Beginner's Guide to College Life

Starting Your Own Book Club

Wed, 22 Mar 2006 21:13:04 +0000

You can start your own book club in your dorm room, apartment, or living room. When you start the club, you can shape it into the kind of club you will enjoy for some time. Planning well is the best way to ensure success. There are also other helpful hints to help your book club get off to a good start.

Talk to your friends and classmates to see who might be interested in forming a book club. Once you have a few friends who are willing to commit to at least one book, decide on a meeting time and place. At the first meeting you may want to discuss how often everyone can meet. If you meet weekly, will you assign a certain number of chapters each week? Decide how much to read so that everyone is at about the same place at each meeting.

Once your group has decided how often to meet and how much reading will occur between meetings, decide whether or not your group will take turns as the moderator or if one person will be the designated moderator. Discuss what types of books the members are interested in. If the group has some common ground other than the book club, it may be that members can suggest books and choose which book will be next based on a simple vote or agreement.

Before the club begins to really get going, discuss things like whether or not refreshments will be served, and what kind. Decide now whether or not your book club will offer alcoholic beverages.

Other tips for creating an atmosphere that everyone can enjoy include always starting and stopping on time, keeping a regular meeting schedule that members can rely on, and staying on topic while discussing each book.

Paying for College Overview

Tue, 06 Jun 2006 21:38:00 +0000

Paying for college is usually harder than getting in to the college of your choice. But there are ways to make paying for college a little easier, and perhaps even bearable. There are so many options available that with diligence and early planning, anyone can pay for college.

Every financial analyst will tell you that the best way to prepare for paying for college is to start saving for your child’s higher education today. No matter how old your child – even if she isn’t born yet – begin saving now. Whether the amount you save is large or small, every little bit will help when the time comes to write that first tuition check.

So many parents find out as their child is preparing to graduate high school that there were things they could have done along the way to make paying for college less stressful on their family budget, but by then many, but not all, opportunities have passed them by.

Saving for college is the best beginning, but there are also ways to reduce your child’s college costs. If your child enrolls in Advanced Placement classes in high school and earns a qualifying score on the AP exam, they can receive college credit for those classes. The fee for each AP exam is currently $82, but that fee is much less expensive than taking one college class. Students can also CLEP (College-Level Examination Program®) out of some classes by earning a qualifying score on the CLEP exam for that class. The CLEP program is designed to award college credit for independent learning and learning that has taken place through non-credit adult courses.

Another way to reduce your tuition burden is by enrolling in a local community college or state university rather than a large, private institution. However, no matter where your child attends school, other forms of financial aid may be available to them in the form of work study, grants, scholarships, and student loans.

Student Loans

Tue, 06 Jun 2006 21:38:40 +0000

Student loans are available to both parents and students. The qualifications vary depending on who is borrowing the money. There are federal and private loans available, depending on income, assets, and credit rating. Home equity loans and consolidation loans are also used to help pay for college.

Federal loans are the most well-known and often have the best interest rates and repayment terms. Your child’s high school guidance counselor or college financial aid office can provide a wealth of information about student loans.

If parents have a good relationship with their lending institution, there may be private loans available to them. However, since interest rates on these loans are usually higher than federal student loans, they are most often used to make up the difference in all other forms of payment and the remaining balance that is due.

Home equity loans are an affordable option for helping your student pay for college, but the risk is much higher with a loan that is attached to your home. If, for some reason, you are unable to repay the loan, you risk losing your house and all the equity you’ve built up over the years. For this reason, home equity loans should only be considered as a secondary option for paying for college tuition. Borrowing against your retirement plan can be as risky as a home equity loan. This type of loan should only be considered as a secondary option as well.

Borrowing against CD’s can be a good option and these types of loans often have lower interest rates than standard, unsecured loans.

Scholarships & Grants

Tue, 06 Jun 2006 21:39:37 +0000

Scholarships and grants are among the best ways to reduce your tuition bill. These forms of financial aid do not have to be repaid and are available from a myriad of sources. The college or university may be able to offer total or partial scholarship packages based on academic performance, athletic ability, or financial need. However, universities have limited scholarship funds each year, so check with them early and often about available funds. Giving the university a reason to grant your child a scholarship, such as academic achievement, will help swing the odds in your favor.

Private foundations are another possible source for scholarship or grant monies. Your child’s high school guidance counselor or college financial aid office can provide you with information about some scholarship programs, but the internet is another good source for information on these programs. One word of caution is warranted here. In this age of identity theft, be very cautious about what information you give to a scholarship program that you found on the internet. Be sure to do your homework about each program before providing your financial information to anyone. Make sure that the foundation does, indeed exist and that scholarship money is available.

Many scholarship programs are made available to Boy Scouts who earn their Eagle Award and to Girl Scouts who earn their Gold Award. These awards are the highest honors available to scouts in each of these organizations and scholarships are open only to those who have earned the award in their respective organization. When your child has earned this award or a similar one in another organization, they are competing for scholarship money in a smaller pool than the general population. When the pool of possible candidates is smaller, then your child’s chances of being granted the scholarship increase.

Just as there are federal loan programs available, there are also federal scholarships and grants available. Pell Grants are the largest federal scholarship program and are awarded based on financial need. Pell grants are only for students enrolled in undergraduate courses and who are U.S. citizens or eligible non-citizens. A high school diploma or GED is also required from an accredited institution.

FSEOG (Federal Supplemental Education Opportunity Grant) grants are monies that are distributed to eligible students through schools and are also based on financial need. Both full and part time students can qualify for this program. This program is reserved for those students who demonstrate the greatest need.

There are also federal scholarship and grant programs that are based on merit rather than financial need. They include the LEAP (Leveraging Educational Assistance Partnership) incentive, the Robert C. Byrd Honors Scholarship Program, the National Science Scholars Program (NSSP), and the Paul Douglas Teacher Scholarship Program.

Scholarship money may also be available to your child based on their scores on the ACT or SAT college entrance exams. Locally based scholarships may be available to your student through these smaller foundations and programs.

Savings Bonds

Tue, 06 Jun 2006 21:40:11 +0000

Savings bonds have long been a way for parents to begin saving early for their child’s college education. But in 1990 the Treasury Department made saving for college an even better deal. Through the introduction of the Education Bond Program, interest that is earned on Series EE and Series I Bonds can be completely tax deductible if the money earned is used to pay for eligible college expenses in the same calendar year in which the bond is redeemed.

When bond money is used to pay for tuition to a state college or university, it may also be eligible for the tax deduction. There are certain qualifications and some of those qualifications must be met when the bonds are purchased, so make sure you have all the information before buying the bonds of your choice. For example, parents must be at least 24 years old before the purchase of the bonds and the child’s name must not be listed as a co-owner of the bond. However, the child can be named as a beneficiary of the bond money and still qualify.

Money earned from these bonds does not have to be used for education expenses unless the parents wish to claim the tax deduction on the interest from those bonds. Not every college related expense qualifies for the tax deduction. Tuition and fees are qualified expenses, but books, room and board, and meal plans are not.

State Prepaid Tuition Plans

Tue, 06 Jun 2006 21:40:39 +0000

Many universities offer prepaid tuition plans wherein you can invest in your child’s college education today, thereby securing your child’s tuition rates in today’s market rather than paying the tuition rates that will be in place when they actually attend.

These plans all have different qualifications and terms, but most work like a savings plan that locks in the rate your child will pay for college tuition. For each child, there is a maximum amount that you can invest in these programs each year.

When participating in these plans, parents benefit from state tax deductions and deferred state taxes on the interest earned. Taxes for these programs are also paid at the child’s lower tax rate, giving parents another reason to take advantage of these programs. However, one disadvantage for these state sponsored programs is that the tax advantages do not apply to federal taxes.

Some states offer prepaid plans that offer your child the option of attending any state sponsored college or university. Others are designated for only one school, so it is in your best interest to be aware of which type of program you are investing in. However, it may be that your state offers these benefits not only to public institutions of higher learning, but to private colleges and universities as well.

College Budgeting Benefits

Thu, 22 Jun 2006 20:15:21 +0000

At the beginning of college you are out on your own and facing expenses you’ve never had to before. Tuition, books, housing, groceries, transportation costs, the list goes on and on. Adding to this you are also on a limited income. So how do you get a grip on this before you are in over your head? It is time to budget.

A budget is a plan for expenditures over a specific period of time.

There are many beneficial reasons for budgeting during college:

• Debt free: Handling your finances now will allow you to graduate without being loaded down by debt that will take too many years to pay off.
• Scholastic Performance: Being overwhelmed and stressed during school by bills you are unable to pay can have a negative effect on your academics.
• Money Management: Learning the valuable lesson of money management while in school helps to develop the skills that will stay with you long after you have graduated.
• Achieving Goals: Having a written financial plan that you stick to encourages and enables you to achieve desired goals.
• Knowing where your money is going: If you’ve ever asked yourself, “Where has my money gone” you are not alone. Placing forth the effort to live on a budget allows you to finally answer that question.

Goal Setting

Thu, 22 Jun 2006 20:17:06 +0000

The first step in creating a budget is to set-up goals for where you would like to be financially, both in the short term and the long term. Having a personal budget pushes you to think about your goals and have a financial lifestyle that allows you to reach them.

• Short-term: A short-term financial goal is one that can be achieved in a year or less. Examples of this type of goal are saving for next semester’s tuition, saving for a car down payment, saving for spring break, etc. These goals can be reached by setting aside money each month, cutting down on other expenses, or investing in short-term financial tools such as CDs or interest paying accounts.

• Long-term: Long-term financial goals are those that can be achieved in a year or more. Examples of long-term goals are buying a house, planning for graduate school, and paying off student loans if you have any. Long-term goals can be reached by saving and investing on a regular basis.

Needs vs. Wants

Thu, 22 Jun 2006 20:17:37 +0000

It is necessary to distinguish between your needs and wants. Many struggle with this step as they try to justify why a want is actually a need when it isn’t. Knowing the difference shows you where your money should go first, towards your needs, and then second, toward your wants. Get a handle on this before you find yourself in trouble.

• Need: Needs are things that you have to have in order to survive such as food, shelter, and clothing.

• Want: Wants are things you would like to have, but are not necessary for survival. Wants can be variations of needs. For example, you may need to purchase a new computer for school but it is a want to purchase one that comes with a lot of extra programs that are not necessary for you to function.

• Warnings: It is fine to purchase wants when you have the finances to support it, but be cautious to not purchase something you desire to have if it is going to alter your goals and place you into debt.

What a Budget Looks Like

Thu, 22 Jun 2006 20:18:10 +0000

Set up a budget worksheet for yourself or use an already prepared worksheet that can be found on bank websites or on software you can purchase. The worksheet should include these categories: Income, living expenses, and surplus/deficit. For the first 30 days, carry a small notebook and track everything you spend money on. This allows you to see where your money is going to in an average month and will help you more accurately establish a budget. With this information fill in your budget worksheet:

• Income: Income is money you receive in a period of time due to work or an investment. Income received during college may come from various sources such as a part-time job, grants, scholarships, student loans, interest earned on accounts, etc.

• Living Expenses: Living expenses are the things that you spend money on throughout the year. This list of expenses includes tuition, books, housing, utilities, phone, automotive, insurance, meals, entertainment, and more.

• Variable Expenses: Variable expenses are those that are not held consistent on a monthly basis. Automotive repairs, medical costs, and even utilities either vary each month or do not arise each month. Therefore, to include them in your monthly budget it will be necessary to estimate the yearly cost for these expenses and divide that number by 12.

• Surplus or Deficit: Surplus or deficit is the difference between your income and expenses. If you have a deficit, then you are spending more money then you are living beyond your means and it will be necessary to look again at your expenses and determine what you can modify in order to have a surplus.

Budgeting Tips

Thu, 22 Jun 2006 20:18:40 +0000

There are many things that will try to stand in the way of successfully living on a budget from unexpected expenses to your very own attitude. Being aware of these things ahead of time will help you avoid debt and stay on track.

• Review your budget: Review your budget on a regular basis so that you do not deviate from it, but also be flexible to adapt to changing circumstances. You may encounter situations when you do not have as much income, tuition fees increase, or you have an unexpected expense. Situations such as these will require you to revise your existing budget, making adaptations.
• Large expenses: It is possible that you will face circumstances when a large expense will occur that sinks your budget. Do your homework; investigate options that will allow you to spread out the payments for this expense over a few months with little or no additional cost.
• Credit Cards: Credit cards can be a tool for earning credit when used responsibly. Do not, however, use them to give yourself more income in a given month.
• Attitude: Check your attitude before beginning your budget for you will surely fail if you feel negatively towards budgeting.
• Savings: Remember to place money into savings. If you have a hard time placing the money into savings yourself, then sign up for automatic transfers from your checking to your savings. Saving regularly will help you to stay out of debt when unexpected expenses come about.
• Gifts: Don’t forget to include gifts, from birthdays to Christmas presents, in your budget so that when these times of the year come about you don’t overspend.

Study Skills

Fri, 21 Jul 2006 16:16:50 +0000

Choosing a Major

Fri, 21 Jul 2006 16:19:28 +0000

Paying for College

Fri, 21 Jul 2006 16:23:09 +0000

Choosing a College or University

Fri, 21 Jul 2006 16:25:54 +0000

Beginner's Guide to College Life

Starting Your Own Book Club

Paying for College Overview

Student Loans

Scholarships & Grants

Savings Bonds

State Prepaid Tuition Plans

College Budgeting Benefits

Goal Setting

Needs vs. Wants

What a Budget Looks Like

Budgeting Tips

Study Skills

Study Skills Overview

Study Skill #1 - Tally your Total Time

Study Skill #2 - Completely Come to Class

Study Skill #3 - Notice and Note the Necessities

Choosing a Major

Choosing a Major Overview

What factors should I consider when choosing a major?

When do I need to choose a major?

What resources can help me decide on a major?

Paying for College

Paying for College Overview

Student Loans

Scholarships & Grants

Savings Bonds

Choosing a College or University

Choosing a College or University Overview

What steps are involved in choosing a college or university?

How many colleges and universities should I consider?

How do I research a college or university?