Beyond Scholarships - Start Early To Reduce Tuition Costs!

Every Monday as @MoneyChatLIVE I interview experts during a weekly Twitter Online convo, #MoneyChat,  held from 8pm-9pm est.  This post pulls the highlights from our #MoneyChat topic on Tuition Reduction! Strategies Beyond Scholarship Hunting. Our guest poster is college funding expert, Jeff Taylor (@YourCollegeDoc). Jeff coaches and speaks nationally on alternative, strategic college funding techniques that can begin as early as junior high school! Please visit www.tuitionreductionplan.com for more information. Here's to debt-free college for your kids!

Common challenges parents/students face in looking for college funding...

Looking for money is a flawed idea because it feeds into the myth that searching for money will solve your funding problem. The majority of those that follow that idea find themselves disappointed.

Do high school athletes search for money? Do high school high achievers search for money? No!!! So then why should you? The reason why these two groups receive funding year after year is because they are following a system that leads to funding. While the average student is hanging out with friends, the student athletes and the honor students are working on their talents, projects, and building their resumes. Then when competition times comes around they shine and then those schools or funding sources find them! The money follows achievement and marketing.  Money is not given but awarded.

Learn the funding process and maximize your opportunities.

There are a variety of factors that need to be considered, here are two that should be at the top of the list.

The largest and easiest dollars to access come directly from the universities and not from private sources.

a.     Before you or your child allow yourselves to become inflexibly persuaded that you absolutely must attend a particular college, make sure that your child exceeds the scholarship requirements of that school.

b.    If your child does not qualify then that is a clear indication that that university may not be in your best interest.

Strategically diversify your college selections based on the same criteria above. Since high GPA and test scores may not be enough to obtain a scholarship or admission from your 1^st or 2^nd choice schools, select at least six colleges where your child can confidently compete for funding.

Keep in mind that colleges typically are looking for the parent and student to share in the cost of college. 100% funding is very rare. Be prepared to pay for a portion of your child’s college costs. Whatever you do, pay the least!

Quick Tip:

Keep in mind that the student is required to report any and all private scholarships awarded on the FAFSA. Unfortunately, the college may cancel a scholarship that they have awarded in lieu of the money that was received from a private source on a dollar for dollar basis.

  

Parents and students are also making college decisions based on flawed information - here are some of the statements that I hear:


Flaw:    My child qualifies for independent student status because he/she has a different address than me.


Fact:     Independent status is based on federally mandated rules. A separate address and the opinion the opinion of the parent is not one of them.

Flaw:    My child qualifies for independent student status because he/she has a different address than me.


Fact:    Independent status is based on federally mandated rules. A separate address matters not.

Flaw:       Low income qualifies for a 100% funded college education.

Fact:      Low income alone does not guarantee anything, each award based on individual situation.

Flaw:       The financial aid office will give your child money.

Fact:     Colleges do not give away money, but they will give you and your child student loans. (OUCH)

That's enough to get you started.. stayed tuned for Part II... 

Your College Doc,

Jeff Taylor

@YourCollegeDoc

www.tuitionreductionplan.com