College Costs What you need to know about paying for a college education
Breaking down college costs So… what is it exactly that I am paying for?
Breaking down college costs • Tuition: the cost of enrollment in coursework at the college level. (ex. $2,300 per year to $45,000 per year) • Room and Board: the cost of living on campus, made up of your dorm room fee and cafeteria meal plan. (ex. $7,000 per year to $ 12,000 per year) • Fees: usually include library access, parking, identification cards, athletic facility usage, health insurance, lab supplies, activity involvement, and game admissions. (ex. $200 per year to $4,000 per year) • Books: The College Board reports the average cost for books and supplies for the 2010–2011 school year was $1,137 at public colleges and $1,181 at private colleges.
Affordability: Reality vs. Fantasy
Affordability • College costs should never keep you from pursuing a college education. However… • Where you begin your education and where you complete your degree may be impacted by your individual financial situation. • College affordability is often the most important topic rarely discussed.
Affordability Questions to consider…. • Will you attend Public, Private, Technical School or start at a Community College? • Will you live on campus, off campus, or at home? • Will you stay in state or go out of state?
Affordability: Options,Options, and more Options…
Estimated college costs before aid is granted • University of Colorado-Boulder- Cost of attendance not including books- $25,244. • University of Colorado-Denver- Cost of attendance minus Room &Board $9,708. • University of Denver- Cost of attendance not including books- $50,751. • Community College of Aurora- Cost of attendance not including books- $3,175.
Affordability: So how do I pay for the college I’m interested in…
Itemized Breakdown (estimated) University of Colorado-Boulder • $25,244Total Bill (excluding books) per year ($100,976) - $ 2,500 Grants/Adjustments per year ($10,000) - $ 2,200 Work Study (Job) per year ($8,800) - $ 2,544 Student Savings (Summer) per year ($10,176) - $ 5,000 Parent Out of Pocket per year ($20,000) - $ 5,500+ Student Stafford Loans per year * ($22,000+) - $ 7,500 Parent PLUS Loans per year ($30,000) __________________________________________________ Based on data from National Center for Educational Statistics * Stafford Loans Increase from $5500/$6500/$7500
Let’s look at it from a different lens What you pay while in school: Parent Total- $ 5,000 per year ($20,000 over 4 years) Student Total- $ 4,744 per year ($18,744 over 4 years) What you pay after you graduate: Parent Total- $7,500 per year ($30,000 + interest) Student Total- $5,500 per year ($27,000 + interest) * For every $10,000 of loans a person typically pays $110 per month over a 10 year period (based on current rates-subject to change)
What you can do now: FINANCIAL AID OVERVIEW
Financial Aid FAFSA = Free Application for Federal Student Aid * Never pay to submit your FAFSA! Everyone should apply for financial aid by filling out the FAFSA in January of senior year. Even if you think you may not qualify it is required for work study jobs! Financial Aid Night @ EHS on November 28th
What you can do now FAFSA pin numbers (www.pin.ed.gov) FAFSA Forecaster Net Price Calculators (New College Tool!) Financial Aid Calculators (check finaid.orgorcollegeboard.com) College Opportunity Fund (CollegeInColorado.org)
Net Price Calculator Colleges are now providing Net Price Calculators to give a more accurate depiction of what you will be required to pay.
Students should start with their colleges Pay attention to the details! Plan ahead Scholarships are a lot of work Keep applying! Scholarship Applications
Scholarships: Where to start? • Most award packages are provided directly from the college or university - especially private schools. • Students exhibiting financial need will often receive additional grant money from the United States government typically in the form of a Pell Grant. • Scholarships website are a great way to search for private based scholarships, but beware aware- you should never pay to apply for a scholarship. • Scholarships requirements typically include one of the following categories: financial need, merit recognition, or special talent or affiliation.
Some additional thoughts • April 2012- student loan debt surpassed credit card debt for the first time in our history. • Students are considered adults when they arrive on the college campus. Parents may speak with college representatives regarding tuition payments- but little else. • A growing number of students are graduating in 6 years- as opposed to 4 years (traditional model). • Students may drop a class (or two) per semester if they choose (without parent permission) and remain a full-time student. • For some students, loan debt is not a ‘real’ concept.
Questions? Your Senior Conference is just around the corner.