When you embark on your college career, there is a good chance that you may have to seek additional funds through the procurement of student loans to pay for tuition, expenses, and even living costs. When you request student loans, the loan company is likely to pay the tuition directly to the institution you have chosen and then issue to you any overages.
Emotions often run high the day any parent drops their child off at college for the first time. It’s an important moment for families and one that symbolizes the start of a child’s independence. But as a parent, grandparent or guardian, you want your child to set their newfound independence off on the right foot emotionally, physically and financially.
Each year, around 84 percent of college students obtain some form of financial aid.1 To receive financial aid from the government, all students must fill out the Free Application for Federal Student Aid (FAFSA). The FAFSA determines the financial needs of a student based on factors such as current family income and the family’s prior tax year’s income.
As a parent, you know that time with your kids can go by in the blink of an eye. So, whether you are preparing to send your child to kindergarten or are dealing with teenagers, it’s never too early (or too late) to start planning for their higher education. Not sure where to start? We’ve gathered some parents’ most common financial mistakes regarding college planning.
The first week of college is a time of excitement for recent high school graduates. They want to see and do everything without the ball and chain that is their parents. Doing everything is likely to cost money. So then, the first week of college is also about learning, learning how to budget.
The biggest challenge for students and parents when planning for education are the financial costs; including tuition and academic expenses. It’s not just for college anymore – added to the tuition eligibility are K-12, private and religious schools. Funds can be used for four and two year colleges, trade schools, graduate programs and some international institutions.
For many people, helping to pay for their children’s or grandchildren’s education is one of their main financial goals. It’s admirable to want to put your wealth toward bettering the next generation.
When considering planning for higher education, you might be surprised to discover that college tuition and fees are not necessarily the largest associated costs. As students begin this next phase of life, looking at the college’s published cost of attendance is a good idea.
How can you help cover your child’s future college costs? Saving early (and often) may be key for most families. Here are some college savings vehicles to consider.