Surviving College Without Going Broke

[Danielle]

It's been a few years since I've survived college, and even then it was standard practice to finance your college education with student loans. With increasing tuition rates and decreasing grants and scholarships, students now graduate college with an average of $20,000 in student loan debt.

But it does not have to be that way.

I graduated without a penny of student loan debt because that was a priority for me and because I made some non-traditional choices in order to do it. It took longer to get through school because I was working full time and getting tuition reimbursement from my employers. I also worked additional part time jobs on top of my full time job and night school. I admit it was hard going, but completely worth it in the end. But there are a number of ways to lessen the burden beyond what I did.

We will explore some of the ways you can minimize the expense of college:

1. Tuition Reimbursement. Many employers will cover all or part of your tuition fees (books, parking, lodging, etc. are typically on your dime). Every employer is a little different in their reimbursement schedule so you will have to check with them on how their program works. Some only cover full-time employees and not part time. Some pay up front, some don't pay until you get your grades back. Some pay 100% if you get A's in the class and a decreasing schedule after that. Some require that you work for the company for a certain amount of time after the course ends, otherwise you are required to pay the money back. Be sure to check with your employer and read all the requirements of the program.

2. Test Out of Courses via Advanced Placement Program (APP) classes in high school, or simply testing out of classes through your college's approved procedure. Encourage friends or family who are still in high school to consider taking any available APP classes they can. There is an exam attached to each course. Score high enough on the exams and it translates into college credit down the road. This cuts down on the number of courses you have to take (and pay for) in college. Or, ask your college about testing out of courses when you know the material like the back of your hand. For an example, see OSU's current "Credit By Examination" guide.

3. Attend College While in High School. I had an opportunity to take a few college classes over the summer of my Junior year of high school. But these opportunities take a variety of forms. Always check with your school or school district to see if there are any available options for you or your son/daughter/niece/nephew/etc. Here in Columbus City Schools, they are piloting a Seniors to Sophomores program. If the program gets funding and continues to be available in the years to come, it's a great option for students. This is a true dual-enrollment option for students who are up to the challenge of taking college classes while still technically being a senior in high school. But that program takes a special kind of student with a special kind of maturity and dedication. Those students are in college full-time, and that can create some social challenges when you're younger than everyone else there.

4. Community College First. Instead of jumping straight into a more expensive 4-year university, take some of your basic core classes through community college first. Always check with your target university on credit transfer options and requirements. Will it be a one-to-one credit transfer? Do you need to get certain grades? Always ask lots of questions before committing to this route. But this can be a good option if you combine it with an employer's tuition reimbursement.

One of the best things you can do late in your Junior year of high school and early in your Senior year is take a hard look at schools you may want to attend and do some reality checks on their costs vs benefits. The most expensive college is not necessarily your best choice. You want the best *value* you can find for your dollars. Keep in mind that every dollar you have to incur in student loan debt to afford, the more expensive college can limit your financial freedom later on.

But the good news is, with planning ahead and research, you (or your son/daughter/neighbor/etc) may be able to beat the trend and graduate with less student loan debt...or no student loan debt at all. That puts them in a better position to buy their first house, save for retirement, or afford a newer car. It gives them more financial choices in the future.

Soon I'll be posting a book review on a book about how to get through college debt-free. Keep watching the blog for details!