7 answers
Jesli
Student
Manchester, New Hampshire
1
Question
Asked
489 views
How can I be better equipped for the financial responsibilities that come with going to college?
I'm about to graduate and am still so confused about financial processes such as aid. How can I better manage myself to prepare for these things?
7 answers
Chiquria Willis
Loan Processor - Rocket Mortgage
94
Answers
Dearborn Heights, Michigan
Updated
Chiquria’s Answer
You’re not alone—navigating the financial side of college is a big step, but with a bit of planning, it’s totally doable. Here are some easy steps to get you ready:
1. Get to Know Financial Aid
Start by learning how financial aid works:
FAFSA: Fill out the Free Application for Federal Student Aid (FAFSA) as soon as you can. It helps you find out if you qualify for federal grants, loans, and sometimes scholarships from schools.
State and School Aid: Many states and colleges offer extra grants, scholarships, or work-study options—often based on your FAFSA.
Scholarships: Look for and apply to scholarships early and often. There are options for academics, leadership, community work, specific majors, and more.
2. Understand College Costs
Break down what you’ll need to pay for—like tuition, fees, room, board, books, and personal expenses. Use net price calculators on college websites to see your real costs after aid.
3. Create a Budget
Learn to track what you earn and spend. Start a simple budget that lists all your income sources (jobs, aid, scholarships, help from family) and all your expected expenses (tuition, rent, food, transport, fun, etc.).
4. Borrow Smartly
If you need loans, borrow only what you really need. Federal loans usually have lower interest rates and better repayment plans than private ones.
5. Use Campus Resources
Once in college, use financial literacy workshops, counseling centers, and peer advisors. Many schools offer free help with budgeting, managing loans, and finding more scholarships.
6. Build Good Money Habits
Open a bank account that’s good for students.
Use a debit card and avoid extra debt.
Keep track of your spending regularly.
Think about a part-time campus job if you can handle it.
7. Ask for Help
Don’t hesitate to contact your school’s financial aid office—they’re there to help you understand your options, deadlines, and responsibilities.
By building these habits and asking for help when needed, you’ll be well-prepared to manage the financial side of college.
1. Get to Know Financial Aid
Start by learning how financial aid works:
FAFSA: Fill out the Free Application for Federal Student Aid (FAFSA) as soon as you can. It helps you find out if you qualify for federal grants, loans, and sometimes scholarships from schools.
State and School Aid: Many states and colleges offer extra grants, scholarships, or work-study options—often based on your FAFSA.
Scholarships: Look for and apply to scholarships early and often. There are options for academics, leadership, community work, specific majors, and more.
2. Understand College Costs
Break down what you’ll need to pay for—like tuition, fees, room, board, books, and personal expenses. Use net price calculators on college websites to see your real costs after aid.
3. Create a Budget
Learn to track what you earn and spend. Start a simple budget that lists all your income sources (jobs, aid, scholarships, help from family) and all your expected expenses (tuition, rent, food, transport, fun, etc.).
4. Borrow Smartly
If you need loans, borrow only what you really need. Federal loans usually have lower interest rates and better repayment plans than private ones.
5. Use Campus Resources
Once in college, use financial literacy workshops, counseling centers, and peer advisors. Many schools offer free help with budgeting, managing loans, and finding more scholarships.
6. Build Good Money Habits
Open a bank account that’s good for students.
Use a debit card and avoid extra debt.
Keep track of your spending regularly.
Think about a part-time campus job if you can handle it.
7. Ask for Help
Don’t hesitate to contact your school’s financial aid office—they’re there to help you understand your options, deadlines, and responsibilities.
By building these habits and asking for help when needed, you’ll be well-prepared to manage the financial side of college.
saher ahmed
consulting
1
Answer
Elk Grove, California
Updated
saher’s Answer
-Know the Full Cost – Include tuition, books, housing, meals, and personal expenses.
-Create a Budget – Track income and expenses to stay on top of spending.
-Apply for Financial Aid – Always apply for aid and seek scholarships early
-Limit Loans – Only borrow what’s necessary, prioritize federal loans for better terms.
-Track and Save – Monitor your spending, use student discounts, rent textbooks, and cook meals to save money. There are a ton of free apps for this!
-Build an Emergency Fund – Even a small cushion can help with unexpected expenses.
-Create a Budget – Track income and expenses to stay on top of spending.
-Apply for Financial Aid – Always apply for aid and seek scholarships early
-Limit Loans – Only borrow what’s necessary, prioritize federal loans for better terms.
-Track and Save – Monitor your spending, use student discounts, rent textbooks, and cook meals to save money. There are a ton of free apps for this!
-Build an Emergency Fund – Even a small cushion can help with unexpected expenses.
Myrissa Silva
Client Experience Supervisor
8
Answers
Nampa, Idaho
Updated
Myrissa’s Answer
Hi Jesli,
Congratulations on your upcoming graduation! This is such an exciting time for you. To get a solid grasp on the financial process that comes with college, make sure to set aside some time to meet with the school's financial aid office. They can walk you through everything and explain it until you feel confident. Don’t hesitate to ask questions—even if you need to ask the same one more than once! Sometimes, hearing things in different words can make all the difference. Also, consider connecting with local groups of people your age who are experiencing the same journey. Remember, you’re not alone in this, and you've got a whole community ready to support you!
Congratulations on your upcoming graduation! This is such an exciting time for you. To get a solid grasp on the financial process that comes with college, make sure to set aside some time to meet with the school's financial aid office. They can walk you through everything and explain it until you feel confident. Don’t hesitate to ask questions—even if you need to ask the same one more than once! Sometimes, hearing things in different words can make all the difference. Also, consider connecting with local groups of people your age who are experiencing the same journey. Remember, you’re not alone in this, and you've got a whole community ready to support you!
Calvin Kwok, CPA
Accounting
1
Answer
Rancho Cucamonga, California
Updated
Calvin’s Answer
That's a fantastic question that many people overlook before starting their careers.
To better prepare for the financial challenges of college, begin by identifying your current and future main expenses. Right now, you might be dealing with costs like tuition, housing, books, meals, transportation, and social activities. After graduation, you'll need to consider things like repaying financial aid, rent, meals, and car payments. Creating a monthly budget can help you plan for these expenses and avoid spending too much. Remember, you don't have to start repaying student loans until after you graduate. Financial aid can cover your costs now, but loans will become your responsibility later—typically six months after you finish school or drop below half-time enrollment. It's crucial to know which parts of your aid are grants and scholarships (free money) and which are loans that need repayment. Managing this wisely can greatly reduce your stress in the future.
It's also important to learn some basic money management skills, like using a bank account, building credit responsibly, and steering clear of high-interest loans or credit card debt.
Consider finding a part-time job during the school year. Even a few hours a week can help cover daily expenses and lessen the need to borrow more money.
To better prepare for the financial challenges of college, begin by identifying your current and future main expenses. Right now, you might be dealing with costs like tuition, housing, books, meals, transportation, and social activities. After graduation, you'll need to consider things like repaying financial aid, rent, meals, and car payments. Creating a monthly budget can help you plan for these expenses and avoid spending too much. Remember, you don't have to start repaying student loans until after you graduate. Financial aid can cover your costs now, but loans will become your responsibility later—typically six months after you finish school or drop below half-time enrollment. It's crucial to know which parts of your aid are grants and scholarships (free money) and which are loans that need repayment. Managing this wisely can greatly reduce your stress in the future.
It's also important to learn some basic money management skills, like using a bank account, building credit responsibly, and steering clear of high-interest loans or credit card debt.
Consider finding a part-time job during the school year. Even a few hours a week can help cover daily expenses and lessen the need to borrow more money.
Coleen Coffey
Director Billing
3
Answers
St. Augustine Beach, FL
Updated
Coleen’s Answer
Great question, and fantastic planning! These are questions that aren't asked often enough. Start by understanding your financial situation:
1. List all your sources of income.
2. Identify your recurring expenses.
3. Note any debts you have.
Consider creating a Post-Graduation Budget. A good starting point is the 50/30/20 rule:
- 50% for Needs: Rent, bills, groceries, and insurance—essentials for living.
- 30% for Wants: Dining out, entertainment, and shopping.
- 20% for Savings/Debt: Building an emergency fund, saving for retirement, and paying off student loans.
Focus on building an emergency fund with a goal of covering 3-6 months of living expenses. Set up automatic monthly savings in a high-yield savings account to make this easier.
These are just a few ideas to get you started. Best of luck with your future! You’ve got this!
1. List all your sources of income.
2. Identify your recurring expenses.
3. Note any debts you have.
Consider creating a Post-Graduation Budget. A good starting point is the 50/30/20 rule:
- 50% for Needs: Rent, bills, groceries, and insurance—essentials for living.
- 30% for Wants: Dining out, entertainment, and shopping.
- 20% for Savings/Debt: Building an emergency fund, saving for retirement, and paying off student loans.
Focus on building an emergency fund with a goal of covering 3-6 months of living expenses. Set up automatic monthly savings in a high-yield savings account to make this easier.
These are just a few ideas to get you started. Best of luck with your future! You’ve got this!
Joseph Kerber
Software Finance Analyst
2
Answers
Hermosa Beach, California
Updated
Joseph’s Answer
Hey Jesli,
Great question! A few things go into personal finance, which is what you will want to understand when thinking about financing college.
First, figure out how much you have in your bank account or available to you for school. This can also include any help your parents will offer, if they are offering.
Second, I would recommend tracking all of your sources of income and your expenses. I know, this sounds like a true adult-ish answer but it really is helpful. Write down your monthly income and monthly expenses. Once you know this, you know how much you have coming in and going out. This is the most basic form of a budget.
Third, once you know these numbers and feel comfortable they are accurate and true. You will want to contact the school you plan to attend and ask about scholarships. Most provide you with this information upon applying to the school, but if they have not it won't hurt to ask. There may be scholarships that will help you cut down the cost of school.
Finally, if a loan is needed to fund your education, you will want to really think on how much you need to take. It's important to understand that interest rates impact loans from the federal government and private banks. Since they are lending you money, they want to make some money on this transaction in return. That is why there are interest rates. If I give you $100,000, I will want a few bucks back with that $100,000. So, maybe I want $125,000 in 4 years (when you're done with college). So, please be aware of the interest rate since you will owe more than the principal (initial) amount.
For federal aid, take a look at FAFSA: https://studentaid.gov/h/apply-for-aid/fafsa
How to fill out FAFSA: https://studentaid.gov/apply-for-aid/fafsa/filling-out
For private loans, I would recommend speaking with your local bank. They will know more about their options and what they tend to offer students for education loans.
I do hope this helps! Best of luck and have so much fun in college!
Best,
Joseph
Great question! A few things go into personal finance, which is what you will want to understand when thinking about financing college.
First, figure out how much you have in your bank account or available to you for school. This can also include any help your parents will offer, if they are offering.
Second, I would recommend tracking all of your sources of income and your expenses. I know, this sounds like a true adult-ish answer but it really is helpful. Write down your monthly income and monthly expenses. Once you know this, you know how much you have coming in and going out. This is the most basic form of a budget.
Third, once you know these numbers and feel comfortable they are accurate and true. You will want to contact the school you plan to attend and ask about scholarships. Most provide you with this information upon applying to the school, but if they have not it won't hurt to ask. There may be scholarships that will help you cut down the cost of school.
Finally, if a loan is needed to fund your education, you will want to really think on how much you need to take. It's important to understand that interest rates impact loans from the federal government and private banks. Since they are lending you money, they want to make some money on this transaction in return. That is why there are interest rates. If I give you $100,000, I will want a few bucks back with that $100,000. So, maybe I want $125,000 in 4 years (when you're done with college). So, please be aware of the interest rate since you will owe more than the principal (initial) amount.
For federal aid, take a look at FAFSA: https://studentaid.gov/h/apply-for-aid/fafsa
How to fill out FAFSA: https://studentaid.gov/apply-for-aid/fafsa/filling-out
For private loans, I would recommend speaking with your local bank. They will know more about their options and what they tend to offer students for education loans.
I do hope this helps! Best of luck and have so much fun in college!
Best,
Joseph
Dan Mock
Consultant
1
Answer
Dallas, Texas
Updated
Dan’s Answer
First thing to do is understand the cost of attendance. Most schools have a section on their site giving estimates of cost. Note that freshman are typically required to live on campus and it isn’t cheap, nor can you reduce the cost since it’s basically mandatory.
Scholarships - there are tons of them out there and a lot of lists on the internet/your high school/colleges/education sites. Make it a point to spend time applying for these. Start early in the process and apply to at least a few each day. Many require an essay. Save what you write and you can reuse. $500 may not seem like a lot compared to the overall cost, but think of it like this: you have to pay the bill regardless. And a half hour of work to make $500 is amazing.
Working: work and save up money before going to college. I’d keep most of this in the bank so you have spending money when you get there. When you get there, look for jobs on campus or off. On campus will work around your schedule, but probably pays a little less.
Don’t be afraid of loans, but be careful with them. They almost always have to be paid back unless you choose a specific career field. Don’t change career choices just because of the payoff, but take advantage if it is available.
Find a major that you are interested in and pays decent enough in the future. If you are unsure what you want to do, find a major that has broad applications. Business, technology related, or general medical majors are good options.
Apply for every scholarship you can.
Start working and saving early.
Be smart about school choices.
Consider majors.
Scholarships - there are tons of them out there and a lot of lists on the internet/your high school/colleges/education sites. Make it a point to spend time applying for these. Start early in the process and apply to at least a few each day. Many require an essay. Save what you write and you can reuse. $500 may not seem like a lot compared to the overall cost, but think of it like this: you have to pay the bill regardless. And a half hour of work to make $500 is amazing.
Working: work and save up money before going to college. I’d keep most of this in the bank so you have spending money when you get there. When you get there, look for jobs on campus or off. On campus will work around your schedule, but probably pays a little less.
Don’t be afraid of loans, but be careful with them. They almost always have to be paid back unless you choose a specific career field. Don’t change career choices just because of the payoff, but take advantage if it is available.
Find a major that you are interested in and pays decent enough in the future. If you are unsure what you want to do, find a major that has broad applications. Business, technology related, or general medical majors are good options.
Dan recommends the following next steps:
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