Are you and your spouse considering furthering your education to achieve career goals? Do you have children who will attend college? If so, you’ll want to start saving straight away as higher education costs are on the rise.
The College Board indicates the average yearly tuition at a public four-year in-state university is $8,655. That number more than doubles for out-of-state tuition to $21,706. Neither cost includes room and board, books, computers or all the other items a student will need.
SAVING FOR COLLEGE
Open a savings account dedicated to your education goals. Determine how much of your monthly budget you can realistically contribute and commit to saving in that account.
Research Indiana’s College Choice 529 Plan. You can open an account for as little as $25 and can earn an income tax credit of 20 percent of contributions to your 529 plan, up to $1,000 per year.
Consider working with a financial professional. Research advisers that are capable of meeting your needs and are qualified to provide financial guidance. Determine if your advisor is licensed or registered by searching the online databases at the Indiana Secretary of State’s office. You can also call the office at 1-800-223-8791.
Along with saving and investing, consider these options:
Applying for grants and scholarships. Many higher education institutions provide a myriad of scholarships. Also, there are many grants and scholarships available via the Internet if you take the time to research.
Apply for financial aid. Use the Free Application for Federal Student Aid (FAFSA) to apply for federal student aid programs. Many time these are dependent on you financial situation.
Apply for student loans. While student loans are a way to pay for education, the debt will be there after your graduate. Pay attention to how much debt your loans will put you in upon graduation.
If the cost stresses you out, you’re not alone!
Reduce the stress and start saving.
There are many ways to pay for higher education.