A Better Way: Part 7

The following, in my view, are top-value colleges. In addition to a relatively low sticker price, they score well, on average, on these criteria: student quality, location, a campus culture that welcomes true diversity of ideas (not just politically correct ones), and a name that opens career doors. The larger institutions, which I've starred, do suffer from being research-first/students-second institutions, but their low price and desirability on other factors justifies their inclusion.

* Rice: A Big-Oil endowment has created an Ivy-clone college at half the price.

* UCLA: The honors program is a patch of Ivy at a State U price.
Mary Washington College: Like a small private college at a public price--in a Jeffersonian setting an hour from D.C.

* McGill: A great city (Montreal), strong students, and the Canadian 69-cent dollar makes McGill a deal.

* University of Toronto: Easier to get into than McGill.

* Cal Poly, San Luis Obispo. California weather, excellent students in its strong majors (e.g., architecture, engineering), $1,500 annual tuition. Safe, quaint town.

* University of North Carolina, Chapel Hill: Good students, ideal location, great basketball tradition, bargain price.

* University of Virginia: Top students in a Jeffersonian setting replete with colonnades and rolling lawns.

* Santa Monica College: A nearly free two-year college that feeds many students to UCLA and Berkeley. Near the beach and L.A.

You can save the money on undergraduate education without shortchanging the child. That way you'll have money left for graduate school.

Be a Smart College Consumer

Consider the following information about a school before you enroll:

• Keep copies of all forms that you submit to the school in a safe place.
• Read and be aware of the implications of all forms before you sign them. Remember -- loans must be repaid and grants are free.
• Financial aid applications are available starting every January 1 -- the earlier you apply for financial aid and scholarships, the more money you may receive.
• Notify your school and lender(s) of any changes in your name, address, or enrollment status.
• Ask for help when you need it. Write down the date and the name of the person who helped you.
• Have your academic and financial aid transcripts sent from the school that you previously attended to the school that you are going to attend.
• If you are denied admission to a college or financial aid, you can appeal. You may also decline any portion of your financial aid offer.
• If you have student loans, you must attend a financial aid exit interview.
• Be certain to contact your lender if you are having difficulty repaying your loans. They may allow you to postpone or reduce your payments.
• Be aware - fees are taken out of your student loans before any loan monies are disbursed.
• Depending on the cost of the school, all of your financial aid may be used to cover tuition and fees.
• Be familiar with the policies of the school regarding registration, withdrawals, refunds, and fee payments. This information can be found in your college catalog.
• If you plan to transfer to another school, you need to check with that institution to verify the acceptance of the credits you are now taking. Some schools participate in articulation agreements with other institutions to ensure smooth transfer for students.
• When the need arises, look for outside resources to help you understand the financial aid, admissions, and scholarship processes.
• Borrow only what you need. Be realistic about what you can repay when you graduate. A repayment calculator can help you decide how much money you can afford to borrow.

The Truth About College Costs

The middle class is caught in the middle. The rich can afford colleges' big sticker price and the poor get generous financial aid. But how much money are we really talking about? I know it varies from state to state, but assuming you plan on attending a public university (or reasonably priced privet – yes, they do exist)

Average College Prices 2009-2010 School Year:

Public four-year $7,020 (up 7.5 percent from last year)

On the 4 year plan that’s $28,080 just for tuition and fees…

Students spend an average of about $3,200 on books in those 4 years, and transportation, room and board can add about $4,800 a year (more or less depending on region, housing situations, and spending habits)

That’s a low book average of just about $51,000 for a four year degree.

Now, don’t freak out (I can hear the cries of “we could never afford that” from all the parents), consider the following details:

Did You Know That...

32 percent of full-time students enrolled in public four-year colleges and universities attend institutions that charge tuition and fees between $3,000 and $6,000.

More than $168 billion in financial aid is available to students and their families.

About two-thirds of all full-time undergraduate students receive grant aid. In 2009-10, estimated aid in the form of grants and tax benefits averaged about $5,400 per student at public four-year colleges.

What's there for the middle class? One option: try for scholarships awarded by non-profits and wealthy individuals. This is good for all levels of economic status, but the middle class tend to need it most. Don’t ever pay for access to scholarship database or website. Remember if they ask for money, then they want yours and are not giving it away (scams are everywhere – it is really easy to make a credible looking and sounding website considering that it is an issue that effects millions every year).

Access huge databases of possible scholarships and grants free at websites like: collegeispossible.com, scholaraid.com, freschinfo.com, collegenet.com, salliemae.com, and srnexpress.com. On each site, you’ll answer questions and receive a list of relevant or possible target scholarships. Competition for such scholarships is always fierce so unless you’re a star or and “underrepresented” minority, it’s only worth applying for perhaps your ten best shots. Don’t waste time or get your hopes up too much.

The real cost of that degree after financial aid opportunities (not including the actual value of what was learned, the experiences, friends and connections made, and the fact that you can sell back the text books once your done) is somewhere around that original figure of $28,000. That’s not bad, considering the average wage right out of college across various occupations is about $31,000 and that’s just entry level jobs…