www.srnexpress.com
Careers and Colleges www.careersandcolleges.com
Decide who will pay for what. It’s a big issue for empty nesters. Should you mortgage your retirement to pay for college? How much should you sacrifice to help your kids start an adult life? Should your child work, consider military service options, or absorb college costs in the form of loans that will have to be paid off in the future? You and your child should make this decision together. Make your child aware that loans are not free money. They will, most likely, represent a long-term burden, and will hit hard during the early years of marriage-family-house-kids-and-two-cars. On the flip side, college parents have retirement looming on the (seemingly unreachable right now) horizon.
- Set expectations. Let’s face it. College is expensive. It’s a huge commitment and a sacrifice. While you want your kids to enjoy it, you have a right to expect them to honor your sacrifice with their best efforts. Essentially, you’re hiring them to do a job for the next four or more years. Their job is to keep the cost/gain ratio as shiny as possible and not to waste the boss’s investment. Discuss these things ahead of time, including the budget. Consider laying out your expectations in a written contract to be signed by both parties. It’s a great way to discuss the “What ifs?” of college and role play decision making (like the consequences of attending too many parties, for instance) before your newest employee tucks his or her boxes, bags, and bedroll into the car and prepares to drive off into the wild blue yonder.
In case you’re feeling overwhelmed at this point (I know that, after a weekend of filling out college applications, I am), I leave you with a bit of advice given to me by a sage old administrative assistant way back when I was a young, pregnant working woman, getting a little nervous as the due date and birthing decisions drew near. Oh, honey, don’t worry about it. Lots of people have been through it, and more than once, even. If it were that bad, nobody would do it twice, right?
Exactly. We go now where many parents have gone before. They’ve lived to talk about it. They’re enjoying the good life in their motor homes and their waterside retirement condos. Those scholarship applications and long FASFA forms are only a distant memory as they watch chubby-cheeked grandchildren run across the grass with open arms.
We’ll get there. Sooner or later.
I can picture it now, can’t you?
Question: What about you? Are you worried about today’s college costs? Do you have any tips to share?
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Lisa, thanks for sharing your valuable wisdom here. We have a senior and junior in high school, so we’re furiously scrambling for any money we can find. We’ve prepared well, but we still need our kids to get scholarship money.
You’re exactly right about becoming the school counselor’s BFF. Ours told us about a short person scholarship; my daughter is 4’11 1/2″, so she’s eligible!
I also interviewed students for a booster club scholarship this past May. My tips would be to practice, practice, practice those interviewing skills, dress nicely (suits or dresses made a big impression over jeans and t-shirts), look interviewers in the eye when they’re asking and you’re answering questions, and shake hands when entering and exiting the room.
Again, thanks for a great post with lots of practical helps!
Hi Leslie! I understand the furious scramble… oh yes, I do! Thanks for the tips you shared, especially about searching for specialty scholarships and dressing to impress during interviews!
Good luck and blessings to those college kids of yours ;o)
Just want to say.. THANKS. for the info. and thank you for the way you presented it, all in such a funny manner. I have gone through one… but she was all hands on herself. So, in reality I didn’t do much. My son is a senior… and he knows where he wants to go…. but, I have been hearing things like… Second child getting financial aid, they cut monies on the second.. .and then I have a third.. 2 years later… and more cut. I haven’t checked.. but that made me a bit sick to my stomach. Single mom…. I need the help, not less of the help. Just for those reading…. remember, that ask GOD to hold your hand through this… HE is amazing… and will be your strength.
deb’s