How to Spend Less and Bring in More
Examine Your Child's Costs as You Try for More Aid
When your child has a problem meeting college costs, the first place you should turn is the financial aid office. It's their job to help students find a way to pay for college.
Contact the Aid Office
If you feel your child's aid package is inadequate, contact the financial aid office. Since your child has been accepted to the school, it's their job to help make sure you can pay for it.
Financial aid officers are happy to speak to parents about the family's financial situation, but it's to your advantage to let your child take the lead in discussing the aid package. Tally Hart, director of student financial aid at the Ohio State University, notes that schools look for students to be the main partner with the university in completing their educations—and that involves being an active participant in the financial aid process. Over-involved parents can, at best, compromise this independence and, at worst, make financial aid officers feel less willing to work with you and your child.
Based on the information you and your child provide, the financial aid office may decide to increase your child's award. Even if they can't give your child more aid, they can at least give you guidance about ways to close your financial gap. Some of their suggestions might include the following.
Don't Overlook Cost-Cutting Measures
While the first response to a financial problem is usually to look for more money, keep in mind the expense side of the equation.
Tuition and Fees
While you can't reduce these costs, you can ensure you don't end up paying more than you bargained for. Create a game plan with your child to ensure she is able to graduate on time. At many colleges, the minimum number of credits deemed 'full-time is not enough to complete a degree in four years. Your child may also be able to reduce costs by earning credit for courses through Advanced Placement and CLEP® Exams. Finally, your child can reduce costs by completing college work during summer terms at a school close to home, provided the credits will transfer.Reduce costs by earning credit for courses through Advanced Placement and CLEP exams.
Look for Financing Options
Find out whether the college offers a deferred payment plan. You can use this option if you feel you'll have trouble meeting the cost of an entire semester. Colleges may also offer other creative financing options, such as paying tuition on a monthly basis. Many of these programs are targeted to middle-class families that are unable to establish financial need but still have cash-flow problems.
Room and Board
Your child should consider commuting to college. When feasible, it can be a major money saver. However, be sure to consider the costs of car maintenance, gas and parking when you calculate expenses. Non-commuters may want to choose a less expensive room (or investigate living off-campus) and a cheaper meal plan. Your child may also want to try for a position as a resident adviser and the free room/board that comes with it.
Books and Supplies
The amount your child pays for books and supplies may be reduced if she shops for used books and weighs carefully what course material is absolutely necessary.
Personal Expenses
Your child should watch these expenses carefully. You can help with creating a budget and spending strategies. Parents can also warn children about the dangers of consumer debt. Credit card companies advertise aggressively on college campuses. The student with little or no income who buys on credit can quickly fall behind in payments and be subject to high interest rates, causing her to fall farther behind. Don't let your child fall victim to high debt.
Travel
Use supersaver airline fares or other discount travel methods for your child's trips to and from school, and avoid extra trips.
Has Your Child Tried Looking for a Scholarship?
If your child hasn't already used our Scholarship Search, she should give it a try. Even if your child has, some of her attributes may have changed as she has moved on through the college. (For example, your child may have decided on a major.)
Scholarships Offered by Your Child's College
Once your child arrives on campus, she should check with the aid office about their scholarship postings. Also, your child can visit her academic department to see what's available. As your child advances in her major field, there will be more opportunities for academic and career-related scholarships.
Military Scholarships
If your child is interested in serving in the military, check with the ROTC office on campus. Each branch of the military offers scholarships to enrolled students.
Can Your Child Increase Her Earnings?
If your child hasn't been assigned a job in her award letter, she can visit the student employment office and ask them to help with locating a job. Research shows that while students who attempt to juggle full-time work and full-time school struggle, those who work a moderate amount often do better academically.
Hart suggests on-campus work that coincides with your child's career goals. Such positions can increase a student's knowledge and network of connections to the university while bringing in money. "Many students think the most you can make on campus is minimum wage, but these jobs must pay competitive wages to secure applicants," she says.
Another tactic Hart suggests is finding on-campus work that allows time to study. She remembers a student's elation at receiving the "calf-watching job." "This was a job with a research lab that required sitting at a nice, quiet desk out in some field, setting an alarm, and every 30 minutes writing a sentence about a calf," she says. On-campus positions also can be more flexible in scheduling around exams and other academic crunch times.
Consider Other Options, Such as Supplemental Loans
If your family still has a financial gap, you may want to investigate other finance options. Visit the Loan Center to learn how to make informed decisions.
