10 Tips to Mitigate College Costs
There is a student debt crisis. The rise in college costs have exponentially outpaced wages and an entire generation has been overburdened by the cost of education.
However, earning a 4-year bachelor’s degree is still shown to improve a person’s lifelong earnings. A degree also serves as “insurance” in a recession, where degree holders are less likely to lose their jobs. And I am writing to you as someone who earned their degree in 2008, in the middle of a financial crisis!
I am an advocate of higher education. However, the cost of higher education in the US is out of control. A degree has value but not at the cost of hundreds of thousands of dollars of debt. The important thing is to make sure the return on your investment (ROI) makes sense. However, forecasting the value of a 4-year degree to your lifelong earnings and career possibilities at 18 years old is a very difficult task.
I am thankful that this issue is part of the national conversation, that legislators are seriously discussing and presenting legislation to ease the student debt crisis, and that at least some relief should be available soon to the millions of Americans struggling with their student debt.
That being said, there are a few ways everyone can make smarter investments in higher education. Below are 10 ways to mitigate your costs.
1. Make sure you are only applying to regionally accredited institutions. There are over 2,600 regionally accredited 4-year colleges across the US, and they are all accredited by 6 main accrediting bodies listed on the Council for Higher Education Accreditation CHEA. The accrediting bodies are split up by state; for instance, all Texas based schools are accredited by SACSOC. Make sure the accreditation is current and that they have not been sanctioned.
2. Check on the accreditation site whether the college is For-profit or Not-for-profit. I encourage all students to exclusively attend Not-for-profit colleges. DO NOT ATTEND a For-profit institution. There are some For-profit colleges that are regionally accredited, but I still find them problematic. In many cases these types of colleges have faced sanctions and other issues. Students from these colleges face some of the highest debt and the lowest employment rates. In many cases if you wanted to pursue a master’s degree afterward you would not be eligible. Additionally, employers may not recognize degrees from these institutions. It is just not worth the risk in my opinion.
3. Research universities outside of the US – there are many internationally esteemed colleges abroad that offer degrees taught entirely in English for a fraction of the price of an American bachelor’s degree. Rather than studying abroad for a semester, look into earning your degree at a top-tier University outside of the States. Additionally, I believe that having this type of extensive international experience will make you more marketable in the US job market, especially for global companies and job opportunities.
4. Earn college credits in high school – with AP classes/tests and dual-credit classes. Take classes at community colleges in the summers. At many colleges, the first 2 years of classes are relatively generic, so you should be able to transfer them in from other institutions. Check whether your college will accept community college credits, check the max level of credits that you can transfer in, and check which classes will accept equivalents.
5. If you have earned enough outside credits, you may be able to graduate early. Graduating in 3 years rather than 4 would save students a large portion of living expenses. Of course, starting your career earlier will mean you are earning money faster and paying less interest overall.
6. Buy used books ALWAYS! Never buy them from the campus bookstore. Try to buy directly from last year’s students or from online used book sites. Try to get ahold of the class syllabus as early as possible so that you can order books before your classes start. You can always rent them from the library, but they were always checked out when I tried this trick! Finally, if the book is a new edition and you can’t buy it used, check if the previous edition is similar enough, many times new editions only include minor edits and additions. The only caveat I would add is to check if your professor is the author of the textbook, in that case buy the newest edition. When selling your books, try and find students who are taking the course in the next term – the campus bookstore may offer to buy back but it will always be at a fraction of the original cost.
7. If you can manage your classes and a part-time job look for on-campus and off-campus positions. If you can schedule your classes in the evening, this could allow you much more flexibility in finding traditional jobs. You may also be able to stack classes early in the week so that you can freely work 3-4 days a week.
8. Apply to multiple outside scholarships. Colleges will usually award internal scholarships at the time of admission, but I encourage every student to identify several external scholarships and apply to them before they enroll and even in subsequent years. For instance, I received a study abroad scholarship that helped me save money while I spent a year studying in Argentina.
9. Become an activist. Get involved with organizations that are working to impact access, equality, and affordability in higher education. There are bi-partisan causes where you can get political without getting “political”.
10. Finally, the best “revenge” for a costly degree is an amazing job right after graduating. Tap into your school’s alumni network. Do not wait until your senior year to get involved, make sure you are a fixture in any industry events and networking opportunities. Connect with professors and see if they have contacts that can help you get interviews. Get in touch with the career services office - this resource varies by college, but they can keep you informed of job fairs and other opportunities.
While I wish that I had more concrete solutions for the student debt crisis, I will leave it up to the think tanks and legislators to debate and offer real long-term cures for these complex issues. Without government subsidies, cost regulations, and intense investment in the higher education industry the return on investment for many students will not be valuable. While the gears of legislation slowly churn, I hope that these tips can help students mitigate costs in the short term.
Sophie Roth
Hi I am Sophie Roth
Bach is a concierge college counseling service. Going to college is an investment of time and money, as with any other important investment it is wise to meet with experts to guide your decisions. Students who make informed, thoughtful, and intentional choices when selecting colleges will enjoy more success. Students who take ownership of the process for themselves will feel accomplished and empowered that they have made the right choice and will arrive on campus with confidence.
