Funding Your Education
Planning a budget
A realistic approach to setting up a budget involves understanding one’s own financial standing. It is critical to take into account the family’s financial resources in light of financial commitments, savings for retirement or dependents, and also consider additional avenues that may be open for financial support. Knowing what the family budget is per year of study is the first step.
Cost of Attendance
Even before embarking on a survey of costs of attendance, there are application fees, and where required, testing and credential evaluation service fees, to be considered. Although the latter may be optional, it is still wise to consider those costs into the budget.
One must then consider the total cost of studying in the United States, which extends beyond tuition fees. Students should consider living expenses that include food and accommodation, health insurance, and any other personal expenses that depend on lifestyle choices. The living expenses depend on the city and state where the college/university is located. A marginal increase in the cost of attendance should also be accounted for. The university website is the official source to get a better understanding of expenses. One must then go on to develop a financial plan to cover the costs.
Undergraduate Level Funding
At the undergraduate level, financial aid is generally categorized into need-based and merit-based funding. Need-based aid is offered to students who demonstrate financial hardship, while merit-based scholarships are awarded based on academic achievements, extracurricular involvement, or special talents. Some universities offer partial or full scholarships, while others may provide tuition waivers or grants.
Graduate Level Funding
Graduate students have access to different types of funding opportunities. While merit-based scholarships are an option, many institutions offer graduate assistantships and fellowships to financially support students. Assistantships typically involve research, teaching, or administrative responsibilities. Compensation varies in degree and could be provided in the form of a stipend, or at the higher end, both tuition remission and a stipend. Fellowships, on the other hand, provide direct financial support, usually for research, without requiring work commitments. Identifying universities that offer such funding options can significantly reduce educational costs and financial burden.
External trusts and foundations
Financial aid can also be externally sourced from trusts and foundations. Some of the scholarships may be field-of-study specific while others may be institution-specific. It is also important to note that the deadline for these scholarships can be different from university application deadlines.
On-campus opportunities
Universities offer opportunities for international students on an F-1 visa to take up work in the campus. Students under this category can only work up to 20 hours, as per policy during semesters, and 40 hours during the breaks. While the income from on-campus opportunities may not completely take care of the student’s expenses, it can still provide a supplementary income that can help in managing expenses. International students should note that the on-campus opportunities are not guaranteed, and therefore cannot be banked upon at the time of financial planning.
Identifying Cost Effective Options
Students looking for budget-friendly options can explore more affordable universities and regions. Public universities, particularly those within state systems, often have lower tuition fees compared to many private institutions, and may therefore be affordable should no scholarship be awarded.
Another aspect to look at is the cost of living, which can significantly vary based on the location. Typically, the West Coast and the East Coast tend to have higher living costs than the Midwest and Southern region. Even within the East Coast and West Coast regions, the costs can still vary based on whether the campus is based on a downtown location, city location, or suburb location. Opting for locations that satisfy the budget without compromising on the academic quality is a key strategy. This requires a lot of groundwork involving browsing through university websites and corresponding with university representatives.
Making a financial plan
While shortlisting universities, categorizing them into financial dream, moderate, and safe options can be useful. Dream or ambitious options are those that offer a good amount of financial aid. However, the admission may be competitive with a lower acceptance rate. The moderate options are universities where the funding could work out but is not guaranteed. The safe options are institutions where the student is usually able to manage their cost of attendance even without financial aid. No matter what category the university falls under, it is important to shortlist them without compromising on individual priorities.
Beyond institutional and external funding, covering the cost of attendance can be fulfilled by sponsors, or by an approved loan from an authentic financial institution. Based on how strong the application is, scholarships can also be factored.
Financial planning is a key aspect of studying in the U.S. Evaluating costs early, exploring funding opportunities, and choosing universities that fit within a budget can lead to a stress-free academic experience. By securing financial stability through multiple funding avenues, students can fully engage with their studies and maximize their educational experience.
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