(BPT) - Key takeaways
- Paying for college is possible by drawing on multiple sources.
- Beyond federal student loans and scholarships from schools, many other sources of potential funding exist.
- You can bridge the gap between financial aid received and total college expenses with a private student loan from College Ave.
Getting ready for your child to start college in fall 2026? You probably have a long to-do list before move-in day, but topping the list is ensuring you can cover all the expenses.
While the costs of tuition, room and board can seem overwhelming, a Parent Survey by College Ave found most families pay for higher education by combining multiple funding sources, including scholarships, grants and student loans.
The survey also found that parents overwhelmingly believe in the importance of a college degree for their child's future. To help parents during this crucial time, College Ave shares tips for managing expenses.
How can I access financial aid?
At this point in the process, you filled out the Free Application for Federal Student Aid (FAFSA), your child was accepted into one or more schools and chose where to enroll. The college or university sent a financial aid award letter indicating how much in grants, scholarships or federal student loans your child may receive.
After your child submits their college acceptance form, aid is usually disbursed directly to the school toward tuition, room and board. Contact the school's financial aid office regarding financial aid disbursements, remaining bills and deadlines.
How should I tackle a college budget?
Today's tuition, room and board costs are high, which can make higher education seem unattainable. However, there are many ways to lighten the burden. For example, most schools offer payment plans to spread tuition bills throughout the year, interest-free.
Most families combine multiple resources to pay for school. According to the College Ave Parent Survey, these were the top sources:
- Regular income and savings: 67%
- Grants/scholarships: 64%
- 529 account: 45%
- Federal student loans: 41%
- Child will work: 39%
- Parent loan (parent solely responsible): 18%
- Parent side hustle/second job: 17%
- Private student loans: 16%
Colleges often provide a Net Price Calculator (NPC) on their websites to help families estimate actual costs after financial aid is taken into account.
It's also recommended to have an honest discussion with your child about expenses, involving them in decisions about working part-time while in school and exploring ways to lower costs.
51% of parents were willing to defer retirement for their child's education.
Where can I find other sources of funding?
According to the Parent Survey, 51% of parents were willing to defer retirement for their child's education, while 69% made additional personal sacrifices or deferred putting money in personal savings to help pay for their child's college.
However, additional research may help you find untapped funds to defray some expenses. Beyond Federal and school-based aid, millions of dollars in private scholarships are awarded each year, as well as grants from local civic groups or even your employer, many of which go unclaimed. If your family belongs to any civic organization, house of worship or community group, it's worth asking about education funds.
It pays to keep searching for grants and scholarships throughout the summer and the first year of school. Many may relate to your child's field of study, place of birth, background or interests rather than school performance. Your child should contact their high school counselor and chosen school's financial aid office to explore additional opportunities.
Your child can also check online scholarship databases and your state's Department of Education website. One easy, no-essay scholarship to apply for is from CollegeAve.com/scholarship — a new winner is selected each month.†
What are a few ways to reduce expenses?
If your child took AP or community college classes, they could transfer credits to their chosen school. They can still consider taking community college classes this summer, or any summer during their college career, to fulfill requirements and potentially graduate early. Check with their college to ensure credits are transferable.
Students may find other ways to economize, like sharing dorm accessory costs with roommates, carpooling or using public transportation. Consider buying used textbooks, renting textbooks or using free digital copies through the university library.
When should I consider private student loans?
You may already be borrowing funds to help pay for college. In fact, it's smart to use Federal student loans in your child's name first, as they offer unique benefits including income-based repayment not typically offered by private lenders.
However, there may still be a gap between received aid and college expenses. This is where a private lender with flexible repayment plans and good customer service can come in, like College Ave. To make your decision easier, you can estimate future monthly payments, rates and repayment terms at CollegeAve.com/calculators.
For more information on planning and paying for college, visit CollegeAve.com.
†No purchase necessary to enter or win. See official rules for details.
