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Paying for Grad School?Here's How to Do It.You got this.
Step 1: Is grad school worth it?
Ask yourself:
• Am I ready to go to graduate school?
• How much will my degree cost me?
• How much debt will I have take on?
• What will my earnings be like after I graduate?
• Will I enjoy this career path?
RECENT GRADUATE MEDIAN INCOMES
Medicine
Dentistry
Pharmacy
Law
MBA
PhD
Master’s (Sci/Eng)
Master’s (Arts)
$204,000
$155,000
$122,000
$121,000
$115,000
$91,000
$87,000
$64,000
By Graduate Degree, Based on Earnest Loan Applicants 2014-16
Source: Earnest.com
How much can you afford? Some experts recommend taking on no more debt than your estimated first-year salary.
Step 2: Complete your FAFSA.
Nearly all graduate students are considered independent students for matters related to financial aid. Complete a FAFSA to qualify for school and federal aid. You'll need:
• Your Social Security number
• Driver's license number (if you have one)
• W-2s
• Most recent federal income tax returns
• The list of schools that you are considering (even before applying or being accepted). They will receive your FAFFSA results automatically.
You can file your FAFSA for the 2017-18 academic year starting on October 1, 2016. Create your online application at fafsa.ed.gov.
Step 3: Look for additional scholarships.
Your FAFSA will help you qualify for some scholarships—but it's worth looking for additional outside or private sources of funding separate from your school.
• FinAid - www.naid.org
• FastWEB - www.fastweb.com
• FastAid - www.fastaid.com
• The College Board - www.collegeboard.com
• Peterson's Scholarship Search - www.petersons.com
Step 4: Apply for student loans.TYPE OF LOAN RATES AND COSTS
(Rates through 7/1/2016)
MAXIMUM BORROWING
per year
Federal Perkins Loans Fixed 5%, no loan fees.. $8,000
Federal Unsubsidized
Stafford Loan
Fixed 5.31%, with origination fee of 1.069%. $20,500
Federal Direct PLUS Loan
(students and parents)
Fixed 6.31%, with origination fee of 4.276%. Up to cost of attendance, minus the
amount of all other financial aid you are
receiving, including other loans.
Private loans
(various providers)
Fixed start around 5.75%; variable start around
2.50%. Origination fees vary by lender.
Up to cost of attendance, minus the
amount of all other financial aid you are
receiving, including other loans.
Step 5: Be smart about money in grad school.
• Don't borrow more than you need - remember interest typically starts accruing when you sign the loan.
• Keep track of how much you're borrowing - and the interest rates. You don't want to be surprised with your total amount after you graduate.
• You don't need to wait until you have graduated to start repaying your loans. The sooner you start repaying, the sooner you will be finished.
Step 6: Know your repayment options.
• You can consolidate your loans. This does not change your interest rate but may make it more covenient for you to have one bill.
• You can use an income-based repayment program. This does not change your interest rate and could extend your term; it may make your payment more affordable if you have low income.
• You can refinance your loans. This changes your interest rate and term, and make it more convenient with fewer bills to pay. You can customize your monthly payment to your budget.
Let us help you!
Downland the complete Earnest guidebook.