STEM careers have become a national priority and students who aspire to careers in science, technology, engineering, and math will be happy to know that STEM scholarships abound.
Often, when you apply for scholarships in a specific area of interest, the competition is much less than if you apply for national scholarships with thousands of applicants. The fact there are fewer applicants improves your odds of being offered the scholarship.
STEM scholarships may be plentiful but how do you find them?
I will never forget the moment we received our Student Aid Report and I saw the EFC (Expected Family Contribution) on the right-hand corner. I was in shock as most parents are. How could the powers that be believe we could afford to pay that amount for college? It was a mystery to me how they came up with that number, as it is to most of you.
The EFC determines how much financial aid the colleges will award to your student. You can’t receive any federal or institutional aid without getting an EFC when you complete the FAFSA. We are stuck with it and will probably never truly understand how they use to determine how much money your family can afford to pay.
If you are going to need financial aid for college (and who doesn’t?), you will need to understand the EFC.
In today’s world, we are all looking for bargains. How much can I save on this purchase? Is there a coupon for that item? The college decision process should be no different. You never want to pay full sticker price on a car, and you shouldn’t pay full sticker price for the college education. Here are just a few money saving tips on how to find the best college bargains.
Use online information to find the most generous colleges.
You can start your search by looking at the colleges who are generous with their financial aid by meeting the highest percentage of financial need. How do you find those colleges? It’s simpler than you might think. You can research them at the College Board’s site: Big Future. You need to follow the box at the bottom of the page that says “Find Colleges” and click the search button.
For a step-by-step guide, you can read The College Solutions Blog with photos of each step and how to use the tool.
Your children are going to college. You may think it will be easy because you’ve been saving for it. But seeing the college fee structure, you’ll know it will not be easy. Coming out of the stress-induced fog might help you manage the costs.
Here are five things you can do to help you on this journey of paying for college:
Understand your financial situation
Now that your child is off to college, as parents, you’re now left with taking care of the expenses like tuition, housing, and school supplies. Sitting down and looking into your finances is step one for parents. The next step is to make a budget, reevaluate your finances, and look into every savings account because the college costs are now added to your other expenses.
Debt from college tuition has skyrocketed over the last several years. Parents and students are weighing their ROI (return on investment) before making their college choices. As college costs have shot up, so has student debt. How can you pay for college without incurring debt?
According to the latest Quarterly Report on Household Debt and Credit, outstanding student loan debt stood at $1.58 trillion in the fourth quarter of 2021, an $8 billion decline from the third quarter. About 5 percent of aggregate student debt was 90+ days delinquent or in default in the fourth quarter; the lower level of student debt delinquency reflects a Department of Education decision to report current status on loans eligible for CARES Act forbearances.
That’s the bad news. But if you’re a savvy consumer and research the costs before signing on the dotted line, you should be able to go to college without incurring debt. Zac Bissonnette, author of DebtFree U, is proof that it can be done. He graduated from college with zero debt.
Believe it or not, you may be able to graduate without debt if you use these 10 ways to pay for college:
Looking for scholarships? There’s the usual scholarship search sites and scholarship books. You can find them at your student’s counselor’s office and locally. But what about social media–specifically Instagram? It’s a great place to find out about current and future scholarship opportunities.
Sometimes there are scholarships posted on these accounts that you might not easily find in a typical search. They post lesser known scholarships, often with fewer applicants. This increases your student’s chances of winning!
Not all colleges are created equal. But are you looking for the college bargains?
Community college. State University. Private liberal arts college. Trade or technical college. Top-tiered business college. Ivy League college. Not all colleges are created equal.
If that’s the case, what makes a good college? Some might think it’s a #1 rated NCAA football team, or a college with an Ivy League designation, or even a school that is highly selective. A good college (as in good fit) meets the following three criteria: academic, social, and financial. The college that meets or excels in all three should be the college your student chooses. Even the best college (based on reputation) isn’t a good college if the student neglects the opportunities he is given while attending.
In terms of financial fit, does the college fit into your family’s college budget?
Studies have shown that students who spent time working during college actually do better in the classroom. Students who work must learn how to structure and manage their time to work around class assignments. This translates into not delaying assignments and scheduling time to study for exams. However, many experts suggest that freshmen students wait until the second semester to take on the added responsibility of a job. This allows them time to ascertain their academic strengths and decide whether or not a job would detract from their study time.
When college students do decide to work, there are three options available to them: on-campus jobs, off-campus jobs and internships. Each of these job opportunities has its own set of advantages.
Many students neglect applying for scholarships with small awards. However, every small award your student receives means more free money to pay for college.
The RevenueZen Social Selling Scholarship is an award for any current or soon-to-be undergrad who is looking to innovate the hiring process. In an ideal world, what would hiring and applying for a job look like? How will you stand out? The RevenueZen Scholarship has a brief submission process, and applicants will be judged on their ability to convey their idea for an innovative social selling process focused on getting hired at a specific company.
Financial aid can be a confusing part of the college application process. Even if you can afford to pay for college, it’s a good idea to learn what aid is available and apply for it. You aren’t obligated to accept it, but most students qualify for some form of aid and, if it’s available, why not use it?
What is financial aid?
Financial aid is intended to make up the difference between what your family can afford to pay and what college actually costs. With college tuition rising rapidly, more than half of the students currently enrolled in college receive some sort of financial aid to help pay for college. The system is based on the premise that anyone should be able to attend college, regardless of financial circumstances. However, students and their families are expected to contribute to the extent that they are able.
There are two types of aid: need-based, and non need-based. Need-based aid includes grants and scholarships that are issued based on the family’s ability to contribute to education costs. Non-need-based aid is allocated solely based on availability, not need.
There are three main types of financial aid: grants and scholarships, loans and work study.
What is “free” money?
Not all aid is equal and the best aid is the aid you don’t have to pay back. It’s like getting a huge coupon of savings to use for your college education.
What types of education loans are available?
Not all college loans are equal.
There are two types of government-based loans: subsidized and unsubsidized. Subsidized loans have lower interest rates and are awarded based on the student’s financial need with interest deferred until after graduation. Unsubsidized loans are awarded without regard to financial need with interest payments beginning immediately and regular payments due after graduation.
What is work study?
The Federal Work-Study Program provides a method for college students to earn funds to be used toward their education. The program is based on financial need and students must be accepted into the program to qualify which is determined by completing the Free Application for Federal Student Aid or FAFSA.
What is the FAFSA and do I need to file it?
The FAFSA is the Free Application for Federal Student Aid and you should apply if you want any chance to receive federal and state student grants, work study, loans or merit-based aid. If you don’t complete the FAFSA, you can’t apply for student loans. Colleges also use these figures when determining financial aid eligibility for grants and scholarships. Plus, many states use your FAFSA data to determine your eligibility for their aid.
The FAFSA is available on Oct. 1 of every year and you should complete it as close to that date as possible in the fall of your senior year. Aid is dispersed on a first-come, first-served basis. The sooner you apply, the more likely you will receive a portion of the financial aid pie.
What is the EFC?
The Expected Family Contribution (EFC) is how much money your family is expected to contribute to your college education for one year. Typically, the lower your EFC, the more financial aid you will receive. Factors such as family size, number of family members in college, family savings, and current earnings (information you provide on the FAFSA) are used to calculate this figure. Once your FAFSA is processed, you will receive a Student Aid Report (SAR) with your official EFC figure.
You can calculate your EFC by visiting FinAid.org.
What is an award letter and how do you use it?
As the offers of admission arrive from colleges, the financial aid award letters will follow. They can be confusing and vague. Added to the confusion is that every award letter is different, making it hard to easily compare them side by side.
Thankfully, there are tools available and information to help you look at these letters for what they are: the college’s pitch for you to accept their offer of admission. You are in control of this process and you hold the cards. It’s your decision to accept or reject their offer based on the amount of aid they are willing to give you. Money, in this situation, is everything.
If a college wants you to attend, they will back it up with money. No money means their offer is probably based on filling a quota and expecting you will decline to attend. And you should. Who wants to attend a college that doesn’t value you as a student?
