Paying for college is a concern for most families. But unfortunately, very few can foot the bill for one year of college up front, much less four, as the cost of higher education increases. So it's ubiquitous for questions like "Will our family qualify for financial aid? Will we be able to get any merit aid? Which colleges will we actually be able to afford? How can I possibly finance this?" to arise while applying to college.
Even before you begin to think about paying for college, keep the following things in mind to approach financial aid more strategically:
Many families mistakenly assume they are not eligible for financial aid. However, you may be eligible and not even know it.
You could get more aid than you think. Of course, there are no guarantees, and every college is different, but you might be pleasantly surprised.
Expensive schools may be cheaper to attend because of substantial financial aid programs
Dream big – apply for financial aid at colleges you wouldn't otherwise be able to afford. But make sure you cover yourself by having affordable colleges on your list.
One of the most thoughtful and strategic ways to approach financial aid is to start thinking about it as soon as you start thinking about which colleges will be on your list. When you begin to visualize the type of colleges that will be a good fit for you, you need to understand your financial realities, what you can afford, what each college can offer in financial assistance, and what your possibilities will be.
Applying for financial aid might be intimidating, but even if one college on your list seems unaffordable, apply for financial aid! Also, it is essential to know that most financial aid is need-based. It is awarded based on a family's ability to pay, not its willingness to pay. The federal government or an individual college computes what it thinks a family can afford.
There are different types of aids available, and you should assess each of them to understand the difference and benefits of the same:
Grants
Federal
State
College-Funded
Self-help
Loans
Work-study
Grants
Grants are gifts and do not have to be repaid. They can primarily come from three sources – Federal government, State government, and individual colleges.
Federal government grants can be Federal Pell Grants (awarded to undergraduate students in lower-income brackets) or Federal Supplemental Educational Opportunity Grant Program (awarded to students with exceptional needs through participating schools). The eligibility of these programs is determined through the FAFSA application in the United States.
State governments also have financial aid programs that offer grant assistance to residents who attend a college in that state. Information can usually be found on the website of your state's higher education authority as well as your state's website stating how they are supporting their international education aspirants.
Colleges have different amounts of grants available and different policies about how their funds are awarded. You will have to check the financial aid section of the websites of every college you are applying to understand their aid policies and deadlines.
Self-Help
If you do not wish to go for grants, you can also explore other options like loans and work-study programs that allow you to finance your education.
Some colleges have their loan programs in addition to federal programs. You can check the college websites to see what financing options are offered. Other sources of loans can include private lenders and state programs.
The federal government often subsidizes employment opportunities for students on financial aid through the Federal Work-Study Program, which provides funds directly to colleges to help pay for students' wages, incentivizing them to hire you. You will likely work eight to ten hours weekly, usually on campus, if you go for work-study programs. These programs are prevalent for undergraduate students in countries like Singapore and the United Kingdom.
No matter the type of aid you avail, it is always wiser to start assessing your financial realities and capacity early to ensure a smooth application process. Here is what the officer of financial assistance at The Ohio State University has to say about financial aid:
"Students should be investigating financial aid as soon as they start thinking about what schools they want to apply to. People sometimes wait until after they've narrowed down their list, and that's a mistake. It's smart to be very practiced about this process. You want to find out early on what kinds of programs a school has, how you apply, and what the deadlines are. You should be doing that in your junior year so that by the time you're in your senior year, you've got yourself really ready to go.
For some loan and work programs, you have to show that you don't qualify for need-based student aid before you are eligible for a different kind of aid. So students who think they will not qualify for need-based aid do themselves a disservice when they don't complete the FAFSA or other required student aid forms. My advice is that it's generally a good idea to apply for need-based as well as merit aid. If they're both available, apply for both and see what happens."
Diane Stemper
Director, Office of Student Financial Aid, The Ohio State University
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