Seven Things You Need to Know About Financial Aid

With the rising cost of college, and increasingly dire news about the student loan burden in this country, it's more important than ever to think carefully about financing college.  The following tips can help maximize your chances at getting financial aid:

1. Complete the FAFSA, and do it early!

FAFSA stands for Free Application for Federal Student Aid, and it is the first step in the process of applying for nearly all forms of financial aid, including some merit-based aid that does not depend on income.  Some types of aid are first come, first served, so the earlier you get your application in, the better.  You need to complete the FAFSA every year. The application is available at fafsa.ed.gov

2. If you are a California resident and meet eligibility requirements, the Cal Grant will pay the full tuition at a UC or CSU school.

And the income limits may be higher than you think.  To qualify for a Cal Grant, you need at least a 3.0 GPA (or 2.0 for the Cal Grant B, for lower income applicants), and a family income under $98,900 for a family of 4.  The Cal Grant will pay the full tuition at a UC or CSU school, and up to $9,000 per year at qualifying private schools in California.  Completing the FAFSA automatically submits an application for the Cal Grant. If you are a resident of another state, check to see if your state offers similar aid programs. More information about the Cal Grant is available from the California Student Aid Commission.

3. The net price of a college may be much less than its "sticker price".

Many colleges that look more expensive on paper actually have generous financial aid policies, making the net price for low and moderate income families much less than other schools that appear less expensive based solely on tuition prices.  Some expensive private schools will meet 100% of demonstrated financial need, meaning low-income students may pay nothing at all.  This financial aid may also cover living expenses like room and board and transportation.

4. Not all loans are created equal.

In general, federal student loans have better terms and better protections than private loans.  There are two types of federal loans: subsidized and unsubsidized.  Both types of loans allow students to wait until 6 months after they are no longer in school to begin making payments. The difference is that interest does not accrue on subsidized loans during the time the student is enrolled at least half time, and during the 6 month grade period after the student is no longer enrolled. Unsubsidized loans, on the other hand, DO accrue interest during this time, and if the interest is not paid, it is added to the principal amount, so the student then needs to pay interest on the interest as well as the principal. If you must take out unsubsidized loans, at least try to make the interest payments while you are in school (even though you are not required to make payments).

5. You should apply to 4 or more colleges.

Different schools have different financial aid policies, and completing a variety of applications increases the chances that one of the colleges will offer a financial aid package that works for you. Aim for a mix of in-state, out-of-state, public, and private colleges, and carefully compare financial aid offers before making your final decision.

6. It is sometimes possible to get more financial aid just by asking.

Seriously.  One student I recently worked with received an admission offer from her dream college, but the financial aid package didn't work for her.  She contacted the college to thank them for the offer but explained that she could not afford to attend.  They increased her financial aid by $10,000. This is more likely to happen at small, private liberal arts colleges than public universities. Of course, it's also more likely if you are an outstanding student or have some particular talent that makes you attractive to the college, but regardless of your circumstances, it never hurts to ask.

7. Even moderate and higher income students may qualify for some aid.

In California, the Middle Class Scholarship offers some aid to students with family income up to $120,000 per year.  Also, your eligibility for need-based aid depends on both your family income and assets AND on the cost of attendance.  So if your income is relatively high, and your Expected Family Contribution is $20,000, but you're applying to a school with a total cost of attendance (including room and board) of $30,000, you may be eligible for financial aid.

Six Great Websites for Your College Search

With over 4,000 colleges and universities in the US alone, the college search process can be overwhelming.  I generally recommend that students start the process of building their "long list" - a list of all colleges and universities they are interested in - as early as possible during their high school experience.  During freshmen, sophomore, and junior years, you should keep a list of all colleges that spark your interest - don't worry about specifics now, you're casting a wide net to capture all possible colleges that could turn out to be your dream school.  Towards the end of your junior year, you'll start sorting and narrowing down to get the list of colleges you will ultimately apply to.

But with so many options, where do you start?  The following tools can be helpful in generating your long list:

College Board: Search nearly 4,000 colleges and universities according to parameters you can set, including location, type of school, majors offered, support services offered, athletic opportunities, cost and average financial need met, and more.  For each college, there is a profile that includes a brief overview, application deadlines, majors and learning environment, campus life, application process, and cost and financial aid information.  I like this site because it's user-friendly and includes a lot of information in a consistent format - the profiles for all colleges are organized in the same way, so information is easy to find.  On each college profile, in the menu bar to the left is also a "see similar colleges" tab, which can help you find new schools you may not have thought of. If you have an account, you can save your college list. The college board website also has a wealth of other resources, including information on majors and a scholarship search.

College Greenlight: You need to sign up for a free account.  After entering some basic information about yourself, you can search colleges based on your interests.  Based on the colleges you choose, the site will suggest similar colleges you may be interested in.  You will also receive messages (within the site, not to your email) from colleges interested in students like you, which can give you some new ideas of colleges you may not have known about. There is a tool to compare colleges, and College Greenlight also provides information about college majors and has a scholarship search tool.

CollegeXpress: Again, you will need to sign up for an account (it's free).  The site offers a college search tool, where you can search based on location, majors, sports and activities, size, etc.  There is also a scholarship search tool.  My favorite thing about this site, however, is the "lists and rankings". These are not your US News and World Report generic rankings, these are lists created based on very specific factors - you can look at lists of the best schools for a certain major, but also by sport, and by factors such as "Colleges for the Independent Learner" or "Colleges for Students Slow to Make Friends".  The lists can be useful in finding colleges of interest, of course, but they can also help you figure out what's important to you in your college experience - including some things you may not have thought about before - like "Schools with Lots of Cooperative Education Options."

And for when you're a little farther along in your search, and are looking to compare colleges based on affordability and college outcomes:

The Chronicle of Higher Education: College Completion: This website allows you to compare colleges based on a variety of factors, including freshman retention and graduation rates (both 4- and 6-year).  This is useful because many websites only give 6-year graduation rates.  The information on this site allows you to see the percentage of students who graduate in 4 years, which is important because graduating in 4 instead of 6 years will obviously save a lot of money - two full years of colleges expenses.

College Scorecard: This site lets you filter by degree type, major, location and other factors, and compares colleges based on average annual cost, graduation rate, and average salary of graduates.  If you click on a particular college, it provides more information, including a breakdown of average cost for different levels of family income, average debt of graduates, and more information about the school.

And to help pay for college:

Raise.me: Sign up for a free account, and earn microscholarships at over 250 participating colleges.  Students document achievements (good grades, extracurricular activities, taking the PSAT or SAT, taking an AP test, community service) to earn microscholarships from participating colleges and universities.  If you end up attending one of those schools, the money earned will be awarded through your financial aid office.

Taking some time during the first three years of high school to research colleges and create a college list will save you a lot of stress and frustration senior year.

Thoughts about Community College

Everybody seems to have an opinion about community college - on one hand, people say it's much cheaper than attending a 4-year university, a great way to save money, and often a gentle transition from high school to college life.  On the other hand, some people say it's much better to go straight to a university, citing the low completion rates for community college students and the fact that many community colleges are underfunded and don't offer the same resources students can get at a 4-year university.

So who's right?  The truth, as usual, is somewhat more complicated than either argument would suggest.  It turns out both arguments are true to some extent, but neither really gives the full picture.

If you've read previous posts, you have probably picked up on my emphasis on college fit.  In my experience as a counselor, the students who do not do well at community college are the ones who didn't think through what their needs were before enrolling in community college, and didn't stop to consider whether this particular school was a good fit.  The students who do well are the ones who did think through this process, and knew at the beginning what they wanted to get out of the experience.

So let's dig a little deeper into when community college is or is not a good option for you:

Community college could be the best choice for you if......

You are interested in a specific program the college offers.  For example, our local community college has excellent programs in emergency services, including firefighting and EMT/Paramedic.  For students interested in those fields, this is an excellent choice.  Other examples include culinary arts, auto mechanics, welding, and other programs that are primarily offered at community colleges.

You are apprehensive about leaving home and going to a big university, and need a buffer period in between. If you go to your local community college, you will be able to stay more within your comfort zone as you transition to college.  Many community colleges also have smaller class sizes than large public universities, making the transition less stressful.

You weren't able to complete the required courses or get the grades you needed to get into the school you wanted.  In this case, community college can give you a second chance.  You can complete the required coursework and get your grades up.  Many community college offer degree-for-transfer programs, with guaranteed admission to participating universities if you complete all the requirements.

You are planning on living at home and working on general education requirements.  When people focus on cost savings at community colleges, they often focus on the tuition.  Yes, community college tuition is less expensive than 4-year colleges, but the biggest single expense in college is often room and board - that is, rent and food.  If you can live at home, you will most likely save money.  If you are not living at home, your community college plan may actually end up costing MORE out of pocket (see below for more details).

Community college may NOT be the best choice if........

The college does not have the program you want.  Sure, you can take general education classes, but if you're interested in a culinary arts degree, or an auto mechanics program, or a vet tech program (all typically 2-year associates degrees), it doesn't make sense to spend 2 years at one college, then transfer to another college for 2 more years..... to get a degree that should only take 2 years.

You are not inspired by the offerings at the college.  Sure, you might save a little money in the short term, but many students who are uninspired by the offerings at their local community college end up dropping out and never finishing school.

You are not planning on living at home, and you qualify for financial aid.  As crazy as it seems, if you qualify for financial aid, and plan to rent a place of your own, it may end up being MORE expensive to go to community college than to go to a 4-year university.  What?! How?  It turns out financial aid can be used to help cover all education-related expenses, including room and board (e.g. rent and food), transportation, books, and some miscellaneous personal expenses.  This is all factored into the total cost of attendance, or COA, for the school.  While students tend to focus on tuition when considering college costs, it turns out room and board is often the biggest expense in a student's budget. Many universities can offer financial aid to help with living costs, most community colleges cannot.  Therefore, if you are NOT planning on living at home, your out of pocket costs, when you factor in rent and food, may be higher at a community college than a 4-year university, even some private universities.  You'll have to check your financial aid offers to see if this is the case for you (which means you need to apply to 4-year colleges by the deadlines).

Regarding costs, it gets even worse. If you have to work a lot to pay for your living expenses your first couple years at community college, the money you earn may make you ineligible for financial aid when you transfer, and when your tuition expenses therefore increase.  So what you thought would save money might end up being more expensive in the short-term, and sabotaging your financial aid in the long term.

To sum it all up.......

A community college can be a great choice if it is a good fit; that is, if it fits your academic, social, and personal needs.  Like all college choices, you should consider various factors, including academic programs offered, social environment, campus activities, support services available, cost, financial aid availability, distance from home, and anything else that is important to you in your college experience.

On the other hand, if the particular college is NOT a good fit, you should keep looking and find the best fit for your education needs.  When all factors are considered, the best fit gives you the best chance for success, and the greatest likelihood of reaching your educational and career goals.

Finding Balance in your College Choices

When considering where to pursue your higher education, there are many factors to consider: programs offered, location, campus culture, housing and dining options, school reputation, school size, student-teacher ratio, cost, distance from home.... the list goes on and on.  What is the most important factor when choosing a college?

That's kind of a trick question, because the most important factor is not on the list above.  The most important factor is college fit, which is a combination of all those factors and more; a combination that is unique to each student.

Consider briefly the following scenarios:

Maria

Maria always knew she wanted to be an engineer.  When it came time to apply to college, she found the most prestigious, highly rated engineering school she could.  The location wasn't ideal; she loved the mountains and the ocean, and the school school was located in an inland desert region, very far from home.  But school is about learning, right?  As an outgoing young woman, Maria generally spent a lot of time going out with friends, listening to music, dancing, and enjoying the night life.  There wasn't much going on in the town where this college was located, but again, she was going to school to learn engineering, not to have fun.  Maria and her parents were elated when the acceptance letter came, and she excitedly packed and prepared for her future.  Unfortunately, halfway through the first semester, Maria became depressed.  She missed her family, and didn't really want to be so far from home.  The campus culture and the landscape left her flat, missing the mountains, her family, her friends.  There were not many campus events to get involved in and she had trouble making friends.  She started wondering if she really even liked engineering.

Steve

Steve was so excited when he received the acceptance letter from his dream school.  He knew when he applied that it was a long shot, but he was accepted!  Unfortunately, the financial aid offer was not so exciting.  Tuition alone was $40,000, with another $15,000 or so in living expenses on top of that.  His family was not rich by any means, but with a middle class income, Steve did not qualify for any state or federal grants.  The school offered a modest scholarship of $8,000 per year to reward him for his good grades in high school.  However, even with the university grant,  $47,000 per year was a lot of money to be dishing out for college - over half his family's annual income.  He had also been accepted to another very good school, which had a good reputation in the major he wanted and offered him a much more generous financial aid package. But this was his dream school, and the excitement of getting accepted overwhelmed any financial common sense. His first year was everything he had hoped for, though the classes were hard, and he worried when he talked to his parents, they seemed really stressed out.

By the middle of the second year, it was clear that paying the very high cost of this school was not sustainable; Steve was in his second year and had already accrued over $30,000 in student debt, in addition to the $25,000 his parents had taken out in PLUS loans.  He contacted the other school with the generous financial aid offer; but that offer was only for incoming freshmen, not for transfer students.  Steve had to take a year off to evaluate his options, then ended up going to the local state college and living at home to save money.  This was not ideal; he had definitely not wanted to live at home; in fact he had really wanted to go to a totally different part of the country and experience new things.  He did eventually finish his degree, but 15 years later, he (and his parents) still have hefty student loan payments, and his memories of his college years are tainted with disappointment.

Dylan

Dylan always wanted to live by the ocean.  When it came time to apply to college, all his choices were in beach towns.  He was looking forward to swimming, surfing, maybe even learning to scuba dive.  He was interested in ethnomusicology, a very specific field that none of his beach college choices offered, but he figured he could study general music and learn the specifics of ethnomusicology on his own.  When his acceptance letters came in, he picked the school with the best beach, and the best beach scene.  During his first year, he loved going to the beach every day, but his grades suffered.  He found he was not very interested in his classes.  Dylan was from a small high school, and some of his introductory lecture classes had more students than his entire high school.  He had almost no contact with his professors.  Partway through his second semester, he found he just couldn't bring himself to care about his classes or his schoolwork.  He kept going to the beach, which he loved, but he failed one class and barely passed two others.  The following year, Dylan did not return to school.  He had taken out $5000 in student debt, which he had to begin repaying while he figured out what to do next.

Jesse

Jesse had always been an outgoing and adventurous girl.  She had dreams of traveling the world, making a difference in society.  When it came time to think about college, Jesse decided the only thing she could afford was the local community college.  It didn't really have the programs she wanted, and she really wasn't very excited about the prospect. Though her counselor told her she would probably qualify for significant financial aid to attend a university, and that she had many choices, Jesse didn't believe it and opted to stay home and go to the community college.  By the end of the first semester, she was bored with her classes, bored with her life, and definitely bored with school.  It felt like 13th grade; Jesse was not inspired, and it turns out the school had almost nothing she was interested in. She could do some general education classes, but she got busy with work and life, and dropped out halfway through her second semester.  Her job was OK, and it paid the bills, but as she got older and started a family, it was harder and harder to cover the costs.  She often wondered if things would have turned out differently if she had taken her counselor's advice and at least explored her options.

What do these four cases have in common?  All of these students (and their families) fixated on a single element in the college selection process, and didn't consider the complex interplay of different factors that determine how well a college fits a particular student.

In Maria's case, there are plenty of excellent engineering schools.  With a little research, she could have found one that had a good engineering program AND mountains, AND fun, engaging events on and around campus.

Steve, like many students, want blinded by the idea of the perfect school, and neglected to fully consider the downside of heavy borrowing.  In general, it's a good idea to apply to at least 4 different schools, all of which you would be happy attending.  Different universities have different policies for financial aid; some are much more dedicated to meeting student financial need, and applying to at least 4 schools will improve the likelihood that you will get a financial aid package that works.  However, you need to keep your mind open, and not get fixated on just one of those schools.  Money isn't everything, but it's not nothing, either.

Dylan was the opposite of Maria; he only considered location and fun, without regard to the experience of school itself.  While he really enjoyed that year on the beach, he was left with significant debt, and not much educational progress to show for it.

Jesse made a very common mistake: in reviewing her options, she didn't factor in financial aid.  With a modest family background, she probably would have qualified for enough aid to attend a university without accruing much, if any, debt.  If her local community college had had educational programs that met her needs, it would have been a good option.  In the end, however, it was a dead end and derailed her college dreams.

The moral of this story?  With over 4000 colleges and universities in this country, there are probably dozens that are a good fit for you.  Think about all of the following factors, and decide how important each one is to you:

• location
• school size
• distance from home
• educational programs offered
• campus activities
• cost and financial aid availability
• access to and attentiveness of professors
• academic support available
• health services (including mental health) offered
• housing options
• campus culture

Better yet, make your own list of what's important to you, and determine your own special mix that will provide the perfect educational environment for you, without saddling you with an unreasonable amount of student debt.  

Talk to a college counselor for help in creating your unique perfect mix, and finding schools meet your needs.  Be sure to complete the FAFSA, and factor in financial aid when considering cost (see previous posts - the college that looks least expensive is not always).

There are various resources online to help with your college search; one of my favorites is College Greenlight.  You create a profile and it matches you with schools that might be a good fit.  By doing your research, considering all the factors that are important in college fit, and aggressively pursuing financial aid and scholarships, you can avoid the problems above and instead have this kind of experience:

Clara

Clara had worked hard through high school.  Her freshman year was a little rough, but she studied hard and brought her grades up.  She knew when it came time for college, she wanted to go somewhere far from home, preferable a school with small class sizes where she could get to know her professors.  She applied to 5 different colleges and was accepted to 4 of them.  She compared the financial aid offers, and narrowed her choice down to two.  The school that was her first choice seemed perfect, but the financial aid offer was not quite enough.  She contacted the school and said though she would love to attend, it wouldn't work for her financially.  The school increased her financial aid offer. It didn't quite cover the entire cost of attendance, but she figured she could work over the summer to make up the difference.

Halfway through her second year, Clara was thrilled with her experience.  She had a couple bouts of homesickness the first year, but she got involved in campus activities and made friends at school.  During the break between semesters, she spent a month exploring career options with an internship arranged by the school, exposing her to exciting fields she never knew about.  Two years later, when she graduated, she reflected on all that she had learned, the skills she developed, and the experiences that changed her life.  She graduated with very little student debt, and was able to quickly find a job in her field.

So take some time to think about what you need, what you want, and what you can reasonably afford (again - research financial aid policies at the schools you're looking at - some very expensive private colleges guarantee they will meet 100% of demonstrated student need, and they may not be that expensive after all).  Then go out, and make your dreams come true!

California Dreaming - Promise Programs and College Affordability

California is one of the best places in the country to be a college student.  Although both tuition and housing prices are high, the state has shown a commitment to providing financial support to in-state students through the Cal Grant Program and expanding College Promise programs (which provide 1-2 years of tuition-free attendance at local community colleges) throughout the state.

Community College Promise Programs:

Many community colleges in California (including our own College of the Siskiyous) are offering promise programs that waive the tuition and fees for the first year or two for students in their local area. Some restrictions apply, so be sure to research the requirements at your specific community college.  In general, students must complete the FAFSA to be eligible.  

Perhaps the best part about these College Promise programs is not the financial aspect at all.  Generally, in addition to financial support, these programs offer increased counseling and advising services and student support.  Students participating in College Promise programs graduate and transfer to universities at higher rates than those who don't participate.

In fact, "free college" may be a little misleading.  The way these programs generally work is that the tuition and fees are taken from your awarded financial aid, and if there is a balance left over, it is waived.  So if you qualify for a Pell Grant or a Cal Grant B, it may not be any less expensive to go to a different community college, rather than the "free" local college, especially if you are not planning on living at home. However, if you can take advantage of the additional support provided by a college promise program (wherever you land), it could help you be successful.

Speaking of expenses, room and board are often the most expensive part of college costs.  If you are not planning on living at home, and if you qualify for a Cal Grant (see below), it may not in fact be any less expensive (once you consider ALL the college costs) to go to a community college than to go to a UC, CSU, or even a private college.  This is because the universities often have additional grant aid available to cover living expenses, while community colleges generally don't.  

Of course, there are many reasons you might want to start out at a community college, including smaller class sizes, more contact with professors, the ability to stay close to home, or specific programs at your community college, but if the main consideration is cost, and you are not planning on living at home, you may want to think again.

So what exactly is a Cal Grant, and how do you get one?

Some things to know about the Cal Grant:

• Cal Grants are free money (up to $12,294 per year) that you do not have to pay back.
• Cal Grants can be used at all UC, CSU, and community colleges, as well as many eligible private colleges and universities in California
• Cal Grants A and B will pay the full tuition at a University of California or California State University program, and up to $9,000 at certain eligible private institutions.
• When you complete the FAFSA (Free Application for Federal Student Aid) or Dream Act application, if you include an eligible California school on your list of colleges, you will automatically be considered for a Cal Grant
• To be eligible, you must meet financial and academic criteria.  The Cal Grant A requires a 3.0 GPA; the Cal Grant B requires a 2.0 GPA (based on grades in 10th and 11th grade).  The income and asset limits can be found here.
• To be eligible, you must be a California resident or AB540 student.
  
• To be eligible, you must graduate from a California high school or be a California resident by the age of 18.
• You are guaranteed a Cal Grant award if you meet the eligibility requirements
• You are eligible to receive a Cal Grant award the year you graduate from high school, or the year after your graduation (if you don't go to college right away), and you are again eligible when you transfer from a community college to a 4-year university.
• The school will automatically submit your GPA to confirm eligibility the year your graduate, but may not do so the following year. If you take a gap year before attending college, ask your high school to submit your GPA to the California Student Aid Commission to verify eligibility. 
• You can talk to your school counselor to get more information about the Cal Grant.

If your family does not fall within the income and asset limits for the Cal Grant, you may still be eligible for the California Middle Class Scholarship, which will pay up to 40% of the tuition and fees at a University of California or California State University campus. Families with incomes up to about $150,000 may qualify for this award.

A final note on affordability:

A little known fact about college costs in California: in terms of net cost (what you actually pay after all grant and scholarship aid is factored in), the University of California system is, for most students, the best deal in California.

Yes, you read that correctly.  Many people do not realize this, but the UC system has very generous financial aid policies, and is committed to meeting the financial need of its students.  So even though most people think that UC schools are way more expensive than CSU or community colleges (and on paper it certainly looks that way - published tuition rates at the University of California are among the highest in the nation for public universities), once financial aid is factored in, it may actually be much less expensive than CSU or even a community college if you are not living at home (see above).

Every college website has a net price calculator.  Identify the colleges you are interested in and check for yourself. Compare the net prices before you rule out any schools based on cost.

And be glad you live in California. It is, by far, one of the most generous states in providing grants for low and middle income students to attend college.

Defining Your Goals

What are your goals for the new year?  Whether you're a senior in the midst of college and scholarship applications,  a sophomore or junior just starting your college search process, or a parent wondering how to motivate your child to do one of the above, some time spent this month setting and clarifying goals can help set you on the path to a bright future.

First, for those of you still in the college search process - with glossy ads, unsolicited advice from just about everyone, and a dizzying array of schools to choose from, where do you start?  Before you even start looking at schools, take a minute to decide what you want from your college experience.  Do you have a specific career or major in mind?  Several search sites, including College Board and CollegeXpress have search features that can help you find great schools.  Are you not quite sure what you want to study?  Be sure to choose a school with a variety of options that sound appealing.  Do you have specific ideas about the intellectual community, the location, or the type of town you want to live in?  These are all important factors to consider, and your school's college counselor should be able to help you identify options. Spend some time reflecting on what you want, write it down, and then begin your search.  In 9th -11th grade, you should be creating a "long list" of schools that appeal to you - try to capture all schools that seem interesting.  In the spring of your junior year, you will narrow this list down to the 4-8 schools you will actually apply to.

Next, for those of you in the throws of college applications - remember to breathe.  In the midst of what is likely a very busy senior year, you also need to take time to reflect on what's important to you.  With each application you complete, take a moment to think about why you are applying to this school.  I have worked with students who had schools on their list because their parents, teachers, or counselor insisted they apply, but they really had no interest in going there.  Obviously, if you are getting financial support from your parents (and I hope you are!) they need to be a partner in your decision.  But if you really are not interested in a particular school, it is in neither your interest nor theirs for you to put in the time and fork over the application fee.  Other students apply to prestigious institutions just to see if they can get in, although they don't really want to go there.  Why would you do that?  The time and effort you spend could be put into searching for and applying for scholarships for schools you DO want to attend. Remember, this is your experience, and you should think carefully about what you want before hitting the "submit" button.

Parents and guardians - you should read the two paragraphs above one more time.  Obviously, if you are funding this endeavor, you need to discuss with your student what is feasible and what you are and are not willing to finance, but beyond that, remember this is your child's life, and the decision is ultimately up to them.  If your college list and theirs are mutually exclusive, listen with an open mind to what your child is saying, why they are interested in those particular schools, and do some research together to see if there are some options that are acceptable to you, AND that your child can be excited about.  Enlist the services of a private college admissions advisor if you need to - the investment could pay off greatly in your child's future.

So in the excitement of the new year, take some time time to clarify your college goals, and then create a plan to achieve them, but above all, make sure the goals are your own.

FAFSA Season

This year, the time for seniors and their families to think about financial aid is earlier than ever.  Starting this year, the Free Application for Financial Aid (FAFSA) opens on October 1.  The deadline for California State grants (like the Cal Grant and the California Middle Class Scholarship) is still March 2, but students are encouraged to submit the FAFSA as early as possible, as some forms of aid are first come, first served.

Another change this year - when completing the FAFSA, students and their parents will use tax information from 2015 (Prior-prior year).  This is good news - no need to estimate income information; assuming you filed 2015 taxes this past Spring, you can use the IRS data retrieval tool to pull the information directly from your taxes.  More good news - this change should allow schools to determine financial aid packages earlier than in the past.  Whether or not they provide you with information on your financial aid package any earlier remains to be seen.

Are you wondering whether you should apply for financial aid?  The answer is YES!  Many students and families mistakenly think they don't qualify for aid.  With the rising cost of college, some aid is now available for families who previously did not qualify.  California, for example, has recently implemented a program called the California Middle Class Scholarship, which provides some assistance to students with family income and assets up to $156,000 per year, provided the student is attending a school in the University of California or California State University system.  Furthermore, many universities require completion of the  FAFSA in order for students to be eligible for university grants and scholarships, even those that are primarily merit - based.  So you have everything to gain and nothing to lose - complete the FAFSA!

Other reasons some students choose not to complete the FAFSA:

They don't want to take out loans.  Guess what? You don't have to.  The FAFSA will determine your eligibility for financial aid, including grants and scholarships, work study, and subsidized student loans.  Once you receive your financial aid offer, you can accept what you want and decline the rest - you can collect any grants, scholarship, and work study eligibility and decline the loans if you so choose.

They don't know how to apply.  Help is available!  The application is online at https://fafsa.ed.gov/.  The federal student aid commission has an FAQ page to help with questions, as well as telephone assistance and online chat to help.  Your high school counselor should be able to help also if you have questions.  Many high schools and community organizations in California organize in Cash for College workshops, where you can get help and file your FAFSA right then and there.  Cash for College workshops are open to everyone, you do not have to be a student at that high school to attend.  For information, or to find a Cash for College workshop near you, visit the Cash for College website.

However, wherever, whenever you choose to do it, file your FAFSA!  And do it soon.