Wednesday, March 4, 2009

How To Finance College Education

Posted by: Thomas Gillick

Paying for college is getting tougher and tougher. Not only are tuition costs getting more expensive but financial aid is getting less and less. The good news is some colleges might follow the paths of other schools in fighting this financial aid crisis. Currently Harvard has implemented a plan where the max cost for middle class students will be $18,000 per year on a full tuition with a value of $45,600. Relying on financial aid is not the only thing that can be done to help pay for school. On average a student will need roughly $20,000 a year. A college savings plan could potential help take some of this financial burden. Not only will these plans help save for college but they are also tax-free. If a savings plan is not attractive enough you could also take out a Roth IRA to take advantage of the tax benefit. Not only will this help pay the tuition but it could help pay for other things with the same tax benefits. When looking to pay for college makes sure you anticipate the future costs and do not only rely on financial aid. Even though some schools are trying to change their financial aid awards the best thing you can do is to save and start some kind of plan so the cost of education is not the top priority when choosing a school.


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