NY GEAR UP Saving for College CUNY Collaborative Programs: A NYGEAR UP Partner

Agenda What is the cost of college and is it worth it? Ways for students and families to pay Sticker Shock and the True Cost of College Tools to help you determine how much you will pay Ways to start saving now Questions

Financial Aid Quiz 1. College is not worth the debt involved. It’s better to go directly to work. 2. Only “A” students can go to college and get financial aid. 3. Applying for financial aid is very difficult and complicated. 4. College can be expensive, but two-thirds of all undergraduate students receive financial aid to help cover college costs. 5. To make it in today’s world, you must have a four-year degree. 6. Over the course of a lifetime, a high school graduate can earn as much as a college graduate. 7. The average annual income of a person with a college degree is over $55, Colleges give full athletic scholarships to athletes. 9. Private colleges are too expensive and you shouldn’t apply if you don’t have the money. 10. Some employers will help you pay for college.

Is College Worth the Cost? College grads fare better in workforce BA degrees earn $1 million more over a lifetime than HS diploma (84% more over a lifetime) Build skills needed for workplace Independence, new experiences, success and failure College degrees have lower unemployment rate (2013 – 4% for BA; 5.4% for AA)

What is Cost of Attending College? Direct costs Tuition, Fees, Room Board Indirect costs Books and Supplies Personal Expenses Laundry, cell phone Transportation

Money for College: Ways for Students and Families to Pay Scholarships (do not have to be paid back) Grants (do not have to be paid back) Loans (must be paid back) Work study (must be earned) Savings (must be earned)

The True Cost of College

Don’t be Afraid of Sticker Shock

Living Away from Home (NY State Resident) CUNYSUNYPrivate College Tuition and Fees$6,030$7,582$36,000 Housing$8,820$12,020$14,000 Books and supplies$1,248$1,270$1,045 Meals$3,082included Transportation$986$1,020$1,150 Personal Expenses$3,954$1,450$1,900 Total Cost of Attendance$24,120$23,342$54,095 NY State College Costs

How to Start Saving Now Set a Savings Goal: fixed amount per paycheck Look at different types of savings and investment accounts/options Open a College Savings Fund Begin a scholarship search Register your child for dual-enrollment courses

Loans: Rules of Thumb for Borrowing Borrow only what you must and as little as possible Exhaust all federal loan options before private loans Know repayment options before signing papers

Resources NY Higher Education services Corporation: Hesc.ny.gov USDOE: ed.gov/fund College Board: collegeboard.org NACAC: nacacnet.org FastWeb Scholarship Search: fastweb.com Federal Student Aid: studentaid.ed.gov College Navigator: nces.ed.gov

QUESTIONS? Please complete workshop evaluation