Hi Friends! I know some of you have kiddos going off to college (or already in college, or maybe you're in college yourself!Hi Friends! I know some of you have kiddos going off to college (or already in college, or maybe you're in college yourself! ). I work as an Admission Counselor at a smaller university, so I also do Financial Aid Meetings with families to go over their Financial Aid Packages. It’s about that time of year when you’ll get letters from all the schools you/your child applied for. I thought I'd share some tips and knowledge in case it helps while you’re navigating this confusing world, because I’ve seen posts recently and have tried to comment individually. I do want to post a disclaimer: each university does things differently, has different definition of terms, and every single family/student situation is ENTIRELY unique: I’m not an expert in YOUR life! I’m honestly not the expert in all these things, but know this basic knowledge can help tremendously. <3 Know the difference in types of aid: Scholarships typically refer to merit based awards. These can be academic based (off GPA/test scores), activity based (music, theatre athletics), etc. I like to think that these are things you EARNED based off what you’ve done, and have nothing to do with your financial situation. You would have received this whether your family earns 1million/yr, or whether they earn 10, 000/yr. They are things you have worked hard to earn, make sure you’ve exhausted every sort of scholarship that universities have available. Grants typically refer to something based around a circumstance in your life that qualifies you for financial help. This is why there’s a Pell Grant, your financial situation based off the FAFSA could make you eligible for a Pell Grant, a Work Study Grant, etc! At my school, we even offer a need-based grant with university money if we have a FAFSA on file. These are different than scholarships in the way that often if your financial situation changes (FAFSA info), you may not qualify for them anymore/year-by-year. It’s important to know how to maintain and renew these types of awards. Loans always refer to borrowing money that you’ll have to pay back. There are many different types, but if you file the FAFSA, you will be eligible for $5500 in federal student loans as either a mixture of subsidized/unsubsidized, or just unsubsidized. Max subsidized you may qualify for is $3500 based on your EFC, then $2000 unsub to make it to the $5500 total. There’s a mixture of amounts in-between. If you don’t qualify at all for subsidized based off income, you’ll see $5500 of unsubsidized loan available to you. It’s all based off need. I know the two loans are confusing, so simple terms: Subsidized is the best option because the government pays your interest while you’re in school. Unsubsidized accrues interest while you’re in school, you'll have to pay that back. PLEASE NOTE for any loans you’re considering do your research! There is no one-size-fits all approach to loans, you have to shop around like if you’re looking for a car loan or a mortgage option. Get informed about what will be best for you/the student and your family. Financial Aid: This is typically a general term for EVERYTHING listed above. It encompasses every sort of aid source. Think of funding college as a three legged stool. I know this sounds weird, but there are three parties that help with assisting with paying for an education. All must pull their weight as equally as possible to keep the stool from wobbling. I get frustrated with families when they don’t understand that this should be a team effort, and they should take ownership of their own part of the stool as well. Student/Family Please take ownership! What has the student done academically/activity based to qualify them for scholarships? The student must be willing to put in the work, and hopefully their family also supports their endeavors. Is there a 529/other savings put away to help? Can the student work during the summer to put that money towards their tuition bill, and during the school year as well? How much can the family help per month? PLEASE HAVE REALISTIC CONVERSATIONS WITH YOUR KIDS. I cannot tell you how awkward and what a disservice it is to hide away financial conversations from your kids. I’ve sat in rooms where I can tell the student doesn’t understand what $1000 means, let along $20, 000. Parents feel pressured because they want to give their child the world, but they can’t afford it and are too afraid to talk to their kids frankly about the conversation. PLEASE, talk to them and work with them. Make them take ownership for you to also help. These conversations cannot start too early. University This is where scholarships come in. Most universities have a “discount rate” of sorts to help make college more affordable. Though opportunities are out there from the university for students, STUDENTS often have to seek them out. I cannot tell you how many times a student hasn’t been paying attention to their email or phone and realize a month after a scholarship deadline they’ve missed out on an important opportunity. You have to seek them out, be knowledgable about what’s out there, ask Admission Counselors for help knowing what opportunities are there, etc. Universities want students to go to college, but they’re also businesses that have to keep the lights on and professors in the classrooms. This is why the stool has to be even, and it takes a team to get college financials in order. If you need help, PLEASE reach out to your student’s advocate at the school. Not all large/state schools have an individual advocate for your child, but the smaller/private schools often do. My favorite part of my job is advocating for students that have shown effort in taking ownership and trying to figure it out. Government: Federal & State Here’s the deal. If you want to even be considered for help here, you have to file the FAFSA, at least try the first year. There is Federal Aid, as well as State-based aid. Keep aware of any state deadlines, those are important, once they’ve passed, they’ve passed. File the FAFSA as early as possible (opens October 1st of your student’s senior year), send it to the schools you’re interested in ASAP. The sooner you submit that, the more likely you are to receive aid. A lot of it is first-come-first serve, don’t miss state deadlines. Don’t put it off because you’re unsure or scared of the process. Ask for help from school counselors, admission counselors, families that have already filled out the FAFSA, etc. There are these things called “FAFSA Frenzy” available at some high schools. Don’t be afraid. I know that was a lot, but I’m hopeful it could give you a strong basis of support as you approach this season in you/your child’s life! I know there will be questions, and I’m happy to go over broad things, but please take ownership of your personal situation and talk to the schools that you/your student is considering. Sending all the positive vibes as you navigate this process!
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