2.1
PAYING FOR COLLEGE BASICS

DISCUSSION PROMPT:
What are the biggest concerns students have when it comes to paying back student loans?

Discuss these questions with your classmates or with a partner
1. Have you thought about how you plan to pay for college?

a. If yes, what options have you thought about so far?

b. If no, what two questions would you ask a guidance counselor at your school to get started?

2. What are your biggest concerns about paying for college? 

INFOGRAPHIC:
The Financial Aid Process

This infographic puts the Financial Aid Process in a roadmap format. Throughout the unit, we will be revisiting this roadmap to see what stage of the financial aid process we are in.  Skim through the infographic to get an understanding of what the different stages are. Then, read the first section titled, "Preparation", in detail & answer these questions.
1. Why do you think savings, scholarships, and state aid are good “preparation” steps to take before applying for federal financial aid? 

2. Your friend asks you, “How early do you think I should start saving and searching for scholarships and state aid?” What do you recommend? Why?

ARTICLE:
Why Go to College

You have probably heard that getting a college degree opens a lot of doors. But with the rising cost of education, you may also be wondering if college is worth it. Read this article to find out how going to college can benefit you in multiple ways. Then, answer the questions.

1. Make a list of how going to college can benefit you personally.
2. Make a list of how going to college can benefit you financially.
3. In the 2nd half of the article (starting from “You have curiosity. EXPLORE it”) dives into specific ways you can benefit from going to college. Which of these benefits are especially attractive to you and why?
4. After reading this article, do you think it is worth going to college despite the costs? Why or why not? What hesitations do you have, if any?

PERSONAL STORY:
What I Learned From College

As you saw in the previous article, there are many things to gain from college besides just being able to get higher-paying jobs. 

Watch the video of a college student describing what college taught him. Then, write two things he gained and one thing you would hope to gain from attending college (other than your degree).

1. What Reynaldo gained from college was…
2. What I would hope to gain is…

ARTICLE:
Your Guide to Choosing a Major in College

Choosing a college and a major can be a daunting process because it’s a huge financial decision! However, there are a few key criteria you can use to help you make a sound decision for yourself. Read the introductory part of this article, stopping when you get to “Trends in College Majors.” 

1. The article recommends you heavily consider your expected starting salary after graduation. Why do you think this is an important factor to keep in mind when making a decision?

2. In addition to the expected starting salary, what other factor(s) do you think are important to consider when making a decision about a college and major? Explain.

ARTICLE:
What’s the True Cost of Attendance? Know Before You Go

The cost of attending college includes many things, some of which you have more control over than others. Review the section of the article titled “What does cost of attendance include” to get an idea of the range of expenses you’ll want to keep in mind. Then, answer the questions. 

1. What is the main difference between direct costs and indirect costs of attending college?

2. Do you have more control over direct costs or indirect costs? Explain why.

INFOGRAPHIC:
College Costs: Sticker Price vs. Net Price

In the previous two resources, you read about some of the most common costs associated with college. As you learned, most students end up paying much less than the college’s published price. Take a look at this image to learn about sticker price and net price. Then, answer these questions: 

1. When calculating net price, why do you think loans are not deducted from sticker price even if they are typically offered to you in a financial aid package? 

2. Which do you think is more important to consider when looking at colleges: sticker price or net price? Why? 

INTERACTIVE:
How Much Will Your College [Actually] Cost?

Choose five colleges to research - two large CUNY schools, two  SUNY schools, and one of your choice. You complete this spreadsheet using information from the interactive. Then you will create a multi-line graph comparing the annual net price of the five universities you are researching.

INFOGRAPHIC:
How America Pays For College

These are the survey results of parents and undergraduates about how they paid for college. Use the infographic to answer the questions. 

1. What percentage of college is paid for by:

       a. Grants/scholarships? 

       b. Spending from income/savings (student and parent)? 

       c. Borrowing (student and parent)?

2. Using data from the infographic, what would you say is the value in creating a plan for paying for college, rather than starting college without a specific plan in mind? 

3. Using data from the infographic, summarize how families of undergraduate students feel about the value of a college education.
   
   

**In the next lesson, we will learn about the Expected Family Contribution (EFC). You may want to do some research to better understand that “Savings & Income” are what make up the EFC.