We started saving when we got pregnant and have been doing so consistently but with the rising cost of college it's just crazy!
We did the same thing, and -- when the time came -- we found that paying for college was easier than expected, and we paid out less than expected overall.
Our back-up plan, which we have not used: We agreed we'd never take money out of our retirement accounts (that's kinda financial suicide), but we were ready to STOP ADDING to those accounts. No, we didn't want to do this, but we have saved aggressively for retirement, and it wouldn't have been all that bad -- it's not what it would be to a younger person. In short, it would've been a way for us to give ourselves an instant raise.
Do assume you'll pay $1000-$1500/year for books and incidentals for your college student. A freshman year Chemistry book is $360. Yes, really. Sure, you can buy used, but it's still going to be $225. Do not underestimate books and incidentals. My oldest was a nursing major, and she was nickle-and-dimed constantly: $90 for school-colored nursing scrubs with school monogram, $10 for a parking card at this hospital for a clinical experience, another $15 for parking at another clinical experience, $25 for a criminal background check, $25 for a drug test. The point: Your tuition isn't the whole story.
I suggest you start with the attitude that loans are
simply not acceptable -- and work from there. With loans off the table, you know you need to work harder at the scholarships and choose an affordable school. With loans off the table, she ought to have a part-time job and a summer job -- when I started teaching, that was the norm, now few of my students work.
She will 100% be applying for every scholarship she can. She has to do her part too. I just don't want her to graduate with loans hanging over her head.
Yes, and as a long-time high school teacher, I'll throw out these ideas on how to win those scholarships:
- Now -- while she's still a sophomore -- work on her becoming a "well rounded student. It's better to be the A-B student who is involved in clubs rather than the straight-A student who has no extra-curriculars. Best of all is to be heavily involved in 2-3 clubs (in or out of school) and to show a progression of involvement /leadership over the years (To make up an example: I joined the Drama Club as a freshman, and as a sophomore I had my first part in a play. As a junior I was the club secretary, and as a senior I am president. Showing growth in 2-3 activities is far superior to being a "participant" in 15 clubs.) It's good to have a sport on your college resume, and definitely some sort of community service.
- Talk to your guidance counselor to find out how your school system "shares" scholarship information with students.
- Have her develop a system to save every essay she writes. Many times, those questions show up on other scholarships, and it's a time saver.
- Type everything. Reviewers are only human, and if it's easier to read, it gets more attention.
- Sounds obvious, but don't waste your time applying for scholarships for which you're not qualified. Seriously. If the scholarship says, "Students from ____ county who plan to study business", they're NOT going to say, "Oh, but this student is so outstanding, so we'll take her even though she's going to study nursing." Just doesn't happen. Every time I've been on a selection committee, we've started by going through to see which applicants had completed everything and which applicants were actually qualified -- and we'd throw out without reading the ones who didn't meet the criteria.
- Apply for lots of scholarships, but know this: In 26 years of teaching seniors, I've
never once had a student win those "red headed" or "left handed" scholarships. Those crazy niche scholarships are ways to get your information /try to get you to take out loans or spend money to find scholarships. (Never pay anyone to find you scholarships.)
- Understand that individual schools give out fewer scholarships than corporations and organizations; thus, you don't need to apply to bunches-of-bunches-of-bunches of schools.
- Understand that full-rides are essentially a thing of the past. Instead of giving three students a full ride worth $20,000, schools are opting to award twenty students $3,000 -- or something similar.
- Pay attention to whether the scholarships are renewable. I've know more than a few students who went away to ____ university for a year, and then couldn't afford to stay after that freshman-year scholarship ran out. Transferring takes a toll both emotionally and in terms of stress.
- People who get scholarships: those planning to study teaching or nursing, those with military or police backgrounds (or going into military), those with minority ethnicity, and those with financial need. Yes, grades matter, but those are the categories who have the best chances.
- Junior year is the time to spread your net wide and visit schools. When senior year starts, you need to have them whittled down to a handful. If you haven't managed to visit a certain school yet, your interest probably isn't all that real. If it's because of distance, it's probably not all that realistic.
- When she starts applying, she should apply to the #1 school she really-really wants. THE DREAM happens for some people. Then she should apply to 2-3 realistic schools; schools where she reasonably expects to be accepted /can afford. Finally, apply to the safety net school; for someone, everything will go wrong senior year -- an illness, a parental job loss. Have in mind a back-up school where she can attend even if it's not what she wants.
ALWAYS consider private, even out-of-state schools. Often times can cost less than in -state, state schools. They have high dollar scholarships available. They have endowments!
Eh, in my experience -- again, 26 years teaching seniors -- the most expensive school usually ends up being the most expensive school. If they appeal to you, apply -- but don't neglect applying to a couple realistic schools too. When May 1 rolls around, and it's time to MAKE THE CHOICE, you want a handful of options.
Parents should have an honest discussion with their h.s. age children about college expenses and what is affordable. Often, parents choose to not discuss finances for a variety of reasons, but your son/daughter needs to grasp there are most likely NOT unlimited funds available for college.
I'd like to second, third and fourth this comment! High school kids have no idea how much $25,000 or $100,000 really is -- nor do they have any idea how long it would take for you to earn this money. They know college is "expensive", but they don't really have a measuring stick for whether a $50,000/year college is outrageous crazy for your family or not. They need guidance.
I was very happy with what we did with our kids: From about the time they started high school, we told them that we could pay for a state school for four years. We said we'd pay for tuition and books, dorm and meal plan. We'd cover their insurance and a cell phone. If they wanted more: an out-of-state school or a private school, an apartment, or whatever -- they had to pay the difference. We found that they could grasp this concept, and they both had no problem choosing a suitable school.
Discuss with them, too, what kind of college lifestyle you're willing to finance. Are you willing to pay for a fraternity /sorority? Spring break trips? A car on campus? Will you spend $$$ for cute dorm stuff, which will be used 1-2 years? My kids absolutely had everything they needed -- and some luxuries -- but they weren't "living large" like some of their fellow students.
Ask your kids to articulate WHY they're interested in this or that college. Ridiculous things I've heard my students say:
- I'm going to ___ because they have super on-campus apartments with nice kitchens. Even granite countertops!
- I'm going to ___ because they have a cool game room where you can play pool without paying.
- I'm going to ___ because they teach a Harry-Potter philosophy class.
- I'm going up North because I've always pictured myself walking to class in the snow bundled up in a cute little pea coat with a matching scarf and beret.
- I'm going to ___ because in every dorm you can check out a gaming system or an iPad.
- I don't really want to go to State, but my best friend is going, and he has a car, so I'll always have a ride.
I wish I were making those up. I've heard so many. The point: make sure your student's choices line up with your values. Often high school kids don't even grasp that all schools don't teach all majors -- they feel sure that if they just pick a school, that school will turn them into architects or teachers or whatever, no additional research needed!
I was a poor kid with little help for college. One of the best things I ever did was to become an RA. I didn't get to choose where I lived, but I received a free (private) room in the dorms, half my tuition paid, and half my meal plan paid - oh, an a phone. When I picked my daughter up from college last week, I saw an ad inviting kids to apply to be RAs ... it pays about 50% the cost of total attendance at my daughter's university.
How do you know/find out if you qualify for merit aid.
If she qualifies, you'll be notified.
Everyone qualifies for some type of Financial Aid. The university offer letter may not be what you wanted (loans vs grants) but it's still Financial Aid. There is no harm in filling out the FAFSA and can always decline the a aid packages you aren't interested in.
Well, everyone is offered loans. Not everyone gets something from financial aid. We got nothing at all -- even the year both were in college together.