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 1st or 2nd 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
