Know How Much College Cost You Can Afford

It’s one thing to get into the college of your dreams, but it’s quite another to be able to afford it. Whether you’re right out of high school or an adult going back to complete your education, it’s imperative to know how much college will cost and how much student loan debt you can realistically handle.

The first thing you need to do is figure out how much the school you want to attend will cost. Schools use different formats when they inform applicants how much financial aid they’re eligible to receive. The best strategy is to speak directly to a financial aid officer at every school you consider. You may discover that it’s possible to repackage the assistance to better suit your unique situation.

One of the most common mistakes college students make is borrowing too much money. You need a clear idea of what you can afford once you’re finished with your degree program. Knowing your career opportunities and likely salary range will obviously help immensely, so doing some research on your own and through your school’s career services office are great ideas.

When you have good estimates of how much each school will cost and what your salary might be, you can go about finding a reasonable debt range. In other words, you need to know how much your loan payments would be for each college. From there, you should be able to figure out the perfect amount to borrow. The College Board has a handy calculator that can help you balance your educational financing needs with your estimated future salary.

There are ways to avoid over-borrowing once you’re in college as well. You might take a work-study job or rent textbooks rather than buy them. Finding places to trim your budget – including food, clothing, or entertainment – will also help you reduce the amount of money you need to borrow.

You have a lot to consider before finalizing a college loan. Keep these things in mind as you home in on the right option for your needs.