In Part I, we examined all that you need to consider when determining the comparative affordability and value of different transfer institutions. However, no matter where you choose to attend, there are a number of strategies to lower your total costs.
First, there are often financial advantages to completing an Associates degree before transferring. As long as you are following transfer guidelines for your transfer institution and major, then the courses you take at the community college will all count toward your Bachelor's degree. In most cases, it will cost you less to take courses at the community college, as opposed to a four-year institution. Also, there are a fair number of scholarship opportunities that are only available to students transferring with an Associates degree.
Second, be sure to apply to your transfer institution early. Most institutions have priority deadlines for financial aid and scholarships in March. So, if you are preparing to transfer in the fall, you need to complete your admissions application the previous December. This will ensure that you are accepted into the institution in time to complete all financial aid and scholarship applications by March.
Third, there is often more financial aid available if you start at your transfer institution in the fall. While your federal financial aid (Pell grant, Direct loans) will be the same regardless of when you transfer, an institution may expend or earmark its scholarships, other grants, and work-study funds based on fall enrollment. If you start in the spring, these funding pools may already be used up.
Fourth, be sure to file for education tax credits if you have out of pocket expenses. Due to the lower cost of tuition and fees at the community college, you may not have had eligible expenses to claim an education tax credit when filing your income taxes. With the higher cost of a four year institution, be sure to check if you are now eligible for these refundable credits.
Finally, it is always a good idea to use a monthly budget to make the most effective use of your funds. By tracking your income and expenditures, and setting spending targets accordingly, you can make informed decisions about where your money goes. Also, if you need to supplement your income with a student loan in order to cover you expenditures, a budget allows you to pinpoint the exact amount of loan you need to take out, and not a penny more. In the long run, this will save you money by reducing the amount of interest you pay on your student loans.
Tuesday, March 19, 2013
Financial Planning and Transfer, Part I
One of the primary considerations to make when choosing a transfer institution is whether or not your school of choice is financially affordable. In this regard, there is much more to consider than you might think.
First, you need to determine the cost of attendance, which may well be different from the "sticker price" of tuition and fees at various institutions. Cost of attendance- at minimum - takes into account all of the scholarships, grants, and work-study funds included in your financial aid award. This will likely vary from one school to the next, and differ from one individual applicant to the next.
Did you know, for example, that elite private schools commonly offer large financial aid packages to well-qualified, lower income students? While the "sticker price" might be over $30,000 per year, you may be offered $20,000 or more in grants and scholarships.
Also, cost of attendance includes all other fees and expenses. There may be differences in housing expenses, transportation costs, health fees, and school fees. These need to be taken into account to determine the affordability of an institution.
Second, you need to determine the return on investment offered by different schools. Though one school may be more expensive to attend, it may also allow you to land a better job and earn a higher salary after graduation. In this case, the best value - in the long term - may be a school that is more expensive to attend.
It is important to note that there is no simple correlation between the cost of tuition and the return on investment. It is up for you to decide the value of one particular school over another by determining any unique opportunities, strengths, or resources (such as alumni connections) available through an institution.
Also, if a school is a better fit for you - in terms of degrees offered, location, support services, campus community, et cetera - you are likely to do better academically, which will likely increase your return on investment as well.
Third, you need to consider the transferability of your coursework at each respective institution, especially if you are concerned about hitting your lifetime financial aid limits. Different schools and different academic programs may count fewer or more of your credits. The question is: how many credits will you need to complete in order to earn your Bachelor's degree? If you need to take more classes at one school over another, that may well change which is more affordable.
In sum, you need to look at the whole picture to determine the affordability of various colleges. Furthermore, you must consider the long-term value and return on investment of different institutions, which may make it a "better deal" to pay more now.
First, you need to determine the cost of attendance, which may well be different from the "sticker price" of tuition and fees at various institutions. Cost of attendance- at minimum - takes into account all of the scholarships, grants, and work-study funds included in your financial aid award. This will likely vary from one school to the next, and differ from one individual applicant to the next.
Did you know, for example, that elite private schools commonly offer large financial aid packages to well-qualified, lower income students? While the "sticker price" might be over $30,000 per year, you may be offered $20,000 or more in grants and scholarships.
Also, cost of attendance includes all other fees and expenses. There may be differences in housing expenses, transportation costs, health fees, and school fees. These need to be taken into account to determine the affordability of an institution.
Second, you need to determine the return on investment offered by different schools. Though one school may be more expensive to attend, it may also allow you to land a better job and earn a higher salary after graduation. In this case, the best value - in the long term - may be a school that is more expensive to attend.
It is important to note that there is no simple correlation between the cost of tuition and the return on investment. It is up for you to decide the value of one particular school over another by determining any unique opportunities, strengths, or resources (such as alumni connections) available through an institution.
Also, if a school is a better fit for you - in terms of degrees offered, location, support services, campus community, et cetera - you are likely to do better academically, which will likely increase your return on investment as well.
Third, you need to consider the transferability of your coursework at each respective institution, especially if you are concerned about hitting your lifetime financial aid limits. Different schools and different academic programs may count fewer or more of your credits. The question is: how many credits will you need to complete in order to earn your Bachelor's degree? If you need to take more classes at one school over another, that may well change which is more affordable.
In sum, you need to look at the whole picture to determine the affordability of various colleges. Furthermore, you must consider the long-term value and return on investment of different institutions, which may make it a "better deal" to pay more now.
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