College Savings Hacks and Ways to Reduce Costs of Higher Education

Continuing Higher Education has become a desire for many students and also an important requirement for high paying job opportunities. Attaining a higher degree is essential to survive in a tough economy while the education cost is increasing rapidly. In recent times, the average cost of a higher degree at a public university will cost you around $10,000, while private schools at $30,000 and higher. Unfortunately, most graduates struggle to afford their tuition, and the majority of students borrow an average loan of $30,000 and above to support their finances. Hence, you must adopt some strategies and plan well to pursue your dream without further complications. Here are a few hacks you can use to reduce the costs of higher education.

Start saving early

Saving is important in everyone’s life and the more you save the lesser you’ll have to borrow.

Save with 529 plan– As parents, you might want to support your children’s education expenses. You can start investing in the 529 college savings plan as soon as your child gets a Social Security number. The money you invest in this is tax-sheltered and grows with an accumulation of compound interest. It is free of federal taxes and useful for covering expenses of higher education including tuition, books, school supplies, or housing.

For instance, you could start with $50 every month for 18 years with an interest rate of 8%. After maturing over the years, the total money available to you would be $24,267.76 even though you paid $10,800 to the account.

Part-Time job– You could also choose to get a part-time job to support your finance. As a high school student, you start saving for your future educational expenses by working at stores, restaurants, tutoring. Adding your employment history on your resume would make you more credible and demonstrate work-related skills.

Choose the right school- public

The cost of education is at its peak in recent years. Hence to choose the right college according to your financial position is important. You could search for the best colleges according to discipline, degree level, location, and expenses on online resources such as The College Monk. Spend quality time on learning about the courses offered, graduation rate, placement opportunity, exposure to practical fields, and so on. However, most students drop out due to financial crises. Thus, you should approach your financial aid offices, financial advisor, professors, and mentors to choose the right college.

Additionally, the cost of a degree at a public university is lesser compared to private colleges. It is worth considering an in-state college with an average cost of $9,500 per year while a full-time out-of-state degree can cost close to $24,000.

Evaluate all the colleges on your list and choose the right college which fits with your post-grad goals to open a doorway of opportunities that would assist in the advancement of your career.

Apply for scholarships and grants

To get financial assistance, students can apply for scholarships and grants. To qualify for one, you must fill the FAFSA with all the necessary details.

A scholarship is a monetary reward given to students for their excellent performance in various fields such as academics, sports, arts, special interest, or for your high score in standardized tests. Scholarships are provided by schools, businesses and government organizations, non-profit organizations, and others. You may also search for scholarships online and contact your financial aid office to avoid missing any opportunities.

You must remember that there are hundreds of scholarships available, but searching for the best ones according to requirement and qualification reaps better chances of winning one.

For instance, if you are a student who is interested in sports and performs exceptionally well, you can apply for Athletic Scholarships on TheCollegeMonk. Applying for this can give you higher chances of winning a financial award.

Don’t forget that winning a scholarship will affect the status of your financial aid such as a student loan that you have chances to qualify for. Also winning a scholarship is a time-consuming process.

Consider crowdfunding

Crowdfunding websites are gaining popularity where you raise money for medical expenses, college costs, trips, and other needs. You can open the website and create an account. Follow the simple steps by writing a personal story, a photo and sharing it on social media, family, and friends to get financial help. At times, you will be required to pay 3-5% of the fund raised as a platform fee. Hence, use the opportunity to your fullest, set financial goals, start an education-related campaign to get better help.

Choose a work-study program

As you pursue your education, you can enroll in a college-sponsored work-student program. Under this, your tuition, housing, and other education-related expenses are covered by the institution and in turn, you must complete the work assigned by your schools such as library work, selling tickets, assisting a professor, or other. These opportunities also give you the advantage of gaining experience and helps in the advancement of your career.

For instance, the nursing programs are quite popular where the healthcare institution covers the expenses of nursing degrees for admitted students. In return, they are asked to work in healthcare for seven years in compensation for the expenses incurred. This on-the-job training helps in gaining practical experience.

In addition to choosing a work-study program, students should look at one more important area- placements. While some colleges might offer great learning value, others excel at getting students placed even before the completion of their college degrees. Getting to earn can help you address some of the financial considerations. This is a better and long-term solution than simply looking at working opportunities while in college. According to placement experts at a leading university in dubai, getting placed after your education can help bring a sense of security and stability in the lives of young individuals.

Earn college credit early for maximum savings

Students can also opt for the Advanced Placement, International Baccalaureate or dual-enrollment courses to cut down the cost of higher education. While students are still at school, they are offered credits that can be used at college to complete the degree sooner.

Students are expected to clear the SAT for getting admission to a college. It also offers Advanced Placement (AP) tests for students to gain extra credits for college.

By completing the offered courses, students can transfer the earned credits easily to college and complete the four-year degree program within 3-2 years. This also helps in saving money as each college credit could save around $100 to $1,000 depending on the school.

Conclusion

There is no one best method to cut down the education cost, a combination of a few methods mentioned above in smart ways will save you money. Exploring various options according to personal needs helps you figure out what’s feasible for you. A higher degree will surely give you higher earning potential, a better job, and a pay raise. Hence, support yourself by saving early to eliminate the need of borrowing a student loan. With the financial strain, you may choose an online course to pursue a higher degree. This allows you to handle other responsibilities effectively with a flexible study schedule and also at a lower cost. In addition to reading this article, connect with your financial advisor to get personal guidance.