7 Tips On Lowering College Costs In 2023

7 Tips On Lowering College Costs

Here are our 7 tips on lowering college costs in 2023 that families can use to save money. We all know that the cost of a college education is off the charts, and for many families affording a college education can be a real challenge. Make a conscious effort to work on these, and it will lower your out-of-pocket costs.

  1. Compare housing options
  2. Don’t buy new textbooks
  3. Consider dual enrollment
  4. Get a tuition discount
  5. Attend a college with fixed-price tuition
  6. Utilize a work-study program
  7. Graduate on time

Two bonus tips…

  1. Consider a community college in the first year or two
  2. Consider being a resident advisor. Many colleges will offer free or reduced room and board

Explore all of your aid options. With that said, parents need to be savvy when it comes to the financial aid process. The more they know about the process, the more likely they will retain more gift-aid. The more gift-aid, the fewer loans needed. Regarding loans, never turn down a subsidized loan(s) is offered and, more importantly, if needed.

Parents should consider retaining professional guidance. A trained expert will assure the family will retain the most financial aid possible. Also, students should always pursue outside scholarships which will help to lower their out-of-pocket costs for a four education. Once on campus, the student should walk into the financial aid office to ask if there are any “in-house” scholarships that they can apply for. Parents should set up a 529 plan early on.

If you wish for more tips or information on how to lower college costs, please contact our office for a free consultation to see if our team can help.

Multiple 529 Plans For College Financial Planning 2021

I was recently asked a question regarding multiple 529 plans as part of college financial planning in 2021.

As a general rule, I don’t recommend parents should utilize multiple plans. However, there are occasions that call for multiple 529 plans:

  • If your children are more than a couple of years apart in age, you will most likely have different investment objectives for their college savings. You may decide that one particular 529 plan has better equity-weighted investments (suitable for a young child) while a different 529 plan is more attractive for its conservative options (suitable for an older child).
  • If you have a sense of which particular schools, or types of school, your children are likely to attend, the choice of institution may influence your selection of a 529 plan. This is especially true if your state offers a prepaid tuition plan, or if you are considering the private-college Independent 529 Plan. A few of the 529 savings plans also offer extra benefits for students attending certain schools.
  • If you’re simply not sure about your choice of 529 plan, you can hedge your bets by spreading your contributions among two or more 529 plans. You might also achieve some more diversification in your investments by doing so, at least in regard to the fund managers handling your college savings.

When shopping for a 529 plan, you should always consider your own state’s 529 plan, even if you ultimately decide to go with an out-of-state 529 plan. Special tax or other benefits may be available for using your in-state plan.

In some states, you may be able to take full advantage of a state tax deduction by enrolling just one of your children in the state’s 529 plan, giving you more freedom to search outside your state for a 529 plan for your other child. In other states, however, the full state tax benefit is obtained only when both of your children are enrolled in the in-state 529 plan.

Contact us right now for a no obligation assessment to understand if we can increase your financial aid and reduce the stress of sending your child to college.

College Financial Aid Awards Are Starting To Arrive

Financial Aid Awards Are Starting To Arrive

The bulk of college financial aid awards are starting to arrive now to students that will be attending college in the 2020-21 year. If you filled out the FAFSA and CSS Profile you might have interpreted the question incorrectly not receiving all the aid possible. Immediately you should be asking yourself are these award(s) fair for my college student? The answer is unless you are awarded 100% of the total college cost you wouldn’t know. 

The reality is that many families will simply take what is originally offered therefore will spend more for college than they need to, sometimes into the thousands of dollars more.

If you are reading this you must have questions and be looking for the best answers.  Just like a good tax accountant it pays to have a professional who knows how to accurately interpret the questions and provide the best answer based on your situation to receive more financial aid. College Aid Consulting Services brings 30 years of experience, our clients are assured, in the end, that they will receive the best aid package possible. Since we have worked with the majority of 4 year state schools and private colleges in the U.S., we know what to expect from a given college. If you would like one of our staff to review your awards letters and information that was submitted, please contact our office.

FAFSA4caster Does Not Tell The Whole Story

FAFSA4caster

The FAFSA4caster does not tell the whole story for predicting your college financial aid.  It is useless when it comes to their bottom line.  While this is a tool provided by the Federal Student Aid and available on their website it only gives an estimate.  The  FAFSA4caster does not factor in their eligibility for institutional grants   If the student is applying to colleges that require the CSS Profile, the FAFSA this even truer.  With that in mind, they will be in receipt of financial aid awards based on different figures resulting in disappointment.

Most importantly the FAFSA4caster  does not help you interpret the FAFSA questions any better.  Keep in mind, the CSS Profile will assess more information than FAFSA. In addition, the majority of financial aid estimators on the colleges’ websites are not accurate; therefore useless.

The most important factor in maximizing your financial aid is knowing how to properly interpret the questions.  This is where you can massively increase your award by working with a trained college financial aid consultant.  If you wish a true calculation of your aid eligibility, contact one of our staff.

What you need to know about financial aid for college
News Source: charlotteobserver.com

How Much College Can You Afford?

Many factors come into play when comes to how much college tuition a family can afford.

  1. What colleges is the student applying to?
  2. What is families’ liquid asset situation like?
  3. How much was saved for college?
  4. What financial aid forms are required?
  5. Many colleges require more forms than the FAFSA. Who is completing the forms?

The bottom line here is the correct interpretation of the questions and know what information you do not have to disclose. The more mistakes made, the less aid offered. Families that utilize a trained expert in the process will historically retain more aid.  That is where College Aid Consulting Services has been assisting families for 28 years to avoid the mistakes and maximize the Financial Aid available to them.  Contact us today to learn more.

Client Testimonial

“Our “miracle” was a direct result from working with College Aid Consulting Services. Our financial planner gave us his name via several of her clients who had highly recommended him. After an exchange of information over the phone, he assured us we would see substantial savings in college costs with his help. Needless to say, we signed on the dotted line. Immediately my husband and I were impressed with Ronald’s service – always returning our calls promptly and doling out calming advice. He assisted us with college applications, financial aid forms, and other related documents. The most exciting time in this process was near the decision deadline. Even though we had received a generous financial package, our expected family contribution was higher than anticipated. With Ronald’s insistence and editing, we drafted a letter of appeal which resulted in an additional annual grant of $3,000.00! Now that the dust has settled, we realize with another daughter being a high school junior, this process will soon start up again. Knowing that Ronald will be able to guide us, makes this a worry-free experience. We could not be happier with all of his help.”

~ Dana L.

12 Tips For Parents and Students On Paying Your Way Through College

These are our 12 tips for parents and students on paying your way through college in the 2018 and 2019 school year. Every year we consult with many families, single parents and even students who want to make college more affordable. These are the things we believe without fail you need to do to reduce the cost of college.

  1. Students should always walk into the financial aid office the first day they are on campus and ask if there are any “in-house” scholarships they can apply for. Many times there are and students are not aware that they exist.
  2. Pursue outside scholarships keeping in mind that they should never pay for a scholarship service.
  3. Set up a 529 plan for your student.
  4. Whenever possible purchase used textbooks and sell them when they are finished with them. You are never going to use them again.
  5. Utilize work study on campus whenever possible.
  6. Keep credit card debt at a minimum and always pay it down on time.
  7. Choose the right meal plan.
  8. Set up a student checking account. Most of them are free. Keep organized regarding their spending habits.
  9. Get the right cell phone plan.
  10. Utilize alternative transportation such as a bike, bus or rail system.
  11. Consider being a resident advisor. Many colleges will offer free or reduce room and board. If the college is close to family or relatives the student should consider living at home which is one of the most economical ways to get an education. If money is short in the beginning, the student should consider a community college. There are now many quality 2 year programs around the US that will allow a student to transfer their credits to a four-year school.
  12. Retain a trained expert in the financial aid process. These people can save families thousands of dollars in their 4-year education.

If you wish to consult with one of our fine experts, please contact our office for a complimentary consultation. Just like a great accountant for 28 years we have been experts in financial aid. We would love to look at your FAFSA and CSS Profile and see if we can help reduce the out of pocket expense even more.

Do You Know Your College Tuition Expected Family Contribution 2018?

expected family contribution

Do you know what your Expected Family Contribution (EFC) 2018 is? Most families don’t. Did you know that there are three EFCs in the financial aid process? Most families don’t.

The EFC(s) represents the families’ ability to pay for a college education. The Expected Family Contribution (EFC) is calculated via the Free Application for Federal Student Aid (FAFSA) and the Estimated Family Contribution (EFC) is calculated via The CSS Profile under one of two formulas. The Institutional Methodology or the Consensus Methodology depending on the college. Families need to know that the three EFCs could vary widely. Moreover, many families are not told what their EFC is under the Institutional and the Consensus Methodologies by the college(S).

If you would like our staff to calculate your true EFC(s) and learn how to increase your financial aid eligibility, please contact our office.

Federal Student Loan Limits 2107 & What You Need To Know

In this interview with Student Loan Hero our founder Ronald Ramsdell discusses Federal student loan limits 2017 and what you need to know. In the article with Elyssa Kirkham, Ronald covers the three most important points parents and students need to know are, families need to plan ahead regarding paying for college resulting in less college debt and more importantly loan debt. Second, the Federal parent PLUS Loan should be the very last option. And third, parents should defiantly shop around at local community banks, major banks and credit unions.

Over the last couple of years we have learned from some of our clients that they have secured private education loans at better terms compared to Federal student loans. If you would like more information regarding loans, FAFSA, CSS Profile or an expert help to better afford a college education, please contact us for a complementary consultation.

Read the article Federal Student Loan Limits on Student Loan Hero now.

Disparity In College Financial Aid Offers

Good news! Financial aid awards are starting to arrive in student’s in boxes. The bad news, unfortunately there is a lot of disparity in college financial aid offers due to the fact that the format of awards are dictated by each school so many factors and questions come into play when reviewing and comparing offers.

First the family needs to know if the initial offer(s) is a fair one. That’s tough because generally parents doing this for the first time don’t have anything to compare to.

Second, what methodology is the college is using? There are three possible formulas. There is the Federal Methodology (FAFSA), the Institutional Methodology (CSS Profile), and the Consensus Methodology (CSS Profile). If the CSS Profile is required, the college will calculate a EFC (Estimated Family Contribution) which many times will not appear on the award. So it would be difficult for a family to know how much of the true need was met. If the college requires only the FAFSA, the family will see their EFC (Expected Family Contribution) on their Student Aid Report (SAR). In this scenario, they will have a good idea if the award is fair and will be less difficult to compare with other offers.

Third, the family needs to know what is the college including or not including in their total college cost or comprehensive fee. Every college is different in what they include or don’t include which can make an offer look good on the surface when it is not.

In conclusion some good news. Our staff with 26 years of experience are here to advise you accordingly. If you would like us to confirm and clarify if your child’s award is appropriate, please contact our office.

Amazon Prime Student Loans. What You Need To Know.

Amazon is stepping into the student-loan marketplace with Wells Fargo to offer discounts to customers of the online retailer as Amazon Prime Student Loans.  A student-loan discount will be offered to Amazon Prime Student members. The online retailer has entered into a partnership with San Francisco lender Wells Fargo& Co. in which the bank’s student-lending arm will offer interest-rate discounts to select Amazon shoppers.

Before considering private loans for college, families should always utilize all  Subsidize Federal Loans (Stafford and Perkins) offered. With that said, if a family still needs additional educational loan assistance, they should shop around at various lending institutions large and small  for the best terms.  Over 70% of families borrow less when their financial aid forms are filled out correctly. Unfortunately the majority of families who do not retain professional guidance will make mistakes. Please contact our office to lower your out of pocket cost for your child’s education.

Amazon Tiptoes Into Banking Business Through Student Loans
News Source: Wall Street Journal

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