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Archive for April, 2009

What Percentages Of College Students Use Financial Aid

Wednesday, April 29th, 2009

“What percentages of students use financial aid?”

-Pamela S., Port Charlotte, FL

Pamela,

Here is a fun fact: In 2007, over 10 million students received a combined total of $83 billion dollars in federal assistance. Pretty amazing, right?

Now compare that to what is available this year: $145 BILLION! That is literally almost double what was available in years past. Now more than ever is there a great opportunity for people to go back to school and have the bill covered by the government.

The federal statistics for fafsa federal aid tend to date back a few years, since the time it takes to quantify the information can be a year or two, so the most recent information I could find is for students enrolled from 2003-2004:

Highlights from 2003-04 National Postsecondary Student Aid Study (NPSAS:04) Undergraduate Financial Aid Estimates for 2003-04 by Type of Institution include the following:

All Institutions

· 63 % of all undergraduates enrolled in 2003–04 received some type of financial aid.

· 51 % of undergraduates received grants and about.

· 35 % took out student loans.

· 15 %t received grants from other sources (e.g., employers, parents’ employers, or private foundations or organizations).

The average amount of grants received was $4,000, and the average amount borrowed by undergraduates in 2003–04 was $5,800.

So as you can see, a huge portion of students rely on federal aid to finance their education. Only 15 % of students were able to acquire private funding for their tuition in the form of a scholarship or grant. This should demonstrate to you how important it is to consider federal aid, as your other options are very limited.

The one thing to remember is that ALL students (even that 15% that used private funding) should complete the FAFSA application because 99% of the time, it is required regardless of whether or not you use federal, state, or private funding.

Bottom line is that the FAFSA is the first place to start no matter what type of aid you are hoping to receive.

Tags: federal aid
Posted in fafsa | 90 Comments »

What Guidelines Qualify You For FAFSA Financial Aid?

Tuesday, April 28th, 2009

“What guidelines qualify you for FAFSA aid?”

-Chelsea E., Orlando, FL

Chelsea,

The simple answer is: if you are a US Citizen, a high school graduate, demonstrate financial need, have a valid SSN, and do not have any previous drug convictions while receiving federal assistance, than you are eligible for student aid of some kind.

However, there is a more detailed explanation of exceptions and other specifications regarding eligibility on the government website:

According to the federal government, the following requirements* must be met to be considered eligible for student aid:

Financial need
Except for some loan programs, you must show that you have financial need, according to our requirements. See “Financial Need and Expected Family Contribution(EFC)”.

Educational requirements

· You must demonstrate by one of the following means that you are qualified to enroll in postsecondary education:

# Have a high school diploma or a General Educational Development (GED) certificate.
# Pass an approved Ability-to-Benefit (ATB) test. If you don’t have a diploma or GED, you can take an approved ATB test to determine whether you can benefit from the education offered at that school.
# Meet other standards your state established and that we have approved.
# Complete a high school education in a home school setting approved under state law.

· You must be enrolled or accepted for enrollment as a Regular Student working toward a degree or certificate in an Eligible Program.

· You must meet Satisfactory Academic Progress standards set by the postsecondary school you are or will be attending.

You might be able to receive aid for correspondence or telecommunications courses as long as they are part of a recognized certificate or degree program.

Legal and other requirements

· You must be a U.S. citizen or Eligible Noncitizen.

· You must have a valid Social Security number (SSN) (unless you’re from the Republic of the Marshall Islands, the Federated States of Micronesia or the Republic of Palau). If you don’t have an SSN, you can find out more about applying for one at www.ssa.gov or by calling 1-800-772-1213. TTY users can call 1-800-325-0778.

· When you apply for federal student aid you sign a statement that certifies that you will use federal student aid for educational purposes only. You also certify that you are not in Default on a federal student loan and do not owe a refund on a federal student grant (which could happen if you withdraw from school, for example).

· You must comply with Selective Service Registration. If you’re a male aged 18 through 25 and you have not registered you can, at the same time you complete your FAFSA, give the Selective Service System permission to register you by means of the FAFSA. You can also register online at www.sss.gov or call 1-847-688-6888. TTY users can call 1-847-688-2567.

· Generally, if you have been convicted for the possession or sale of illegal drugs for an offense that occurred while you were receiving federal student aid, you will be ineligible for a period of time based on the type and number of convictions. If you answer “Yes” to this question, it is very important that you complete and submit the FAFSA to determine your eligibility. If you are submitting a paper FAFSA, you will be mailed a worksheet to assist you in determining whether your conviction affects your eligibility for federal student aid

· Even if you’re ineligible for federal student aid because of a drug conviction, you should still complete the FAFSA because most schools and states use FAFSA information to award non federal aid.

· You have limited eligibility for federal student aid while you’re incarcerated. Generally, you’re only eligible for a Pell Grant and then only if you’re NOT incarcerated in a federal or state penal institution.

*Information as reflected in the www.studenaid.ed.gov 2008-2009 Handbook.

Tags: fafsa aid, fafsa financial aid, financial aid
Posted in fafsa | 27 Comments »

Does Getting Married Affect My FAFSA Application?

Monday, April 27th, 2009

“I just got married; does that affect my FAFSA Application?”

-Sarah P., Salt Lake City, UT

Dear Sarah,

If you filed your application and then got married, it will not change your FAFSA application. If you have not yet submitted the form and recently got married, then you will need to indicate that you are now married and the month/year that it occurred in the appropriate section on the FAFSA.

This concept applies to all circumstances regarding your situation when you apply. Whether it be marriage, divorce, job loss, salary change, etc. The application collects the information about you (both personal and financial) that is accurate on the day that you apply. Even if all these circumstances change the following day, you would not need to update.

Tags: fafsa application
Posted in FAFSA Applications | 6 Comments »

How Much Money Could I Expect From FAFSA?

Thursday, April 23rd, 2009

“My Mom makes 40k a year and Dad doesn’t work, how much could I expect from FAFSA?”

-Larry M., Binghampton, NY

Larry,

Great question! It would be fantastic if the government published a chart of income ranges that could automatically reflect how much aid you can expect, but unfortunately it just isn’t that easy.

The federal government reviews the information you complete on your FAFSA application (basically by having you list all sources of potential income: untaxed, interest income from investments, net worth, etc. and compares that to any and all financial obligations you may have) and determines by using a specific equation what your Expected Family Contribution (EFC) number would be. This number tells them (and you) approximately how much they expect you should be able to contribute financially to the Cost of Attendance (COA) of the institution you list on the FAFSA application itself.

So, for example, let’s say you want to attend America University which costs approximately $10,000 a year. After the federal government calculates your EFC, which let’s say they calculate to be 4389, you can expect that you will receive around $5,611 in aid, and that is usually a combination of grants and loans, or different types of loans added together.

Now, to get even more complicated, the amount they will offer will also fluctuate depending on when you apply, what state you live in, and how much money is left in the federal education budget when they go to cut your check.

So as you can see, the estimation for how much aid you will receive can be tricky and will almost always be just that: an estimation. However, you can usually find some really great EFC Calculators online that will help you get an idea of your expected federal aid.

To take control of your financial aid process, the best thing you can do is apply EARLY and use the help of a professional advisor who will make sure the form is filled out correctly. Otherwise you can spend weeks making corrections and adding information later that you may not know you even needed! There are mixed feelings out there about paying for professional help filling out the form, but I personally feel that when it comes to the difference between THOUSANDS of dollars, why not spend the $60 and know you are doing it right?

Tags: fafsa, fafsa application
Posted in FAFSA Applications | 57 Comments »

The FAFSA Application Information You Will Need To Have On Hand

Wednesday, April 22nd, 2009

“What information should I have on hand to fill out my FAFSA Application?”

-Aaron B., Costa Mesa, CA

Aaron,

Fantastic question. The documents you need can sometimes seem overwhelming, or you may not even be sure where to get them. However, you can usually complete the application with the following documents and estimate certain answers when appropriate:

· Your most recent income tax return (and your parents’ return if you are a dependent)
· Your W2 from the past year (and your parents’ W2s if you are a dependent)
· Your current bank statements
· Your current investment records (if any)
· Records of any untaxed income you may have received
· Your Driver’s License (if you have one)
· Your Social Security Number
· If you are not a U.S. citizen: your alien registration or permanent resident card

As you can see there is specific information you will need before you can begin filling out the form. This is where the frustration for applicants can begin, especially if you are doing this on your own.

One way to simplify this issue is to have a professional advisor help you complete the form. It’s really similar to paying someone to help with your taxes. If you can provide the basic information (like a W2) they will know how to estimate the other information necessary to complete the application. The other added perk (which was my favorite part) was they explained to me in detail what the documents were and how to get them. I knew I had a 401K at my last company, but I had no idea how much I had paid into it but I knew it wasn’t a lot. It really helps to have an expert walk you through the process. Especially if you can be a little unorganized (like me) and lose these documents along the way.

I do want to mention that although having an expert to help you through it, if you are not aware of the types of income you received last year (but I imagine MOST people want to keep track of the money they earn) then this information will not magically appear on your form. The benefit of an advisor is really having someone to discuss the application with, and determine through a series of questions what forms you will need and then they help walk you through how you can get them.

Once you have these documents, you can complete the form with an advisor or own your own and submit it to the federal processor. Once you sign the form itself, you can expect a response (via email) within 3-5 of your general aid eligibility.

Tags: fafsa application
Posted in FAFSA Applications | 35 Comments »

After Applying For FAFSA When Do You Receive Your Financial Aid?

Tuesday, April 21st, 2009

“When applying for FAFSA when do you actually receive your financial aid?”

-Derek R., Nashville, TN

Derek,

The FAFSA form itself it only determining your eligibility for federal aid. So, when you complete and submit the form, what is actually happening with that information is as follows:

· The government gets your FAFSA (whether the paper or electronic version) and reviews it for errors and looks for any information that would invoke a “red flag” and result in a hold on the form. (Red flags occur when they see really low or really high income, when you report you received supplemental income but your “total wages earned” information doesn’t match, etc.)

· If the information is wrong or is “red flagged”, the government will then mail you paperwork to make changes, or you can make these changes online with your PIN. Once you’ve made changes, the process starts over again. You wait for them to review and confirm that everything else is okay. This can take WEEKS.

· Then, they sent you a Student Aid Report (SAR) that reflects your generalized federal aid options. This means that you will find out if you are Pell Grant eligible, and what type of Stafford Loan you can receive.

· The next crucial step is that this information is also sent to the schools you listed on the FAFSA form. They will also calculate what type of aid you will receive (specific amounts) and either send you a form letter or wait until you have applied to share this information with you.

· From there you will need to make a decision: Do I still want to attend this school? Do I only want to take the grant money or do I also need these loans? If so, do I want all of it? Once you make your decision, your Financial Aid Administrator will work with you on the paperwork you will need to receive the actual disbursement.

· The specific answer to your question is that you will actually have the $ in your hands (or, more accurately, in the pockets of the institution) as soon as you actually begin classes. So, as you can imagine, if you are moving across country to begin college, you will need to cover those expenses up front as your federal aid won’t be available for you until after you begin. Also, the money goes directly toward your institution and other eligible expenses, not to you. So don’t assume you can use the grant money to go out and buy that fancy new flat screen TV or Xbox you have always wanted!

Tags: fafsa, financial aid
Posted in fafsa | 52 Comments »

How The FAFSA Dollar Amount Is Determined

Monday, April 20th, 2009

“How does the FAFSA determine the financial aid you should receive?”

-Julie M., Chicago, IL

Julie,

Well that’s (literally) the million dollar question, isn’t it?

The federal government reviews the information you complete on your FAFSA

application (basically by having you list all sources of potential income: untaxed, interest income from investments, net worth, etc. and compares that to any and all financial obligations you may have) and determines by using a specific equation what your Expected Family Contribution (EFC) number would be. This number tells them (and you) approximately how much they expect you should be able to contribute financially to the Cost of Attendance (COA) of the institution you list on the FAFSA application itself.

So, for example, let’s say you want to attend America University which costs approximately $10,000 a year. After the federal government calculates your EFC, which let say is 4389, you can expect that you will receive around $5,611 in aid, and that is usually a combination of grants and loans, or different types of loans added together.

To take control of your financial aid process, the best thing you can do is apply EARLY and seek out the help of a professional advisor who will make sure the form is filled out correctly. Otherwise you can spend weeks making corrections and adding information later that you may not know you even needed! There are mixed feelings out there about paying for professional help for completing the form, but I personally feel that when it comes to the difference between THOUSANDS of dollars, why not spend the $60 and know you are doing it right?

Tags: fafsa
Posted in fafsa | 27 Comments »

8 Ways To Save For College Before You Even Get There

Thursday, April 16th, 2009

Ways To Save Money For College

You know, the thing that frustrates me about all the sad stories I read about students compromising their “dream school” for a smaller community college or lesser known state school, is that the students have rarely put themselves in a position to be able to financially afford the “dream school” tuition other than assuming their parents will cave to their desires and cover 100% of the tuition expenses, no questions asked. What’s more is that students can rarely articulate why they have selected that particular college as their “dream school”, aside from saying it’s where all their friends are going, or it’s the most popular school in their area. Popularity shouldn’t put you into debt!

Here’s the thing. Although college is a well respected life decision and arguably a necessity these days, it is very similar to buying your first car. Of course we all want to have our parents fork out the money for a fancy BMW when we first get our driver’s license (I mean a car is a necessity, right?) the truth is that many of us don’t really do ANYTHING to earn this type of gift from our parents. So, more often than not (to teach the value of money) they will purchase a used but reliable vehicle that is much less glamorous but still gets the job done. (Did someone say 1986 Oldsmobile?)

Now how about if you same students had spent the 2 years before you got your license, working part time jobs and taking safe driving courses (that will reduce your insurance costs) so that when the time came around to buying this BMW (or whichever car you prefer) you were able to bring something to the table? Although I doubt any of us could have worked enough part time hours to afford a car on our own, having SOME money saved up could demonstrate (1) your worthiness of such a nice car and (2) more leverage in adding to the down payment of a nice car (that could potentially land you a monthly payment that mom and dad are comfortable with).

Going to college is no different. I don’t know when, but somewhere along the line we all began to assume that college is something we are entitled to, and that choosing our “dream school” was all we really needed to contribute to the process of going to college and mom and dad would take care of the rest. Boy, were we wrong.

The simple fact is that for most of us NOT attending an Ivy League school, where you go to get your degree will be for the most part, totally irrelevant when it comes to looking for a job. What employer will look at that Bachelor of Philosophy degree from Wesleyan University vs the Bachelor of Philosophy degree from the University of South Florida and know the difference when it comes to hiring you? I can tell you one big difference: If you choose the former, you will have spent close to $38,934/year versus the latter which comes in around roughly $3,167/yr. Granted, Wesleyan may be your “dream school” (Mom, they have coffee machines in every dorm room!) but why would your parents be motivated to send you there when YOU yourself have not done anything to show your own motivation? Come on. I am not trying to sound like a parent, but I am trying to wake you all up into realizing that if it really matters all that much to you to go to the “school of your dreams” then you need to take matters into your own hands. It’s just that simple.

So, how do you do this? It is going to require a little work on your end, but in the long run these proactive decisions could affect the rest of your life. Why not be in the one in the drivers seat?

1. Get a part time job, already! High school is not just about getting your first car and finding a way to survive your calculus class. This is also a crucial time in your lives that could potentially affect how the next 10 years will go. Work as many part time hours as you can (without compromising your grades, of course) and ideally try to do this in an environment that could also land you some community service hours. (Hello, scholarships!) The harsh reality is that 70% of high school seniors will apply to colleges that they can’t afford. This means that when you are searching for a scholarship, you will be one of THOUSANDS of applicants, and if they see you did nothing more than breeze through classes with no extracurricular, they are not going to be as eager to hand over free money regardless of need in most cases. Catch my drift?

2. Join a club or organization. This does not include the group of friends that come over every Friday to stay up and play Halo with you until 3 AM. More specifically join a club or organization that offers a scholarship to its members or alumni each year. Of course, not everything you do in high school should be motivated by what you can get out of it financially, but when it comes to your valuable free time, it makes sense to involve yourself in clubs that may have a payoff for you later. Plus, these groups make for great admissions application material and even for your first resume that you will need to fill (with little or no work experience) when you graduate.

3. Did I mention the part time job? Just checking.

4. Be creative. Start a business or make those hobbies pay off. So, you like computers? Are you pretty savvy when it comes to fixing them when they break down? Were you able to patiently teach grandma how to check her email or how to make a Facebook page? Why not use this to your advantage? Unfortunately, many older generations are at a disadvantage because computers and all the technology that came with them were something that they faced much later in their professional lives. This means that YOU, young student, are at a great advantage to help and earn some money while doing it. Create flyers, stop by local companies, offer your “IT Services” at a very low cost (or on a volunteer basis) and see where it gets you. This may surprise you, since more companies than you realize would love an opportunity to have a knowledgeable technical support person on call without paying the exorbitant salary that can sometimes come with this profession. Or maybe you like to paint? Or maybe you enjoy writing? Now is the time to get out there and see where these things can take you. You may not end up getting paid (or paid very much) during this time but you can at least continue gathering great experience and it will put you in a better position for scholarships later. Trust me!

5. Throw a party. Wait, what? Yes, you heard me right. Throw a graduation party! Now this may seem like a sneaky way to benefit from your family, but you did earn this right and why not use it to help pay for those upcoming college expenses? Send out handmade (your hands, specifically) invitations to everyone you’ve ever met letting them know that you have graduated and you are looking to celebrate. It is a long standing tradition to send a little $ to recent grads and this can be the beginning of your savings to use when you enter school. The best part is, it’s a fun way to raise some dough.

6. Part. Time. Jobs. I really can’t stress this enough.

7. Research, research, research. Take your time researching schools and degree programs that interest you. Now I am not saying to spend time on Google searching for “Really fun college degrees” but instead try “least expensive college degrees” or “cost of living in (enter city name)” and figure out how you can get the most bang for your buck. The secret to saving money when you go to college is to take the time to find out where you can get a solid education for the least amount of money. It is a radical approach to college but it is really that simple and totally possible. The fact is that what is good for one student, may not be good for the next. How do you know you wouldn’t enjoy getting your Business Management degree at a smaller, cheaper college in South Dakota versus a large, overpopulated, expensive university in North Carolina? What if the school in South Dakota really was 1/10 of the total cost? You need to decide how you want to learn, where you want to be while you learn it, and what will matter most to you out of all these options. Do you want small class sizes? Do you want to be able to take only night classes? Schools come in all shapes and sizes and if you take the time, you can find the best fit for you, and more often than not it will result in savings since you took the time to really shop around.

8. Study One other money saving secret is if you really aren’t sure what you want to study; don’t be afraid to look into a community college for the first two years of school. I really don’t understand why so many students are afraid of community college. There are so many perks to starting out a local CC. They are cheaper, the classes are smaller, they usually offer a variety of scheduling options, and you can get a taste of certain classes to figure out what it is you want to study for the rest of your college career…which will seem like FOREVER if you end up studying something you hate. Take a look at some of the community colleges in your area, or even in the area of the university you will eventually attend. Oh and take time to research the careers you are interested in. I mean, REALLY research. That means find the jobs and companies you would want to work for and CALL THESE PEOPLE. Ask what kind of degree their employees have and what type of experience is critical. Did you know that a lot of high paid designers were able to get their job with just an Associate of Science degree? Why waste 4 years in school when you can get it done in 2? Just research, people!

Like I mentioned before, unless you are attending a notorious Ivy League school, the odds of your employer knowing the difference between a $40,000/yr and a $4,000/yr university, will be slim. What will matter more is the experience you gained (i.e. clubs, jobs, internships) than the actual name of the school on your resume. They will look at YOUR skills and YOUR experience, and this will be much more important than the type of college you attended.

Tags: money for college
Posted in College Money | No Comments »

How To Get The Most Federal FAFSA Aid.

Wednesday, April 15th, 2009

How to get the most federal FAFSA aid.

It can be really frustrating when you are trying to go to college, already nervous about leaving home and unsure whether or not you are not you even know what you are doing, and then find yourself in the midst of a battle with your financial aid office because you realize you don’t have enough money to cover your expenses the first semester.

The process of applying for financial aid is a necessary evil and we have all have to go through it if we are looking for help paying for college. The trick is knowing the right way to do it to be sure you are getting the most money that you are eligible for so you can hopefully walk away with a degree in your hand that won’t result in years worth of debt.

Apply Early- Now this doesn’t mean the normal type of “early” you are used to (the day before a deadline) but rather MONTHS in advance, even as early as January 1st of the year you are attending college. So this does mean as a senior you will need to complete the FAFSA application in its entirety and submit it to the federal processor before your deadline. Yes, there are deadlines. There is a federal, state, and school deadline for each student. You should be calling your schools of choice and asking what their FAFSA application deadlines are, and you can check online for the state deadlines as well. How do you get the most aid you are eligible for? The sooner you do it, the better. Financial aid is first come first serve, so be the first in line!
Get Help – If you are struggling with the FAFSA application, there is no reason to not get assistance. Don’t let the pages of personal and financial questions or the 70 page instruction guide overwhelm you. There are plenty of resources out there specifically to help you with this form. A high school guidance counselor can usually provide some basic information about the form or answer some of the simple questions you may have. For those of you looking to have professional assistance, there are plenty of paid advising companies and/or financial advisors that can walk you through completing the form. It is similar to paying someone to complete your taxes. It is one way you can be sure the form is filled out correctly before you even send it in. There are a lot of mixed feelings about using this type of service, since the application is free and there are definitely some scammers out there looking to take advantage of you. However, there are experts out there that do offer legitimate expertise on how to fill out the form correctly, and are not there to swindel you or encourage falsifying information on the form. I personally feel that this type of service can be greatly beneficial for some families, but not everyone needs to use it. It is also one way to be sure that your form is going to be filled out correctly before you send it out. If you leave it up to the government, you may not find out for weeks if you’ve screwed up your application which means a delay in processing the form. A correct form turned in early is the most effective way to maximize your eligibility for financial aid.
Know your financial aid profile. Are you dependent? Do you have any income from last year? Do you have investments? Were you self employed? Did you receive any additional taxed or untaxed income last year? Do your parents pay for your cell phone or car? Do you know whether or not you need to include that on your FAFSA, or where it is even included? Is your mom remarried? Do you include your stepfather’s financial information? Become an expert on what you are obligated to report on your FAFSA, so you are not accidentally preventing yourself from receiving the financial aid you are truly eligible for by including the wrong information. If you aren’t sure about this, again, review the “Get Help” section above. Paid help is ideal and if that isn’t an option, seek out a guidance counselor at your school. The bottom line is if you want the most financial aid, you have to understand your own financial situation clearly and thoroughly so you are aware of what you are obligated to report and if/how this can affect your eligibility. The idea is to not falsely represent your financial information but correctly report exactly what you need to so you know you are getting the most aid you possibly can.
Know what to include. This reiterates the above information, but it is so critical that it is important you understand the purpose of this helpful hint. Do you or your parents contribute to a 401K annually? There are two ways to report this information, one of which will maximize your eligibility for aid. Real estate investments are also tricky. Many people report the net worth of their home as part of their total net worth. That is not how you report this information. There is a correct way to include this information that will maximize your eligibility for aid. Again, this is not to suggest you should falsely represent this information. The CORRECT ways of reporting this information is how you can maximize your award amount. However, these are generally the same places many people make mistakes. This is why truly understanding this form is so important. We aren’t talking the difference of $25 or so, but literally thousands of dollars in federal aid. Knowing exactly what to include and where is a key to optimizing the results of your federal aid.
Review for mistakes. Okay, so you just made it through the form after 5 long hours of researching and reading every fine line. Now, what do you need to do? Check your work. Go back through and make sure that every number is correct, that the spelling is right and that you didn’t leave anything blank. This is crucial. Even a simple mistake like misspelling your name or leaving a number off your phone contact information will put a hold on your FAFSA. So that means while you wait to get the paperwork to fix it, those other people in line behind you get to move foward while you wait and watch the money pass by.

As you can see from the information above, there is a lot that can go wrong before you get what is right about this form. Like most government forms, they are complicated, convaluted and difficult to navigate. However, they are not this way to trick you or intentionally keep you from receiving aid. It’s simply that for most students, this is the first time they are filling out a form like this and have never had to ask themselves what is the total net worth of their investment farms. Be patient, be proactive, and don’t be afraid to ask for help, professional or otherwise.

Tags: fafsa application
Posted in FAFSA Applications | 1 Comment »

5 Tips To Get FREE MONEY For College

Tuesday, April 14th, 2009

5 Tips To Get Free College Money

I remember how jealous I was of my older brother when he got a full ride to the college of his choice. I saw him spending some of his “extra” scholarship money on DVDs and a new TV. I couldn’t believe it. I was just starting the process of writing my college applications and he was already easing into his freshmen year without a care in the world. I was frustrated. HOW did he get all this money? My mom kept using the phrase “student loans” every time my college education came up, yet my brother wasn’t racking in even a small amount of debt.

So then it hit me: high school. High school was very different for my brother than it was for me. I had a lot of friends, I partied on the weekends, I had a very part time job on the weekends but mostly I spent my time socializing. My brother on the other hand was a great student. He did a lot of extracurricular activities and in the summer time he volunteered at the hospital for 3 weeks. Now that high school was over for each of us, I couldn’t help but wonder why I was being punished for having a good time while I was in school. I asked my brother what his secret was and why he enjoyed being such a nerd. Then he told me this: “I didn’t LIKE doing all of those things, and I certainly didn’t necessarily enjoy seeing my summer spent running errands in a hospital, but what I really didn’t want was to work a million hours and try to go to school at the same time. So, I put in the work now.”

It seems like a simple concept but it really hadn’t clicked until then. When I thought about it, I couldn’t even remember how I spent those 3 weeks during the summer while my brother had gone to volunteer, and I could have put myself in a position to win a $5,000 scholarship like he had. I honestly hadn’t done the research, and I figured that as long as I got straight A’s, getting into college and finding a way to pay for it would come naturally. As you probably know, this wasn’t the case.

I made a list of tips and tricks to help find “free money” to pay for school. You may not like it, you may not want to do it, you may downright HATE it, but if you want to come out of college with a degree and little to no debt, these are the necessary steps to make that happen.

Prepare waaaaaay in advance. This one I can’t stress enough. By the time students start applying for college, they are generally seniors and almost done with the year. Did you know that most financial aid deadlines are 6 to 7 months before you even begin college? That means you generally have to apply by MARCH, while you are still in high school. That doesn’t include the application you will also need for admission. Plus, with the time it takes to rack up volunteer hours and participate in groups that provide scholarships, you really should have been starting your preparation during your sophomore or junior year at the latest. So, when I say preparation that really means being proactive toward your college education as early as you can. The more you can make yourself stand out by the time you have to write that nifty scholarship essay application, the better off you will be. You will need this before you do anything else. There is no “secret scholarship” website I can lead you too and even if there were, if you don’t have the grades or the community service, 9 times out of 10, you won’t be eligible for anything.
Parents are not your slaves. DO NOT, I repeat, DO NOT rely on your parents to do the work for you. Why would you want to leave your fate in someone else’s hands? Come on! You are the one on the internet all day, why are you not spending at least 5 minutes of that time searching for and applying to scholarships? It may not be fun, but you are helping yourself. Who knows what you may find. Wouldn’t you much rather have money to spend on FUN things while you are in school, then living off loans and spending every night at home because you have no money? Your parents are busy enough. Even if they do help, they can’t (and shouldn’t) spend the time it really takes to find the free money in the same way you can (and should).
Participate in everything you can. Join! Join! Join! Most clubs and organizations have a minimal amount of attendance or work required to become a member. That doesn’t mean that I am encouraging you sign up for 800 associations just for the title, but you can generally balance a handful without worrying your life will be sucked dry of any free time. The best part is, these are great places to meet friends and they will put you in a position to apply for additional scholarship money either through the organization itself, or by citing these clubs as community service and it can also lead to great letters of recommendation. Ask ahead of time what benefits they offer. How many hours of activity do they require of their members? Do they offer a scholarship? What are the requirements? This can pay off. If you are not sure how to find these organizations, ask your high school guidance counselor. Or, if you are just looking for extracurricular credit, why not create your own organization? Find someone at the school you ask to be a sponsor, and then run with it! How much cooler would it be to say you are the “Founder of Kids with Cool Glasses” then just a member? Give it a shot. It is more fun than you might think.
Persevere in spite of exhausted efforts. Don’t think the internet is the only resource on the planet for information. Once upon a time, we used books as our main resource when trying to find the answer to our questions. The internet has a lot of fantastic content but it will also be full of scams and people hoping to take advantage of you and your money. Go to bookstores and local libraries to try and find scholarship books for you to use as a guide. Stop by the government building in your city, like the town hall or historic center, and ask if they offer scholarship or community service opportunities. I don’t know many places that will say no to a hard working volunteer, so you really don’t have much to lose. The more effort you put into it, the more likely you will be to find something that you will enjoy doing. Love the beach? Become a lifeguard. It’s real life opportunities like these that will not be on the web.
Practice until perfect. All the community service in the world won’t make a bit of difference if your scholarship essay is poorly written or doesn’t focus on the questions being asked. You may even need to attend an interview or two during the application process so if you are sloppy and underprepared, it can ruin your chances of winning the scholarship. You will need to be prepared and focused on what your goals are, or at least be able to communicate that you are hoping to discover your goals through college. Not everyone has the answer, and especially when you are just leaving high school and are still figuring out who you are. The key is perfecting your essays, practicing your interviews, and doing whatever it takes to stand out amongst the masses.

I wish I could tell you about the secret website or scholarship club that gives out thousands of dollars to each student that applies, but it just doesn’t exist. Plus, if I did, I probably would keep the secret so I could pay for my OWN education! The truth is that money is out there, and the more connected you are to your community, your school, and yourself, the more likely you will be in a position to find dozens of these you can apply to. Don’t discredit scholarships for $50 or $100, either. Books are expensive, too. Don’t forget the money you will want/need to buy stuff for your dorm. Also, it may help to keep a secret stash for a late night trip to McDonald’s, because let’s face it: college food stinks.

Tags: fafsa, fafsa appliation, fafsa worksheet, finanacia aid
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