Financial Aid
Can you afford college?
If you are just finishing high school, congratulations!
Right now, it’s likely that you have fewer financial obligations than you will
at any other point in your adulthood. Yes, it may seem like a sacrifice to be
spending money on tuition rather than earning wages at a full-time job, but you
have the rest of your life to work! And the long-term benefits of getting a
college degree should not be ignored.
A high school graduate can expect life-time earnings of
about $1.2 million, while someone with a bachelor’s degree will make about $2.1
million. So, is investing in your future worth a million bucks to you?! (And of
course, college graduates also enjoy generally greater job stability, career
flexibility, and satisfaction with life-- all benefits to which no one can
entirely attach a price tag.)
So, what does college really cost? The answer is, “It
depends.” Certainly, tuition at some universities is more expensive than at
others. Chances are, no matter your financial situation, you can find an
affordable college that will help you meet your lifelong goals. To be more
specific, though, tuition in Oregon for a
four-year college ranges from $5,135 per year in-state at Southern Oregon
University to $34,530 per year at Reed
College. These totals are
typical of prices found elsewhere in the country. Nevertheless, tuition rates
for public universities for non-residents of a state will be higher, so if you
find a college you love in a state in which you don’t currently live, be
careful. Most public universities in Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, North Dakota, Oregon, South Dakota, Utah, Washington, and Wyoming
participate in the Western Undergraduate Exchange, which greatly lowers tuition
rates for qualifying non-resident students. Check www.wiche.edu to learn more
about this program.
Now that you’ve found the right college, how can you get
help paying for it?
Fill out the FAFSA (Free Application for Federal Student
Aid)! The sooner in January the year before you start college, the better, and
the on-line application (www.fafsa.ed.gov )
is the most efficient format. You don’t need your or your parents tax
filings or even W2’s to fill out the paperwork. Your family’s last paystubs of
the previous year and bank statements will be necessary, along with some other
financial information, so minors will need their parents’ assistance with the
form. For more assistance, attend the College Goal Oregon event on January 26. Experts will be
on hand from 9 a.m. to 2 p.m. in 20 different locations throughout the state to
help prospective college students. Go to their website at www.collegegoaloregon.org/ to find out more.
Work on getting scholarships and grants. These are basically
free money! The Oregon App (available online at www.GetCollegeFunds.org) is a great
place to start. Many students think that if their parents make too much money
or if their grades aren’t good enough that they won’t be awarded any
scholarships, but not all scholarships are need- or merit-based. Do be careful,
in general, that you follow directions, fill out forms thoroughly and keep
copies of what you send. Also, watch out that anyone you reveal personal
information to is reputable and know that the Federal Trade Commission warns
against scholarship search engines that guarantee results or that ask for
money. Your local library or counseling office will have lists of many
scholarships, but here’s a few good online search vehicles that may also help:
Look into workstudy programs. Many colleges offer
interesting jobs with flexible hours for students. Yes, it’s still work, but it
may be more convenient to work on campus, and you might find a job related to
your major.
Apply for a low-interest loan. The federal government often
will either be the lender or will make interest payments until graduation.
Rates are usually low (below 9%) and repayment is generally deferred until
after graduation. Of course, free money in the form of grants or scholarships
is more attractive than paying an added $3,600 or so in interest on the principal
of your loan. So, some work now in seeking and applying for lots of
scholarships may save you lots of money in the long run.
Talk to your family about tax credits. The HOPE and Lifetime
Learning Tax Credits can help even middle class families put some money back in
their pockets. Tax preparers, accountants, and college tuition officers can
help families find out how much they
qualify for.
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