College costs have escalated to a seemingly insurmountable price. Parents who have wisely set aside funds for college through investment vehicles such as a 529 plan, Roth IRAs, or UGMA/UTMA Custodial Accounts might still be surprised to discover their efforts are not enough. But the good news is that even high-income families can qualify for financial aid. There are a few hoops to jump through, but a little effort can equate to more support. Below are some tips for taming college costs and articles to guide you through the process.
Assess Your Qualifications
So often, we can try to fund college without thinking of the advantages we might already have in hand. There are work-study programs and scholarships specific to virtually every type of scenario and demographic. Take inventory of your unique situation and research if aid is available in the form of grants or scholarships that apply to you or a child who is a student. This Key College Funding Data Download is a great tool I would like to give you that can help you have a roadmap through the often dizzying college financing journey.
Address Your Bottom Line
Many hidden costs add up. Consider what costs are necessary and the ones you can do without. Getting creative with your educational budget and prioritizing what is most important can help whittle down unnecessary spending. Schools sometimes have different meal plans that can make a big difference in the outlay of funds. Different rooming options can also downsize your educational budget. This article, 10 Tips for Maximizing Financial Aid, offers ideas to help reduce costs.
Acquiesce to Your New Normal
Accepting the educational costs in front of you means you will need to adjust spending elsewhere in your overall budget to afford the bigger educational budget needs. Colleges often have payment plans to help make the payments more doable. Partnering with your college student is also one way to dampen the impact that funding college can have on your overall budget. Have your college-age kid work in the summer and make the first payment for the semester in the summer to help you better prepare for the monthly payments in the fall. Consider other Creative Ways to Pay for College or commonly Overlooked Strategies to finance college.
Access Your School’s Costs
The shock value of educational costs can be minimalized with knowledge. Do your due diligence to discover what hidden costs can be exposed and removed. This calculator helps to determine the net cost for specific universities. Count the costs. Literally. It might be that counting the costs points you in a new direction to pay for school—whether a different format, such as online schooling, or a different school entirely that has a more competitive price. Other tools like the College Scorecard or the College Navigator help to level the playing field and might even help you discover more financial aid.
Contact us for a free consultation to see if there are investment options that can also help you as you prepare to pay for college.
Yours for Faithful Stewardship,
Jeff Rogers, CEP®, CKA®
Founder & Chairman
