How Will You Pay for College?
With college tuition rising almost twice as fast as the inflation rate, many prospective undergrads can end up feeling lost when planning their financial future.
If college students are not careful, they can graduate with a crushing amount of debt – and payments to match. Like anything in life, preparation is key. By taking the time to plan before heading to college, undergrads can keep their debt to a minimum. Here are a few steps to get you started:
- Factor price into your decision. Many students jump at the chance to go to the best school that accepted them and suffer later from enormous debt. Instead of focusing just on reputation, research the specific programs you are interested in, check the academic ratings and consider staying in state to help cut costs.
- Create a budget. Think about how much you can afford to take on after graduation. Consider that tuition will rise throughout your four years and other activities like studying abroad will come up. This will give you a good idea of what kind of loan to look for.
- Apply for financial aid. Filling out your FAFSA (Free Application for Federal Student Aid) is a great step toward paying for your college education. If you do not receive as much from the government as you expected, look into scholarships. There are more scholarships available than you might think from your high school, the university you are attending and even local businesses. Route 31 Foundation also offers 4 $750 scholarships.
- Save as much as you can before going to college. The sooner you can start saving, the better. So put away as much as you can afford as often as possible.