Preparing Your Child for College -- Cover Page Preparing Your Child For College A Resource Book for Parents 1996-97 Edition U.S. Department of Education Richard W. Riley Secretary Office of the Under Secretary Marshall S. Smith Under Secretary This handbook was written by Elizabeth Eisner, Valentina K. Tikoff, and Daniel Goldenberg, under the direction of Alan Ginsburg and Maureen McLaughlin. Adriana de Kanter, David Goodwin, Mary Clare Gumbleton, Gregory Henschel, Sarah Howes, Dan Morrissey, Nancy Murphy, Terry Peterson, Simeon Stolzberg, Adrienne von Glatz, Susan W. Wolf, and Steven W. Zwillinger also contributed to the project. ED/OUS96 - 6R A Note to Parents American colleges and universities are the "jewels" of education worldwide. The United States boasts a higher education system so excellent that "studying abroad" is an option -- not a necessity -- for students in America. In order to put such educational excellence within reach of your children, you and your family can do a lot to help your students properly prepare -- both academically and financially. First, your child will need to study hard at every level and take the courses in middle school and high school that lay the foundation for succeeding in college-level courses. Second, it is important for you and your child, at every level, to try to put money aside for college and to be well informed about sources of student financial aid for college. This resource book is designed to help you plan ahead -- with your child and your child's teachers and counselors -- to ensure he or she is prepared academically for the rigors of college and to save now and plan financially for the costs of a college education. Because of the growing importance of a college education in today's rapidly changing economy, State governments, colleges, and the U.S. Department of Education (the largest supplier of student financial aid in America) are searching for better ways to provide financial aid to qualified students. For example, just in the past three years, proposals to improve the student college loan program, increase the maximum Pell grant, and create the national service AmeriCorps program have been made by President Clinton and passed by Congress. Still under consideration are proposals to allow a tax deduction for college tuition, increase the availability of work study opportunities to serve one million students annually, and help students and teachers have better access to technology in elementary and secondary classrooms. To better prepare students to meet college requirements, many schools are committing themselves to strengthen their curricula, raise their standards in core subjects, and build local partnerships for better schools. A number of schools, entire communities, and States have begun addressing these challenges. President Clinton has also proposed other education initiatives that have been passed by bipartisan votes in Congress, to give parents, teachers, and principals additional opportunities to upgrade their local schools. The Goals 2000: Educate America Act is a source of funds to start up school improvement plans initiated and implemented by local schools and communities. Also, the Improving America's Schools Act provides resources to schools needing extra help in teaching basic skills and, through its Eisenhower Professional Development Program, can help provide teachers with the training they need to teach to higher standards. The "venture funds" in the School-to-Work Opportunities Act can be used to link high schools, community colleges, and employers to give students new career pathways. We recognize that the American family is the rock on which a solid education can and must be built. Thirty years of research clearly shows that family and community involvement in children's learning is key for getting children on the right path in life. To promote better support for families in education, we have formed the Family Involvement Partnership for Learning, which consists of 250 parent, religious, business, and education organizations dedicated to creating "family-friendly" schools, businesses, and communities. Materials about the Partnership may be of interest to you and are available by calling 1-800-USA-LEARN. Ultimately, the success of our students depends on the commitment of family members like you who are teaming up with other families, teachers, and your child's principal to improve your schools, and are taking the time to work directly with your children in order to help them learn and grow. Thank you for your interest in this book and for your commitment to the education of our Nation's youth. We hope that you find Preparing Your Child for College to be a valuable resource that will make a difference in your child's life. Yours sincerely, Richard W. Riley U.S. Secretary of Education Table of Contents Cover Page A Note to Parents General Questions About College Why attend college? What types of colleges exist? What kinds of jobs are available to college graduates? Preparing for College What can my child do to prepare academically for college? What can my child do outside the classroom to prepare for college? Choosing a College How can my child go about choosing a college? Financing a College Education How much does a college education cost? How can I afford to send my child to college? What are the most common sources of financial aid? Is my child eligible for financial aid? If so, how much? Are there other ways to keep the cost of college down? Long-Range Planning How do I set up a long-range plan? Important Terms What terms do I need to understand? Other Sources of Information Where can I get more information on the topics discussed in this handbook? Exercises and Checklists for You and Your Child Help Your Child Think About a Career Course Planner for Parent and Student College Inquiries College Preparation Checklist for Students Financial Preparation Checklist for Parents Charts Chart 1: Examples of Jobs Requiring College Preparation Chart 2: High School Courses Recommended for College Chart 3: Questions To Ask Guidance Counselors Chart 4: Distribution of Students at Four-Year Colleges by the Amount of Tuition and Fees Charged Chart 5: Typical College Costs Chart 6: Average Tuition and Fees by Type of College, School Year 1995-1996 Chart 7: Amount You Would Need To Save To Have $10,000 Available When Your Child Begins College Chart 8: Examples of Savings Instruments and Investments Chart 9: How Much Need-based Financial Aid Can My Child Get? Chart 10: Military Postsecondary Education Opportunities Why attend college? A college degree can provide your child with many opportunities in life. A college education can mean: Greater Knowledge A college education will increase your child's ability to understand developments in science and in society, to think abstractly and critically, to express thoughts clearly in speech and in writing, and to make wise decisions. These skills are useful both on and off the job. Greater Potential A college education can help increase your child's understanding of the community, the Nation, and the world -- as he or she explores interests, discovers new areas of knowledge, considers lifelong goals, and becomes a responsible citizen. More Job Opportunities The world is changing rapidly. Many jobs rely on new technology and already require more brain power than muscle power. In your child's working life, more and more jobs will require education beyond high school. With a college education, your child will have more jobs from which to choose. More Money A person who attends college generally earns more than a person who does not. For example, in 1994, a person with a college degree from a four-year college earned approximately $12,500 more in that year than a person who did not go to college. Someone with a two-year associate's degree also tends to earn more than a high school graduate. Some of these benefits of college may not be obvious to your child. Even though he or she has to make the final decision to attend college, you can help in the decision-making process by learning about all aspects of college yourself and sharing what you learn with your child. What types of colleges* exist? *Throughout this document, the term "college" is used to refer to all postsecondary institutionsþtechnical colleges, junior colleges, community colleges, other two-year colleges, and four-year colleges and universities. More than half of all recent high school graduates in the United States pursue some type of postsecondary education. In many other countries, a smaller percentage of students go on for more schooling after high school. However, in America, recent surveys show that most parents want their children to get some college education. There is a wide range of higher education options in the United States. For this reason, your child is likely to find a college well-suited to his or her needs. There are two basic types of post-secondary education institutions: Community, Technical, and Junior Colleges Many kinds of colleges offer programs that are less than four years in length. Most of these schools offer education and training programs that are two years in length or shorter. The programs often lead to a license, a certificate, an associate of arts (A.A.) degree, an associate of science (A.S.) degree, or an associate of applied science (A.A.S.) degree. Four-Year Colleges and Universities These schools usually offer a bachelor of arts (B.A.) or bachelor of science (B.S.) degree. Some also offer graduate and professional degrees. Community, Technical, and Junior Colleges Colleges with programs that are less than four years in length are often called community colleges, technical colleges, or junior colleges: Community Colleges: These are public, two-year colleges. They mostly serve people from nearby communities and offer academic courses, technical courses, and continuing education courses. Public institutions are supported by State and local revenues. Technical Colleges: These are generally colleges that have a special emphasis on education and training in technical fields. However, although some technical colleges offer academic courses and programs, not all technical colleges offer two-year programs that lead to an associate of arts or science degree. Technical colleges may be private or public. Junior colleges and community colleges that offer many technical courses are often called "technical colleges." Junior Colleges: These are generally two-year colleges that are private institutions. Some junior colleges are residential and are attended by students who come from other parts of the country. Some programs at two-year colleges lead to an A.S. or A.A. degree in an academic discipline. These academic programs are often comparable to the first two years of a general academic program offered by a four-year college or university. In many cases, two-year degrees can be transferred to four-year schools and credited toward a B.A. or B.S. degree. Many junior and community colleges offer technical/occupational training, as well as academic courses. For example, many cardiovascular technicians, medical laboratory technicians, and computer technicians received their education and training at junior colleges, community colleges, and/or technical colleges. Many junior, community, and technical colleges offer technical programs in cooperation with local businesses, industry, public service agencies, or other organizations. Some of these programs are formally connected to education programs that students start in high school; they are often referred to as "tech-prep" or "school-to-career" programs. [Footnote: These "school-to-career" or "tech-prep" programs often provide students with an opportunity to learn new skills by working for a local employer and by taking high school courses that link with courses offered at local colleges.] Two-year colleges such as community colleges often operate under an "open admissions" policy that can vary from school to school. At some institutions, "open admissions" means that anyone who has a high school diploma or GED certificate can enroll. At other schools, anyone over 18 years of age can enroll or, in some cases, anyone deemed able to benefit from the programs at the schools can enroll. Application requirements at colleges with two-year programs and shorter programs may include a high school transcript -- a list of all the courses your child took and grades earned in four years of high school -- and college entrance examination scores as well. Some schools have programs that allow "open admissions," while other programs in the same school -- particularly in scientific or technical subjects -- may have further admission requirements. Since requirements vary widely, it is important to check into schools and programs individually. Four-Year Colleges and Universities Students who wish to pursue a general academic program usually choose a four-year college or university. Such a program lays the foundation for more advanced studies and professional work. Four-year colleges and universities offer bachelor's degrees (the B.A. and B.S.) in most areas in the arts and sciences, such as English literature, foreign languages, history, economics, political science, biology, zoology, chemistry, and in many other fields. Here are the main differences between four-year colleges and universities: Four-Year Colleges: These are post-secondary schools that provide four-year educational programs in the arts and sciences. These colleges confer bachelor's degrees. Universities: These are postsecondary schools that include a college of arts and/or sciences, one or more programs of graduate studies, and one or more professional schools. Universities confer bachelor's degrees and graduate and professional degrees. When a student earns a bachelor's degree it means that he or she has passed examinations in a broad range of courses and has studied one or two subject areas in greater depth. (These one or two subject areas are called a student's "major" area(s) of study or area(s) of "concentration.") A bachelor's degree is usually required before a student can begin studying for a graduate degree. A graduate degree is usually earned through two or more years of advanced studies beyond four years of college. This might be a master's or a doctoral degree in a particular field or a specialized degree required in certain professions such as law, social work, architecture, or medicine. What kinds of jobs are available to college graduates? Certificates and degrees earned by graduates of two-and four-year colleges or universities usually lead to different kinds of professional opportunities. Many professions require graduate degrees beyond the traditional four-year degree, such as a medical degree or a law degree. For example: A course of study in bookkeeping at a community college generally prepares a student for a job as a bookkeeper. A four-year degree in economics may prepare a student for any one of several jobs in a bank or a business. A four-year degree in English may serve as background for getting teacher certification in the subject or for being an editor with a magazine. In Chart 1 below there is a partial listing of different occupations and the educational background generally required or recommended for each. Some people who go on to acquire jobs in the four-year-college column obtain a graduate degree or some graduate education, but many of these jobs can be filled by people who do not have more than a four-year college education. For more information on the educational requirements of specific jobs, contact a guidance counselor or check the Occupational Outlook Handbook in your library. (See the last section of this handbook for information on this book and other publications that discuss jobs.) Chart 1 Examples of Jobs Requiring College Preparation Two-Year College (Associate's Degree) Surveyor Registered Nurse Dental Hygienist Medical Laboratory Technician Computer Technician Commercial Artist Hotel/Restaurant Manager Funeral Director Drafter Engineering Technician Automotive Mechanic Administrative Assistant Cardiovascular Technician Medical Record Technician Surgical Technologist Water and Wastewater Treatment Plant Operator Heating, Air-Conditioning, and Refrigeration Technician Four-Year College (Bachelor's Degree) Teacher Accountant FBI Agent Engineer Journalist Diplomat Insurance Agent Pharmacist Computer Systems Analyst Dietitian Writer Editor Graphic Designer Social Worker Recreational Therapist Public Relations Specialist Visual Artist Research Assistant Investment Banker Medical Illustrator More Than Four Years of College -- (Various Graduate Degrees Required) Lawyer Doctor Architect Scientist University Professor Economist Psychologist Sociologist Dentist Veterinarian Public Policy Analyst Geologist Paleontologist Zoologist Management Consultant Rabbi Priest Chiropractor Biologist EXERCISE Help Your Child Think About a Career Step 1: Using the form below, sit down with your child and make a list of jobs that sound interesting. It may help to first think about friends or people you've read about or have seen on television who have interesting jobs. List those jobs in the left-hand column. If your child cannot think of interesting jobs, have him or her list subject areas of interest. Then try to help your child identify jobs in those subject areas. Depending on the job, there may be courses in middle school or high school that will give your child a preview of the type of knowledge that is needed for the particular job. In the right-hand "Education" column, write down the level of education required for the job and any high school or college courses that may help your child prepare for such a career. Step 2: Take the form to your local library and, with the help of a reference librarian, locate books on some of the careers your child has selected. Libraries usually have directories that list career requirements. It is not a problem if your child does not know what career path he or she wants to follow; his or her focus during these years should be on doing well in school. Careers of Interest and the Education They Require |-----------------------------------------------------------------| | Career or Job Education | | | |------------------------------|----------------------------------| | 1. | High School: | | |----------------------------------| | | | | |----------------------------------| | | College: | | |----------------------------------| | | | |------------------------------|----------------------------------| | 2. | High School: | | |----------------------------------| | | | | |----------------------------------| | | College: | | |----------------------------------| | | | |------------------------------|----------------------------------| | 3. | High School: | | |----------------------------------| | | | | |----------------------------------| | | College: | | |----------------------------------| | | | |------------------------------|----------------------------------| | 4. | High School: | | |----------------------------------| | | | | |----------------------------------| | | College: | | |----------------------------------| | | | |------------------------------|----------------------------------| | 5. | High School: | | |----------------------------------| | | | | |----------------------------------| | | College: | | |----------------------------------| | | | |------------------------------|----------------------------------| | 6. | High School: | | |----------------------------------| | | | | |----------------------------------| | | College: | | |----------------------------------| | | | |------------------------------|----------------------------------| What can my child do to prepare academically for college? Take Courses Recommended for College-Bound Students To prepare for college, there is no substitute for your child getting a solid and broad academic education. This means your child should take challenging courses in academic subjects and maintain good grades in high school. Your child's transcript will be an important part of his or her college application. A college education builds on the knowledge and skills acquired in earlier years. It is best for your child to start planning a high school course schedule early, in the seventh or eighth grade. Students who don't plan ahead may have difficulty completing all the required or recommended courses that will help them qualify for college. Most selective colleges (those with the highest admissions requirements) prefer to admit students who have taken courses in certain subject areas. For example, many colleges prefer that high school students take at least geometry and trigonometry, rather than only general math and algebra. Basic computer skills are now essential, and some colleges prefer three or four years of a foreign language. Your child's guidance counselor can help your child determine the high school courses required or preferred by different types of colleges. If your child is interested in specific colleges, he or she can contact those schools and ask about their admissions requirements. Many high schools offer Advanced Placement (AP) courses and exams. AP courses are college-level courses in approximately 16 different subjects; they help students prepare for college-level work while they are still in high school. Students who take AP courses are often more prepared for the academic challenges presented in college. In addition, a student who takes an AP course, and who scores a grade of 3 or higher on an AP exam, can often receive advanced placement in college and/or credit for a college course. [Footnote: This can result in significant cost savings. However, not all colleges and universities give credit or advanced placement for earning a grade of 3 or higher on an AP exam. Write to the admissions office of the colleges that are of interest to your child to find out if they give credit for an AP exam grade of 3 or higher. Ask to obtain the college's AP policy in writing, or look for a discussion of the policy in the institution's catalog.] Talk to one of your child's teachers, your child's guidance counselor, or the principal of your child's school to find out if AP courses are offered at your child's high school. Chart 2 (below) lists the high school courses that many higher education associations and guidance counselors recommend for a college-bound student. These courses are especially recommended for students who want to attend a four-year college. Even if your child is interested in attending a junior college, community college, or technical college, he or she should take most of these courses since they provide the preparation necessary for all kinds of postsecondary education. (In addition, many students who attend two-year colleges go on to earn a B.A. or B.S. degree at a four-year college or university.) CHART 2 High School Courses Recommended for College Although academic requirements differ across colleges, the admissions requirements listed below are typical of four-year colleges. The specific classes listed here are examples of the types of courses students can take. English þ 4 years Types of classes: composition American literature English literature world literature Mathematics þ 3 to 4 years Types of classes: algebra I algebra II geometry trigonometry precalculus calculus History & Geography þ 2 to 3 years Types of classes: geography U.S. history U.S. government world history world cultures civics Laboratory Science þ 2 to 3 years Types of classes: biology earth science chemistry physics Foreign Language þ 2 to 3 years Types of classes: French German Spanish Latin Russian Japanese Visual & Performing Arts þ 1 year Types of classes: art dance drama music Appropriate Electives þ 1 to 3 years Types of classes: economics psychology statistics computer science communications Traditional English courses such as American and English literature will help students improve their writing skills, reading comprehension, and vocabulary. History and geography will help your child better understand our society as well as societies around the world. Mathematical and scientific concepts and skills learned in math classes are used in many disciplines outside of these courses. A recent study showed that students who take algebra and geometry in high school are much more likely to go on to college than students who do not. Research also indicates that students who take courses in the arts disciplines and who participate in the arts (performing arts and visual arts) often do better in school and on standardized tests. The arts help students to learn; they often give students a richer understanding of history, science, literature, and math. Thirty States require students to take some art course(s) (visual or performing) before graduating from high school; six State university systems require students to take at least one unit of art (visual or performing) at the high school level before gaining admission to the university. Many college admissions staff view participation in the arts as a valuable experience that broadens students' understanding and appreciation of the world around them. Things You and Your Child Can Do To Prepare For a Technical Program at a Community, Junior, or Technical College If your child is interested in pursuing a technical program in a community, junior, or technical college, he or she may want to supplement or substitute some of the courses listed in the chart with some vocational or technical courses in his or her field of interest. [Footnote: However, your child should at least take the suggested courses in the core areas of English, math, science, history, and geography.] Look especially for more advanced technology courses in the junior and senior years of high school. Talking to an administrator or professor from a community, junior, or technical college is a good way to find out about the best high school courses to take in order to prepare for a specific technical program offered at that college. The dean of a particular technical program will also be able to tell you about the entry requirements for the program. You may want to ask educators at a local college (or staff at your child's school) about educational programs that have formal connections between the high school and the local college. There are many career-focused programs that are offered by a network of high schools, local colleges, and, sometimes, local employers. Many of these programs are known as "tech-prep," "2+2," or "school-to-career" programs. The high school course work in these programs is formally linked to the course work offered at the local colleges. In this way, the high school material better prepares students for the college-level work. It also starts the student on a clear path toward a college degree. "Tech-prep" and "2+2" programs often refer to educational programs offered by networks of school districts and colleges. Such programs offer students career "pathways" that link their high school classes to advanced technical education in colleges or apprenticeship programs. These programs are often called "2+2" programs because they span the last two years of high school and the first two years of college. Thus, they are four-year programs. These programs emphasize applied learning -- the teaching of academic material through hands-on experience. In addition, students in "tech-prep" and "2+2" programs receive extensive academic and career guidance from counselors and teachers. "School-to-career" or "school-to-work" are the terms that often refer to career-focused programs that have many of the same elements as "tech-prep" and "2+2" programs. In addition, "school-to-career" programs also provide students with the opportunity to learn in a real work setting. Students have the opportunity to spend time at a local worksite where they can apply their skills and acquire new ones. You can learn more about career-focused education programs by talking to educators in your community and by contacting the organizations listed in the Information About "School-to-Career" and "Tech-Prep" Programs section. Although academic requirements differ across colleges, the admissions requirements listed below are typical of four-year colleges. The specific classes listed here are examples of the types of courses students can take. Make Sure That All Courses Meet High Standards It is not only important for your child to enroll in the courses recommended for college-bound students; it is also essential that the material taught in those courses reflect high academic standards and high expectations for what students should know and be able to do. Research indicates that high expectations and high standards improve achievement and positively influence student learning. Efforts are under way in states and communities across the country to answer the question: "What is it that our children ought to know and be able to do . . . to participate fully in today's and tomorrow's economy?" Many states and local communities have been developing or revising their standards (sometimes called "curriculum frameworks") in core subject areas such as math, science, English, history, geography, foreign languages, civics, and the arts. These standards help provide parents with answers to questions such as: "Is my child learning?" "What is it that my child should know by the end of each grade?" Many school districts are not waiting for their states to complete standards. In many local communities, groups of citizens -- parents, teachers, administrators, business leaders, clergy, representatives from colleges, curriculum experts, and other community members -- are working together to develop or revise standards. In creating their own standards, many States and local communities are drawing on model voluntary standards developed by national professional associations. In order to make sure that the curriculum in your child's school meets high academic standards, call your child's school to find out if State or local standards are being developed. Ask how you can get involved in the standard-setting process. Join with other parents, teachers, and your child's principal and compare your school's standards against the best schools and the best State standards. You can also learn about the voluntary standards developed by national professional associations by contacting the professional organizations listed in the back of the book. Take the Standardized Tests That Many Colleges Require Many of the courses recommended for college-bound students (such as geometry and rigorous English courses) are also essential preparation for the college entrance examinations -- the SAT I (Scholastic Assessment Test) or the ACT Assessment. The SAT I measures verbal and mathematical reasoning abilities. The ACT Assessment measures English, mathematics, reading, and science reasoning abilities. Students applying to colleges in the East and West usually take the SAT I exam. Students applying to schools in the South and Midwest often take the ACT. (However, students should check the admission requirements at each school to which they are applying.) Usually, the tests are offered in the junior and senior years of high school and can be taken more than once if a student wishes to try to improve his or her score. Students can get books at libraries or bookstores to help them to prepare for all of the tests. Some of these books are listed at the back of this resource book. In addition, some private organizations and companies offer courses that help students prepare for these exams. Many schools offer the Preliminary Scholastic Assessment Test/National Merit Scholarship Qualifying Test (PSAT/NMSQT) to their students. This practice test helps students prepare for the Scholastic Assessment Test (SAT I). The PSAT is usually administered to tenth or eleventh grade students. A student who does very well on this test and who meets many other academic performance criteria may qualify for the National Merit Scholarship Program. You and your child can find out more about the PSAT/NMSQT and the National Merit Scholarship Program by talking to your child's guidance counselor or by calling or writing to the number or address provided in the back of this handbook. Some colleges also require that an applicant take one or more SAT II Subject Tests in major areas of study. It is a good idea for a student to consult a guidance counselor about this early in high school; often the best time to take an SAT II Test is right after the student has taken a course in that subject. For example, many students take the Biology SAT II Test right after they have completed a course in biology. This could mean that your child would take his or her first SAT II Test as a freshman or sophomore in high school. At the back of this handbook, in the section that lists places where you can get additional information, you will find the address and phone number where you can write or call for more information about the SAT I and the SAT II Tests. You will also find the address and phone number for the organization that administers the ACT. Knowing what will be required for college is important; by taking the right courses and examinations from the beginning of high school, your child may avoid admission problems later on. In addition, students who do not prepare well enough academically in high school, if admitted to college, may be required to take remedial courses. Most colleges do not offer credit for these courses, and students may have to pay for these extra courses and spend extra time in college to earn their degrees. Chart 3 lists some questions that you or your child may want to ask your child's guidance counselor. CHART 3 Questions To Ask Guidance Counselors What basic academic courses do they recommend for students who want to go to college? How many years of each academic subject does the high school require for graduation? What elective courses do they recommend for college-bound students? How does a student go about completing recommended courses before graduating from high school? Can students who are considering college get special help or tutoring? What activities can students do at home and over the summers to strengthen their preparation for college? How much homework is expected of students preparing for college? What kinds of high school grades do different colleges require? EXERCISE Course Planner for Parent and Student This exercise will give you and your child a chance to look ahead and choose future courses, but be aware that some courses must be taken in sequence. On the form below, list your child's current courses or courses he or she will take this year. Then list courses that he or she will take during each year of high school. If you are not sure what courses your child should take, you should make an appointment with your child's guidance counselor and get some advice. |----------------------|--------------------|---------------------| | | This Year:___Grade| Next Year:___Grade | |----------------------|---------|----------|----------|----------| | | Fall | Spring | Fall | Spring | | |Semester | Semester | Semester | Semester | |----------------------|---------|----------|----------|----------| |English | | | | | |----------------------|---------|----------|----------|----------| |Full course title: | | | | | | | | | | | | | | | | | |----------------------|---------|----------|----------|----------| |Mathematics | | | | | |----------------------|---------|----------|----------|----------| |Full course title: | | | | | | | | | | | | | | | | | |----------------------|---------|----------|----------|----------| |History/Social Studies| | | | | |----------------------|---------|----------|----------|----------| |Full course title: | | | | | | | | | | | | | | | | | |----------------------|---------|----------|----------|----------| |Science | | | | | |----------------------|---------|----------|----------|----------| |Full course title: | | | | | | | | | | | | | | | | | |----------------------|---------|----------|----------|----------| |Foreign Language | | | | | |----------------------|---------|----------|----------|----------| |Full course title: | | | | | | | | | | | | | | | | | |----------------------|---------|----------|----------|----------| |Other | | | | | |----------------------|---------|----------|----------|----------| |Full course title: | | | | | | | | | | | | | | | | | |----------------------|---------|----------|----------|----------| What can my child do outside the classroom to prepare for college? Interpersonal and leadership skills, interests and goals are all important for college preparation. Independent reading and study, extracurricular activities, and work experience will all help your child develop his or her skills, interests, and goals. Independent Reading and Study Independent reading and study will help your child to prepare academically for college. This is a good way to develop interests, expand knowledge, and improve the vocabulary and reading comprehension skills needed for college and the SAT I or ACT. Encourage your child to read all kinds of books for fun -- fiction and non-fiction. The school library and the local public library are good sources of books, magazines, and newspapers. Creating a Good Place To Study Your child needs a quiet and comfortable place to study. Here are a few things that you can do: Help him or her find a quiet place with some privacy. Set up a desk or large table with good light and place reference books such as a dictionary on the desk or nearby. Make sure your child studies there on a regular basis. Extracurricular Activities Many school, community, and religious organizations enable high school students to explore their interests and talents by providing activities outside the classroom. Colleges are often interested in a student's extracurricular activities such as school clubs, the student newspaper, athletics, musical activities, arts, drama, and volunteer work, especially if a student has excelled in one or more of these areas. Work Experience and Community Service Work experience -- paid or volunteer -- can teach students discipline, responsibility, reliability, teamwork, and other skills. Some students participate in community service activities such as tutoring elementary school children or volunteering in a local hospital. Such activities make valuable contributions to society and also help students to identify their career interests and goals, gain workplace skills, and apply classroom learning to real-world problem solving. Many colleges view community service as a valuable experience that enhances a student's college application. Some schools offer academic credit for volunteer work through "service-learning." This is a teaching method that integrates hands-on learning (through service to the community) into the school curriculum. To find out if your child's school offers "service-learning," talk to your child's teacher, guidance counselor, or school principal. For information on how to start a "service-learning" program, contact the Learn and Serve America Clearinghouse at 1-800-808-SERVE. A summer job is also a good way to gain experience and earn money for college as well. If your child works during the school year, he or she should not work so many hours that the job interferes with school work. How can my child go about choosing a college? Colleges are located in big cities, suburbs, and small towns throughout the country. Some enroll tens of thousands of students; others enroll only a few hundred. Some are public; others are private. Some private institutions are affiliated with religious institutions; others are not. Some schools enroll only women, others only men. The type of institution best suited to your child depends on his or her individual needs and talents. Your child can begin focusing on the choice of a college by considering the following questions: Why do I want to go to college? What do I hope to achieve in college? Do I have some idea of what I want to study or for which job I want to prepare? Do I want to live at home or go away to school? Do I prefer an urban or suburban environment? Would I be happier in a small college or at a large university? In order to choose a college, you and your child should ask the following questions about the nature and quality of the schools in which your child has an interest. (Ask these questions when you meet staff in the admissions office of the colleges. You may also find answers to these questions in the colleges' catalogs or in reference books on colleges.) The Nature of the Education Offered What is the philosophy of the particular college, and what kinds of educational programs does this college offer? Ask about the college's specialties, which types of classes the school offers, and in which fields students can earn a degree or certificate. How many students study in each area, and what do they do when they graduate? How long does it take to earn a certificate or degree at this college? Students should know how much time it takes to complete a program before they enroll in it. Programs can last anywhere from a few months to several years. Also ask whether the time involved reflects full-time or part-time attendance. What do students do when they graduate from this school? Do they get jobs in the areas for which they were trained? Do they pursue further education? Job placement rates are particularly important for vocational programs. If a very low percentage of students are employed in their area of training a year after completing the program, there may be a problem. It can also be useful to ask about beginning salaries of program graduates and the institution's career advising and placement services for its students. Students who enroll in two-year colleges with plans to transfer to four-year colleges should inquire about the possibility of doing so and about the number of graduates who transfer each year. Students applying to four-year colleges may want to know how many graduates go on to graduate or professional education. The Quality of the College How many students who start at this school earn a certificate or degree? How many drop out? A high drop-out rate may suggest that students are dissatisfied with the education an institution provides. Be particularly careful about having your child enroll in a school that graduates a very low percentage of its students. Also ask about tuition refund policies for students who drop out in the first weeks of an educational program. What is the loan default rate at this college? Do students repay their student loans? The default rate is the percentage of students who took out student loans to help pay their expenses but did not repay them properly. A high default rate may suggest that students who borrowed never completed their educational program, or that they were unable to find jobs and repay the loans when they graduated. Colleges with consistently high default rates may be barred from student loan programs, and students attending these institutions may thus be ineligible for Federal loans. Have other students who have gone to this college liked it? What has their experience been? Colleges should be able to refer you to current students or recent graduates of their programs. These individuals can give you their opinion about classes, facilities, the faculty (teachers), and the skills they have learned. What kinds of facilities does this college have? Are they adequate for my child's needs? You and your child should consider the condition of classrooms, libraries, and dormitories when choosing a college. The types of facilities appropriate for a college depend on the type of education provided. For example, a college offering classes in the sciences should have modern laboratories, and an institution that offers computer education classes should have adequate computer facilities. Admissions Requirements and Financial Aid What admissions requirements does this college have? Each institution can require students to take certain high school classes and submit certain items with their applications. Make sure you know what is required by the schools that interest your child. Is this college accredited by an agency recognized by the Secretary of Education and eligible to participate in Federal student aid programs? Federal financial aid is available only to students attending eligible institutions. Students attending other institutions cannot receive Federal financial aid. If you are interested in having your child apply for Federal financial aid, be wary of unaccredited institutions and those with high default rates. You can call the Federal Student Financial Aid Information Center toll-free to find out if a particular college is an eligible institution. The number is 1-800-4FED-AID. EXERCISE College Inquiries Using the form below, help your child list the colleges he or she knows about and might be interested in attending. Write down whether they are two-year or four-year colleges or universities. Ask your child why these schools are appealing to him or her. You and your child may want to contact the colleges to get more information. |-----------------------------------------------------------------| | | | College Inquiries | | | |-----------------------------------------------------------------| |-------|---------|----------|--------------|---------|-----------| | | | | | Date | | | | | | |Contacted| | | | | | | and | | | | | | | Phone | | | | | Two-Year| | Number | Date | | | | or | | or | Received | |College| Location| Four-Year| Why Appealing| Address |Information| |-------|---------|----------|--------------|---------|-----------| |-------|---------|----------|--------------|---------|-----------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |-------|---------|----------|--------------|---------|-----------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |-------|---------|----------|--------------|---------|-----------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |-------|---------|----------|--------------|---------|-----------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |-------|---------|----------|--------------|---------|-----------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |-------|---------|----------|--------------|---------|-----------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |-------|---------|----------|--------------|---------|-----------| How much does a college education cost? Many people overestimate the cost of college or believe that all schools are expensive. For example, a recent Gallup survey indicated that 13-to 21-year-olds overestimated the average cost of public two-and four-year colleges by more than three times the actual figure. The same group estimated that the costs of private four-year colleges were one-third higher than they actually were. Although some colleges are expensive, costs vary from institution to institution. In addition, the availability of financial aid -- money available from various sources to help students pay for college -- can make even an expensive college affordable for a qualified student. College Costs The basic costs of college are tuition, fees, and other expenses: Tuition Tuition is the amount of money that colleges charge for instruction and for the use of some facilities, such as libraries. Tuition can range from a few hundred dollars per year to more than $20,000. The least costly option for postsecondary education is typically a local community college where the average tuition and fees are generally under $1,500 per year. There are also many four-year colleges and universities that are relatively inexpensive. For example, Chart 4 shows that a little less than half of the students who attend four-year colleges go to institutions that charge less than $3,000 in tuition and fees. This occurs because about 68 percent of the students who attend four-year colleges attend public institutions whose tuitions are much lower than those of private institutions. Fees Fees are charges (usually small) that cover costs generally not associated with the student's course load, such as costs of some athletic activities, student activities, clubs, and special events. Other Expenses Besides tuition and fees, students at most colleges and universities pay for room, board, books, supplies, transportation, and other miscellaneous costs. "Room and board" refers to the cost of housing and food. Typical college costs are listed in Chart 5 below. CHART 5 Typical College Costs Tuition Books Fees Supplies Room Transportation Board Miscellaneous Expenses Tuition at Public and Private Colleges It is important to know the difference between public and private institutions. A school's private or public status has a lot to do with its tuition. Public Institutions Over three-quarters of all students in two-and four-year colleges attend State or other public colleges. Since these schools receive a large proportion of their budgets from State or local government, they can charge students who live in that State (in-State students) relatively low tuition. Students from other States (out-of-State students) usually pay higher tuition. In 1995-96, in-State students attending public four-year colleges faced an average tuition and fees of $2,860 per year. In-State students at public two-year colleges faced an average tuition and fees of $1,387 per year in 1995-96. Tuition and fees for out-of-State or out-of-district students at public institutions averaged $2,775 and $4,508 at two-year and four-year colleges, respectively. If the costs of room, board, books, supplies, transportation, and other personal expenses are added to tuition and fees, the average total cost of attending a public four-year college was $9,285 in 1995-96. Since many students who attend two-year public schools live at home, the average total cost of attending a two-year public college in 1995-96 was $5,752. This includes the cost of tuition, fees, books, supplies, transportation, and other personal expenses for a commuter student. Private Institutions Private (sometimes called "independent") institutions charge the same tuition for both in-State and out-of-State students. Private college tuitions tend to be higher than those of public colleges because private schools receive less financial support from States and local governments. Most private colleges are "non-profit." Other private postsecondary schools -- mostly vocational and trade schools -- are "proprietary." Such institutions are legally permitted to make a profit. Students at private colleges in 1995-96 faced an average tuition and fees of $12,432 per year at four-year colleges and $6,350 per year at two-year non-profit colleges. If the costs of room, board, books, supplies, transportation, and other personal expenses are added to tuition and fees, the average total cost of attending a private four-year college was $19,762 in 1995-96. If these same kinds of costs are added to the tuition and fees of a two-year private college, the average total cost of attending such a school was $12,710 in 1995-96. Chart 6 below shows the average tuition and fees faced by students at four different kinds of colleges in school year 1995- 96. Future College Costs By the time your child is ready to attend college, the tuition, fees, and costs of room, board, and other expenses will be larger than the amounts discussed in this handbook. Because there are many factors that affect the costs of a college education, it is impossible to know exactly how much colleges will charge when your child is ready to enroll. Be cautious when people tell you a particular amount; no one can be sure how much costs will change over time. In addition, as college costs increase, the amount of money you earn, and thus the amount you will have available to pay for college, will also rise. How can I afford to send my child to college? Saving money in advance and obtaining financial aid are common ways for parents to make their child's education affordable. Other ways of making college affordable, such as attending college part time, will be discussed later in this handbook. (See the section Are there other ways to keep the cost of college down?) Saving Money Saving money is the primary way to prepare for the costs of college. Setting aside a certain amount every month or each payday will help build up a fund for college. If you and your child begin saving early, the amount you have to set aside each month will be smaller. In order to set up a savings schedule, you'll need to think about where your child might attend college, how much that type of college might cost, and how much you can afford to save. Keep in mind that colleges of the same type have a range of costs and your child may be able to attend one that is less expensive. You can also pay part of the costs from your earnings while your child is attending school. In addition, your child may also be able to meet some of the costs of college by working during the school year or during the summer. Finally, some Federal, State, or other student financial aid may be available, including loans to you and to your child. You will also want to think about what kind of savings instrument to use or what kind of investment to make. By putting your money in some kind of savings instrument or investment, you can set aside small amounts of money regularly and the money will earn interest or dividends. Interest refers to the amount that your money earns when it is kept in a savings instrument. Dividends are payments of part of a company's earnings to people who hold stock in the company. A savings instrument has an "interest rate" associated with it; this refers to the rate at which the money in the instrument increases over a certain period of time. Principal refers to the face value or the amount of money you place in the savings instrument on which the interest is earned. Chart 7 shows how much you would need to save each month in order to have $10,000 available when your child begins college. As the chart demonstrates, the amount varies depending on the interest rate you obtain and the number of years that you save. The higher the interest rate and the earlier you begin to save, the less you need to set aside each month. For example, if you start saving when your child is born, you will have 18 years to save. As shown on the chart, each month you will only have to deposit $32 in an account earning 4 percent interest in order to save $10,099 by the time your child is 18. However, if you use the same savings instrument but do not start to save until your child is 16, you will have to save $401 each month. In addition, if you use the instrument with the higher interest rate -- 8 percent -- you will only have to put away $21 each month starting when your child is born. Remember, by starting to save early and by using instruments with higher interest rates, you can put aside smaller amounts. If you wait until later to start saving, you may not be able to afford to put away the larger amounts of money needed to meet your savings goals. CHART 7 Amount You Would Need To Save To Have $10,000 Available When Your Child Begins College Amount Available when Child Begins College If you start | Number ------------------------------------------ saving when | of years | Monthly | | Interest | Total your child is | of saving | savings | Principal | earned | savings --------------|-----------|----------|-------------|------------|----------- | (Assuming a 4 percent interest rate.) | Newborn | 18 | $32 | $6,912 | $3,187 | $10,099 Age 4 | 14 | 45 | 7,560 | 2,552 | 10,112 Age 8 | 10 | 68 | 8,160 | 1,853 | 10,013 Age 12 | 6 | 124 | 8,928 | 1,144 | 10,072 Age 16 | 2 | 401 | 9,624 | 378 | 10,002 ---------------------------------------------------------------------------- (Assuming an 8 percent interest rate.) Newborn | 18 | $21 | $4,536 | $5,546 | $10,082 Age 4 | 14 | 33 | 5,544 | 4,621 | 10,165 Age 8 | 10 | 55 | 6,660 | 3,462 | 10,062 Age 12 | 6 | 109 | 7,848 | 2,183 | 10,031 Age 16 | 2 | 386 | 9,264 | 746 | 10,010 ---------------------------------------------------------------------------- When deciding which type of savings instrument or investment is right for you and your family, you should consider four features: Risk: The danger that the money you set aside could be worth less in the future. Return: The amount of money you earn on the savings instrument or investment through interest or dividends. Liquidity: How quickly you can gain access to the money in the instrument or investment. Time Frame: The number of years you will need to save or invest. When you select one or more savings instruments or investments, you should balance these factors by minimizing the risk while maximizing the return on your money. You will also want to be sure that you will be able to access the money at the time you need to pay for your child's education. If you start early enough, you may feel confident about making some long-term investments. Some investments are riskier than others but can help you earn more money over time. Chart 8 lists some of the major kinds of savings instruments and investments that you may want to use. You can get more information on these and other savings instruments at local banks and at your neighborhood library. Don't forget that you won't necessarily have to save for the entire cost of college. The following section tells about student financial aid for which you and your child might qualify and other ways to keep college costs down. Chart 8 Examples of Savings Instruments and Investments SAVINGS INSTRUMENTS Savings Accounts Definition: Accounts at a bank, savings and loan, or credit union. Risk: Low risk because the Federal Government guarantees your money up to $100,000. Return: The interest rate on most savings accounts tends to be relatively low. Liquidity: High liquidity--you can withdraw your money at anytime. Time Frame: Good for shorter time periods--3 years or less. Certificates of Deposit (CDs) Definition: CDs are notes issued by banks that guarantee payment of a fixed interest rate until a future date (the maturity date). Risk: Low risk because CDs of $100,000 or less are insured by the Federal Govemment. Return: Interest rates are generally higher than the rates for savings accounts but lower than the rates for longer term or riskier investments. Liquidity: Relatively low--if you withdraw the money before the maturity date, you pay a financial penalty. Time Frame: Good for medium time frames--anywhere from 6 months to 5 years. Money Market Accounts/Money Market Mutual Funds Definition: Money market accounts are savings accounts offered by banks, requiring a high minimum balance. Money market mutual funds are available from brokers, many banks, and directly by mail. The money that you deposit in these funds is invested in a wide variety of savings instruments. Risk: Bank money market accounts have no risk on the first $100,000 because the government insures up to this amount. Money market mutual funds are not guaranteed by the government, but the bank or brokers usually invest the funds in very safe short-term instruments that have the highest credit ratings. Return: The interest rate for bank money market accounts is generally somewhat higher than for regular savings accounts. Rates on money market mutual funds are often somewhat higher than for bank money market accounts. Liquidity: High liquidity--you may withdraw your funds at any time. However, money market mutual funds do not have to send you a check for up to 3 days. Time Frame: Money market instruments are best for short-term savings goals. However, because of their great safety and liquidity, many people keep a portion of their total college savings in these types of accounts. U.S. Savings Bonds* Definition: U.S. (EE) savings bonds are promises by the U.S. Treasury to repay the owner with interest when the bond is redeemed. Bonds earn interest for as long as 30 years. Bonds earn market-based rates right from the start. They can be purchased from banks and through employer payroll deduction plans in amounts 24 as little as $50. Risk: Savings bonds are completely risk-free since they are Federal Government obligations. Return: The interest rate on a savings bond is usually higher than rates on savings accounts or money market mutual funds. However, if the bonds are cashed in (redeemed) before 5 years they may pay a lower rate of interest. Liquidity: Savings bonds are highly liquid and can be cashed in at any bank in the U.S., not just the bank where you bought them. Time Frame: Good for medium and longer term savings. Although they can be cashed in any time, the maximum interest is obtained by holding them longer. * If you buy Series EE bonds to pay for your child’s education, the money accumulated will be exempt from State and local taxes when you cash them in if the bonds are in the parent's name and if you are a single income tax filer and your income is below $42,300 or a joint filer and your joint income is below $63,450. The U.S. Treasury publishes a brochure about savings bonds -- see the address and phone number in the back of this handbook. INVESTMENTS Mutual Funds Definition: These funds can be invested in U.S. Government securities or in stocks and bonds. You can purchase a mutual fund through an investment firm, brokerage house, many banks or directly by mail. Risk: Risk varies widely depending on the objectives and policies of the fund. Funds are not federally insured, but your money is generally safer in a mutual fund than in a few individual common stocks because a mutual fund invests in many different stocks and bonds and thus spreads the risk over many different investments. Return: The return on a mutual fund depends on whether the fund makes good investments. Liquidity: Very liquid--you can sell the fund at any time. However, the amount of money you can get for the fund depends on its value, and the value changes regularly depending on conditions in the stock and bond markets. Time Frame: Good for longer term investing--5 years or more. Individual Corporate Bonds or Stocks Definition: A bond is a promise by a corporation to repay the face value of the bond, plus a fixed rate of interest, at a specific future date. Stock represents part ownership of a company. You make money on stocks either through the dividends you earn or by selling the stock at a price that is higher than the price for which you bought it. The prices of most stocks--and many bonds--are listed in major daily newspapers. Over longer periods, the price of the stock may increase or decrease. Stocks and bonds can be purchased from brokerage houses and through some banks. Risk: The stocks and bonds of good companies can be quite safe over longer time periods. However, these investments are not guaranteed by the Federal Government or anyone else. Furthermore, there are many companies that are very risky for a person to invest in. An additional risk--even for good companies--is that prices of their stocks will fluctuate widely and that an investor will have to sell at a loss. This is risky for a parent who may need to sell the stock to pay for college tuition at a time when the price of the stock is relatively low. Return: Interest rates on bonds vary depending on the type of bond and its rating. Generally, returns are higher than on savings accounts, CDs and U.S. Savings Bonds. The return on individual stocks can be very high depending on the dividends the company pays and the increase in the price of the stock. However, returns can also be low or negative if the price of the stock falls between the time you bought the stock and the time you sell it. Liquidity: Most types of corporate and all types of government bonds are highly liquid. They can be sold through a broker on any weekday that markets are open. However, some bonds can only be sold when buyers make offers. Most individual stocks can be sold almost any day; however, there an some exceptions. With both stocks and bonds, you may have to wait for up to 3 days from the date of sale for the broker to send you the proceeds. Time Frame: Short-term bonds are good for time periods of 1-3 years. All other bonds and common stocks should be considered as longer term investments good for periods of 5-18 years. U.S. Treasury Securities (Treasury Bills, Notes, or Bonds) Definition: The Treasury Department and Federal agencies issue different types of fixed-income investments such a short-term bills (13-, 26-, 52-week bills), medium-term notes (2-10 years), and long-term bonds (over 10 years). These securities can be purchased directly from regional Federal Reserve banks, through regular banks, and through brokers. Because there are relatively large minimum purchase amounts some people prefer to invest instead in mutual funds that invest only in U.S. Government securities. Risk: These securities have no risk since they are backed by the Federal Government. Return: Interest rates on government securities vary with the maturity of the issue. As with other fixed-income investments, short-term issues generally have lower interest rates than longer term issues. All government securities have interest rates that are lower than corporate securities with the same maturity because the government securities are considered safer. Liquidity: Government securities are highly liquid and can be sold through brokers on any day the financial markets are open. Time Frame: Government securities have a wide variety of maturities and can, therefore, be tailored to any time frame needed by families saving for college. Financial Aid Financial aid can help many families meet college costs. Every year millions of students apply for and receive financial aid. In fact, almost one-half of all students who go on for more education after high school receive financial aid of some kind. In school year 1994-95, postsecondary students received about $47 billion in financial aid. There are three main types of financial assistance available to qualified students at the college level: Grants and Scholarships; Loans; and Work-Study. Grants and Scholarships Grants and scholarships provide aid that does not have to be repaid. However, some require that recipients maintain certain grade levels or take certain courses. Loans Loans are another type of financial aid and are available to both students and parents. Like a car loan or a mortgage for a house, an education loan must eventually be repaid. Often, payments do not begin until the student finishes school, and the interest rate on education loans is commonly lower than for other types of loans. For students with no established credit record, it is usually easier to get student loans than other kinds of loans. There are many different kinds of education loans. Before taking out any loan, be sure to ask the following kinds of questions: What are the exact provisions of the loan? What is the interest rate? Exactly how much has to be paid in interest? What will the monthly payments be? When will the monthly payments begin? How long will the monthly payments last? What happens if you miss one of the monthly payments? Is there a grace period for paying back the loan? In all cases, a loan taken to pay for a college education must be repaid, whether or not a student finishes school or gets a job after graduation. Failure to repay a student loan can ruin a person's credit rating and make finances much more difficult in the future. This is an important reason to consider a college's graduation and job placement rates when you help your child choose a school. Work-Study Programs Many students work during the summer and/or part time during the school year to help pay for college. Although many obtain jobs on their own, many colleges also offer work-study programs to their students. A work-study job is often part of a student's financial aid package. The jobs are usually on campus and the money earned is used to pay for tuition or other college charges. The types of financial aid discussed above can be merit-based, need-based, or a combination of merit-based and need-based. Merit-based Financial Aid Merit-based assistance, usually in the form of scholarships or grants, is given to stud ents who meet requirements not related to financial needs. For example, a merit scholarship may be given to a student who has done well in high school or one who displays artistic or athletic talent. Most merit-based aid is awarded on the basis of academic performance or potential. Need-based Financial Aid Need-based means that the amount of aid a student can receive depends on the cost of the college and on his or her family's ability to pay these costs. Most financial aid is need-based and is available to qualified students. What are the most common sources of financial aid? Student financial aid is available from a number of sources, including the Federal Government, State governments, colleges and universities, and other organizations. Students can receive aid from more than one source. Federal Financial Assistance The Federal Government supplies the largest amount of all student aid, about 75 percent or $35 billion annually. The largest and most popular Federal student aid programs are: Federal Pell Grants These are need-based grants that were given to just under 4 million students for school year 1994-95. In school year 1995-96, the maxi-mum Pell Grant was $2,340. Federal Stafford Loans There are two types of Stafford Loans -- subsidized and unsubsidized. Subsidized loans are need-based and unsubsidized loans are non-need-based. In 1994-95, approximately 6 million students received Stafford Loans. With a subsidized loan, the Federal Government pays the interest on the loan while the student is in school and for six months after graduation while the student is seeking employment. The student then starts paying back the loan with interest after the six-month "grace period." With an unsubsidized loan, the interest accrues while the student is in school. After graduation, the student must pay back the loan and the interest on the loan, including the interest that accrued while the student was in school. For both types of loans, the loan limits are $2,625 for the first year, $3,500 for the second year, and $5,500 for the third or more years. An undergraduate cannot borrow more than a total of $23,000. Federal PLUS Loans Federal PLUS Loans allow parents to borrow money for their children's college education. The yearly limit is the cost of education minus any estimated financial aid for which the student is eligible. More Information About Federal Stafford and PLUS Loans In the past, students and parents could only receive Federal loans (including Stafford and PLUS Loans) through banks or other lenders under the Federal Family Education Loan (FFEL) Program. Beginning July 1, 1994, the Federal Government began to phase in a new program called the William D. Ford Federal Direct Loan Program. Under this program some colleges and universities provide Federal Stafford Loans (both subsidized and unsubsidized) and Federal PLUS Loans directly to students and parents with funds provided by the Federal Government through the U.S. Department of Education. The intent of the Direct Loan Program is to provide a simpler and faster way to obtain loans. Direct Loans are currently being offered at approximately 1,350 schools. Students who attend schools that are not participating in the Direct Loan Program will continue to obtain their loans from banks or other lenders under the FFEL Program. The terms of the loans are basically the same under the FFEL and Direct Loan programs. The difference is that Direct Loan borrowers will repay their loans to the U.S. Department of Education rather than to a bank or other lender. A key goal of the Direct Loan Program is to allow students to pick a repayment plan that best fits their financial circumstances. Under Direct Loans, a borrower may choose from among four different repayment plans, including the Income Contingent Repayment Plan where the monthly payment is based on the borrower's annual income and the amount borrowed. Increasingly, lenders under the FFEL Program are also providing a variety of repayment options. Federal Campus-based Programs The Federal Government provides money to colleges to give to needy students through three Federal Campus-based Programs. These three programs include (1) a grant program (Federal Supplemental Educational Opportunity Grants, or SEOGs), (2) a loan program (Federal Perkins Loans), and (3) the Federal Work-Study Program. More Information on Federal Aid Students can get aid from more than one Federal program. For the most up-to-date information about student aid supplied by the Federal Government, call the Federal Student Financial Aid Information Center toll-free at the U.S. Department of Education at 1-800-4FED-AID. You can also obtain a guide to Federal financial aid for students, called The Student Guide, which provides an extensive and annually updated discussion of all Federal student aid programs. You can obtain the Guide by writing to the following address: Federal Student Aid Information Center P.O. Box 84 Washington, DC 20044 Call: 1-800-4FED-AID State Financial Assistance States generally give portions of State budgets to public colleges and universities. This support lowers tuition for all students attending these schools. Some States also offer financial assistance directly to individual students, which can be need-based or merit-based. To find out about State aid where you live, call or write your State's higher education agency. The phone numbers and addresses of all of these agencies are listed in the last section of this handbook. College/University Assistance Colleges themselves provide aid to many of their students. Most of this "institutional aid" is in the form of scholarships or grants. Some is need-based and some is merit-based. When your child wants financial aid information about specific schools, he or she should contact the financial aid offices of these schools and request information. Other Types of Assistance Other organizations, such as corporations, labor unions, professional associations, religious organizations, and credit unions, sometimes award financial aid. You can find out about the availability of such scholarships by contacting someone from the specific organization or by directly contacting its main headquarters. In addition, some organizations, particularly foundations, offer scholarships to minorities, women, and disabled students. To learn more about such scholarships, go to the nearest public library with a good reference section and look for directories that list such scholarships. (The names of a few books that list scholarships appear in the last section of this handbook.) College admissions offices and high school guidance counselors should also be able to provide more information about scholarships. Help in Getting More Information The guidance counselors at your child's high school should be able to provide information on when and how to apply for Federal, State, and other types of aid. If they cannot give you this information, try a local college. Even if your child doesn't plan to attend that particular institution, financial aid officers there should have information on Federal financial aid. Many colleges can also tell you about State aid and their own institutional aid. Is my child eligible for financial aid? If so, how much? To qualify for Federal aid, you or your child must submit a financial aid application. Applications for financial aid request information about your family's income, savings, and assets, as well as information on the number of children in the family who are in college. You can get a copy of the Federal financial aid form by calling the toll-free number that was mentioned earlier: 1-800-4FED-AID. To apply for other aid in addition to Federal aid, you may need additional forms. High school guidance counselors can tell you more about applying for financial aid, including where to get forms you might need for State aid. From information you report on the financial aid forms, your expected family contribution (EFC) is calculated. The EFC is the amount of money a student and his or her family are expected to contribute to the costs of attending college. Using the EFC and other information that you provide, each college to which you apply will determine your financial need. Financial need equals the cost of education minus the EFC and represents the maximum amount of need-based aid the student can receive. In addition, students can borrow money to cover the EFC. Because financial aid determinations consider both financial need and education costs, you should not rule out a school because you think it costs too much. In fact, with financial aid it may cost no more to attend an expensive institution than a cheaper one. Chart 9 below summarizes the simple calculation that is performed to determine financial need. CHART 9 How Much Need-based Financial Aid Can My Child Get? The amount of need-based financial aid a student qualifies for depends on his or her financial need. Financial need is equal to the cost of education (estimated costs for college attendance and basic living expenses) minus the family contribution (the amount a student's family is expected to pay, which varies according to the family's financial resources). ___________________ ________________________ ______________________ | Cost Of | | Expected | | Financial Need | | Education | | Family | | | | Includes costs of | | Contribution | | | | | | | | | | Tuition | | Based on the financial | | Students can receive | | Fees | | resources of a student |===| up to this amount of | | Room |===| and his or her family |===| need-based financial | | Board | | | | aid, such as Pell | | Books | | | | Grants and Stafford | | Supplies | | | | Loans. | | Transportation | | | | | ------------------- ------------------------ ---------------------- To give you a better idea of how you can finance your child's college education, examples of two college students' financial aid packages are shown below. Note that these financial aid packages are just examples of the kinds of packages that students with these profiles might receive if they attended the schools described below. Profiles of student financial aid. PROFILE 1 - FIRST STUDENT I. Student's Background Family Income...........................$20,000 Family Size...................................4 Number of Family Members in College...........1 II. Characteristics of the College That Student Would Like To Attend and Student's Financial Aid Package at That College A. A 2-Year Public College. Total cost of attending this college comes to $4,600.* Student's Financial Aid Package at This College: Total Cost of Education..................$4,600 Expected Family Contribution (EFC) Parents......................................$0 Student......................................$0 --------- Financial Need...........................$4,600 For this student, the total cost of education is $4,600. When you subtract the EFC, the financial need is the same as the total cost of education -- $4,600. Therefore, the financial aid package below was offered to the student. Example of Financial Aid Package: Financial Need...........................$4,600 Pell Grant................................2,340 SEOG**......................................660 State Aid...................................600 Work Study................................1,000 --------- Total Financial Aid......................$4,600 B. A 4-Year Public College. Total cost of attending this institution comes to $8,000.* Student's Financial Aid Package at This College: Total Cost of Education..................$8,000 Expected Family Contribution (EFC) Parents......................................$0 Student......................................$0 --------- Financial Need...........................$8,000 For this student, the total cost of education is $8,000. When you subtract the EFC, the financial need is the same as the total cost of education -- $8,000. Therefore, the financial aid package below was offered to the student. Example of Financial Aid Package: Financial Need...........................$8,000 Pell Grant................................2,340 SEOG**......................................850 Work-Study................................1,100 Perkins Loan***...........................1,000 State Aid.................................1,210 Stafford Loan.............................1,500 --------- Total Financial Aid......................$8,000 C. A 4-Year Private College. Total cost of attending this institution comes to $18,750.* Student's Financial Aid Package at This College: Total Cost of Education.................$18,750 Expected Family Contribution (EFC) Parents......................................$0 Student......................................$0 --------- Financial Need..........................$18,750 For this student, the total cost of education is $18,750. When you subtract the EFC, the financial need is $18,750. Therefore, the financial aid package below was offered to the student. Example of Financial Aid Package: Financial Need..........................$18,750 Pell Grant................................2,340 SEOG**....................................1,000 Work-Study................................1,200 Perkins Loan***...........................1,000 Stafford Loan.............................2,625 State Aid.................................1,400 Institutional Aid.........................9,185 --------- Total Financial Aid.....................$18,750 PROFILE 2 - SECOND STUDENT I. Student's Background Family Income...........................$40,000 Family Size...................................4 Number of Family Members in College...........2 II. Characteristics of the College That Student Would Like To Attend and Student's Financial Aid Package at That College A. A 2-Year Public College. Total cost of attending this college comes to $4,600.* Student's Financial Aid Package at This College: Total Cost of Education..................$4,600 Expected Family Contribution (EFC) Parents..................................$1,468 Student**** (from summer job savings).....$ 250 --------- Financial Need...........................$2,882 For this student, the total cost of education is $4,600. When you subtract the EFC, the financial need is $2,882. Therefore, the financial aid package below was offered to the student. Example of Financial Aid Package: Financial Need...........................$2,882 Pell Grant..................................872 SEOG**......................................510 Work-Study..................................700 Stafford Loan...............................800 --------- Total Financial Aid......................$2,882 B. A 4-Year Public College. Total cost of attending this institution comes to $8,000.* Student's Financial Aid Package at This College: Total Cost of Education..................$8,000 Expected Family Contribution (EFC) Parents..................................$1,468 Student**** (from summer job savings).....$ 250 --------- Financial Need...........................$6,282 For this student, the total cost of education is $8,000. When you subtract the EFC, the financial need is $6,282. Therefore, the following financial aid package was offered to the student. Example of Financial Aid Package: Financial Need...........................$6,282 Pell Grant..................................872 SEOG**......................................610 Work-Study................................1,400 Stafford Loan.............................1,800 State Aid...................................600 Perkins Loan***...........................1,000 --------- Total Financial Aid......................$6,282 C. A 4-Year Private College. Total cost of attending this institution comes to $18,750.* Student's Financial Aid Package at This College: Total Cost of Education.................$18,750 Expected Family Contribution (EFC) Parents.................................$ 1,468 Student**** (from summer job savings)......$250 --------- Financial Need..........................$17,032 For this student, the total cost of education is $18,750.* When you subtract the EFC, the financial need is $17,032. Therefore, the financial aid package below was offered to the student. Example of Financial Aid Package: Financial Need..........................$17,032 Pell Grant..................................872 SEOG**....................................1,260 Work-Study................................1,500 Perkins Loan***...........................3,000 Stafford Loan.............................2,625 State Aid...................................800 Institutional Aid.........................6,975 --------- Total Financial Aid.....................$17,032 *This "total cost" includes tuition, fees, room, board, books, supplies, and transportation. ** An SEOG is a Supplemental Educational Opportunity Grant - - which is a Federal award that helps undergraduates with financial need, and is awarded by the school. *** A Perkins Loan is a low-interest Federal loan for undergraduates and graduate students with financial need, and is awarded by the school. **** The student worked during two summer vacations while in high school and saved $715. Thirty-five percent of this amount, or $250, is expected to be used for the student's college education. Are there other ways to keep the cost of college down? Serve in AmeriCorps AmeriCorps is a domestic Peace Corps in which thousands of young people are working in community service projects around the country in exchange for a living allowance averaging $7,500 per year; health care; child care when needed; and an education award of $4,725 per year for paying back a student loan or for financing postsecondary education. Under some circumstances a person can serve part time and receive an education award of $2,362 per year. AmeriCorps projects serve communities throughout the country. All meet at least one of four national priorities: (1) education; (2) public safety; (3) human needs; and (4) the environment. For example, AmeriCorps members teach state-of-the-art computer skills to teenagers, tutor grade-school children in basic reading, or organize innovative after-school programs in some of the education projects. AmeriCorps members in environmental projects clean up urban streams and inland waterways, monitor dangerous trends in air quality, or test-start city-wide recycling programs. There are many different points in a person's educational career when participation in AmeriCorps is an option: right after high school; during or after college; and during or after graduate school or occupational training. AmeriCorps members are recruited locally and nationally. To find out more about AmeriCorps, call the AmeriCorps Hotline free of charge at 1-800-94-ACORPS (1-800-942-2677) or TDD 1-800-833-3722. Take Advanced Placement (AP) Courses and Exams in High School As discussed in an earlier section of this book, many high schools offer Advanced Placement (AP) courses and exams. AP courses are college-level courses that help students prepare for college-level work. After taking AP courses, students can take AP exams offered in the same subjects as the AP courses. If students score a grade of 3 or higher on an AP exam, they can often receive college credit. Students with high grades on AP exams in many different subjects are sometimes granted a full year of course credit at the colleges where they enroll. The receipt of course credit can result in savings in college costs. These savings can be quite large if it means that a student is able to place into a college as a second-year student; such a student might save the cost of tuition and fees for a whole year of college. However, not all colleges and universities give college credit for a grade of 3 or higher on an AP exam. Contact your child's high school to find out if AP courses and exams are offered. Write to the admissions office of the colleges that are of interest to your child to find out if they give credit for an AP exam grade of 3 or higher. For more information on AP courses and exams, see the address and phone number on page in the last section of this book. Participate in a Career-Focused Educational Program such as "Tech-Prep" or "School-to-Career" As discussed earlier, some high schools offer career-focused educational programs that provide students with a set of high school courses that are formally linked to courses offered at local community or technical colleges. These "tech-prep" or "school-to-career" programs, as they are often called, offer students the opportunity to go through a sequence of career-focused courses in high school that prepares them for an apprenticeship program or for a specialized sequence of college courses in a particular occupational field. Thus, students who master certain technical and occupational skills and knowledge in high school do not need to repeat the same courses when they enter college or an apprenticeship. In some of these programs, students who take the specialized sequence of courses in high school can sometimes be awarded college credit or advanced standing in the occupational program at the college level. This can save students time and money. It also means that students can gain access to more advanced college courses much earlier in their college careers. To find out if such career-focused programs exist in your community, ask your child's guidance counselor or teacher, or staff at a local college. To learn more about career-focused programs like "tech-prep" and "school-to-career" programs, contact the organizations listed in the last section of this booklet. Enroll in a Two-Year College; Then Transfer to a Four-Year College Local community colleges are usually the least expensive. In addition to charging low tuition, they are located in the area in which the student lives, which makes it possible to save by living at home and commuting to campus. After completing an associate's degree or certificate in a two-year college, students often can transfer to a four-year college and work toward a bachelor's degree. If your child chooses this route, he or she needs to take courses in the two-year college that will count toward a b achelor's degree. Certain community college courses may not be transferable to a four-year institution. Community college admissions officers can explain transfer terms and opportunities. Work Part Time Some students choose to work part time and attend college part time. If your child wishes to do this, he or she should make sure that work, classes, and time for studying do not conflict. Some institutions offer programs that enable students to combine work and classes. Although going to school part time is a good option for many students, it usually takes longer for part-time students to earn their degrees. Take Advantage of Armed Forces Education Programs All of the ways to get postsecondary educational training through the armed forces are shown in Chart 10 below. The armed forces offer educational programs during or after active duty. If your child prefers to work toward a college degree immediately after high school, attending one of the military academies or attending a civilian school and enrolling in the Reserve Officers Training Corps (ROTC) program are options. If your child wants to join the armed forces before attending college full time, he or she can attend college after military service by taking advantage of the Montgomery GI Bill or by obtaining college credit for some of the military training he or she will receive. CHART 10 Military Postsecondary Education Opportunities -------------------------- -------------------------- | | | Reserve Officers | | Military Academies | | Training Corps | | | | (ROTC) | -------------------------- -------------------------- -------------------------- =========| College Courses |========= || | While on Active Duty* | || || -------------------------- || -------------------------- --------------------------- | | | Montgomery GI Bill | | College Credit |==============| (Offers College Funds | | for Military Training* | | After Active Duty)* | -------------------------- --------------------------- *These options are not mutually exclusive. Military Academies Each branch of the military, with the exception of the Marine Corps, has its own academy -- a four-year college that offers a bachelor's degree and a commission in the military upon graduation. The military academies are highly competitive and are tuition-free to students who are admitted. The three main military academies are: U.S. Military Academy, located in West Point, New York; U.S. Naval Academy, located in Annapolis, Maryland; and U.S. Air Force Academy, located in Colorado Springs, Colorado. Other Academies Two other academies operate on the same model as the military academies, with subsidized tuition in return for service. They are: U.S. Coast Guard Academy, located in New London, Connecticut; and U.S. Merchant Marine Academy, located in Kings Point, New York. ROTC In the ROTC scholarship program, the military covers most of the cost of tuition, fees, and textbooks and also provides a monthly allowance. Scholarship recipients participate in summer training while in college and fulfill a service commitment after college. The Montgomery GI Bill This bill provides financial support for people who wish to pursue a college education after serving in the military. Other Ways To Get a College Education in the Armed Forces Most branches of the military offer some kind of tuition assistance program that enables members to take college courses at civilian colleges during their off-duty hours while on active duty. In addition, military training while on active duty can sometimes count toward college credit. All branches of the military offer training in various technical and vocational areas, and military enrollees can often obtain college credit for some of this training. The National Guard and the Reserves offer the same kind of educational benefits as those available to people on Active Duty. Local armed forces recruiting offices can provide detailed information about education opportunities through the military. How do I set up a long-range plan? Step by step, you can help your child make informed decisions about his or her education, do well academically, learn about colleges, and find the best possible opportunities for a college education. Following are two checklists that are designed to help you and your child, year by year, progress toward preparing for college -- both academically and financially. The first list speaks directly to your child, although he or she may need your help. The second list speaks directly to you. College Preparation Checklist for Students Pre-High School: Take challenging classes in English, mathematics, science, history, geography, the arts, and a foreign language. Develop strong study skills. Start thinking about which high school classes will best prepare you for college. If you have an opportunity to choose among high schools, or among different programs within one high school, investigate the options and determine which ones will help you -- further your academic and career interests and open doors to many future options. Investigate different ways to save money -- buying a U.S. Savings Bond or opening a savings account in a bank, investing in mutual funds, etc. Start saving for college if you haven't already. High School: 9th Grade Take challenging classes in English, mathematics, science, history, geography, a foreign language, government, civics, economics, and the arts. Get to know your career counselor or guidance counselor, and other college resources available in your school. Talk to adults in a variety of professions to determine what they like and dislike about their jobs and what kind of education is needed for each kind of job. Continue to save for college. 10th Grade Take challenging classes in English, mathematics, science, history, geography, a foreign language, government, civics, economics, and the arts. Talk to adults in a variety of professions to determine what they like and dislike about their jobs, and what kind of education is needed for each kind of job. Become involved in school- or community-based extracurricular (before or after school) activities that interest you and/or enable you to explore career interests. Meet with your career counselor or guidance counselor to discuss colleges and their requirements. Take the Preliminary Scholastic Assessment Test/National Merit Scholarship Qualifying Test (PSAT/NMSQT). You must register early. If you have difficulty paying the registration fee, see your guidance counselor about getting a fee waiver. Take advantage of opportunities to visit colleges and talk to students. Continue to save for college. 11th Grade Take challenging classes in English, mathematics, science, history, geography, a foreign language, government, civics, economics, and the arts. Meet with your career counselor or guidance counselor to discuss colleges and their requirements. Continue involvement in school- or community-based extracurricular activities. Decide which colleges most interest you. Write these schools to request information and an application for admission. Be sure to ask about special admissions requirements, financial aid, and deadlines. Talk to college representatives at college fairs. Take advantage of opportunities to visit colleges and talk to students. Consider people to ask for recommendations -- teachers, counselors, employers, etc. Investigate the availability of financial aid from Federal, State, local, and private sources. Call the Student Aid Hotline at the U.S. Department of Education (1-800-4FED-AID) for a student guide to Federal financial aid. Talk to your guidance counselor for more information. Find out more about the domestic Peace Corps, called AmeriCorps, by calling 1-800-942-2677 or TDD 1-800-833-3722. Investigate the availability of scholarships provided by organizations such as corporations, labor unions, professional associations, religious organizations, and credit unions. If applicable, go to the library and look for directories of scholarships for women, minorities, and disabled students. Register for and take the Scholastic Assessment Test (SAT I), the ACT, SAT II Subject Tests, or any other exams required for admission to the colleges you might want to attend. If you have difficulty paying the registration fee, see your guidance counselor about getting a fee waiver. Continue to save for college. 12th Grade Take challenging classes in English, mathematics, science, history, geography, a foreign language, government, civics, economics, the arts, and advanced technologies. Meet with your counselor early in the year to discuss your plans. Complete all necessary financial aid forms. Make sure that you fill out at least one form that can be used for Federal aid. Write colleges to request information and applications for admission. Be sure to ask about financial aid, admissions requirements, and deadlines. If possible, visit the colleges that most interest you. Register for and take the Scholastic Assessment Test (SAT I), American College Test (ACT), SAT II Subject Tests, or any other exams required for admission to the colleges to which you are applying. If you have difficulty paying the registration fee, see your guidance counselor about getting a fee waiver. Prepare your application carefully. Follow the instructions, and Pay Close attention to deadlines! Be sure to ask your counselor and teachers at least two weeks before your application deadlines to submit the necessary documents to colleges (your transcript, letters of recommendation, etc.). Financial Preparation Checklist for Parents Pre-High School: Investigate different ways to save money -- buying U.S. Savings Bonds or opening a savings account in a bank, etc. Start saving money for your child's college education. High School: 9TH grade Continue to save for college. 10TH Grade Continue to save for college. 11TH Grade Help your child investigate the availability of financial aid from Federal, State, local, and private sources. Call the Student Aid Hotline at the U.S. Department of Education (1-800-4FED-AID) for a student guide to Federal financial aid. Have your child talk to his or her guidance counselor for more information. Help your child investigate the availability of scholarships provided by organizations such as corporations, labor unions, professional associations, religious organizations, and credit unions. If applicable, go to the library with your son or daughter and look for directories on scholarships for women, minorities, and disabled students. 12TH grade Make sure your child completes all necessary financial aid forms. Be sure that he or she completes at least one form that can be used for Federal aid. Continue to save for college. What terms do I need to understand? Below is a glossary of some terms that you may want to remember: A.A.: This stands for an "associate of arts" degree, which can be earned at most two-year colleges. A.A.S.: This refers to an "associate of applied science" degree, which can be earned at some two-year colleges. ACT: This is a test published by American College Testing. It measures a student's aptitude in English, mathematics, reading, and science reasoning. Many colleges in the South and Midwest require students to take this test and submit their test scores when they apply for admission. Some colleges accept this test or the SAT I. (See below for explanation of SAT I.) Most students take the ACT or the SAT during their junior or senior year of high school. B.A. or B.S.: B.A. stands for "bachelor of arts," and B.S. stands for "bachelor of science." Both degrees can be earned at four-year colleges. Some colleges only grant B.A.s and others only grant B.S.s -- it depends on the kinds of courses offered at the particular college. Certificates of Deposit: See Chart 8. Default Rate: The default rate is the percentage of students who took out Federal student loans to help pay their expenses but did not repay them properly. Dividends: Dividends are payments of part of a company's earnings to people who hold stock in the company. Expected Family Contribution (EFC): An amount, determined by a formula that is specified by law, that indicates how much of a family's financial resources should be available to help pay for school. Factors such as taxable and non-taxable income, assets (such as savings and checking accounts), and benefits (for example, unemployment or Social Security) are all considered in this calculation. The EFC is used in determining eligibility for Federal need-based aid. Fees: These are charges that cover costs not associated with the student's course load, such as costs of some athletic activities, clubs, and special events. Financial Aid: Financial aid in this handbook refers to money available from various sources to help students pay for college. Financial Aid Package: The total amount of financial aid a student receives. Federal and non-Federal aid such as grants, loans, or work-study are combined in a "package" to help meet the student's need. Using available resources to give each student the best possible package of aid is one of the major responsibilities of a school's financial aid administrator. Financial Need: In the context of student financial aid, financial need is equal to the cost of education (estimated costs for college attendance and basic living expenses) minus the expected family contribution (the amount a student's family is expected to pay, which varies according to the family's financial resources). General Educational Development (GED) Diploma: The certificate students receive if they have passed a high school equivalency test. Students who don't have a high school diploma but who have a GED will still qualify for Federal student aid. Grant: A grant is a sum of money given to a student for the purposes of paying at least part of the cost of college. A grant does not have to be repaid. Individual Corporate Bonds or Stocks: See Chart 8. Interest: This refers to the amount that your money earns when it is kept in a savings instrument. Investment: In this handbook, an investment refers to using your money to invest in something that will enable you to earn interest or dividends over time. Liquidity: A term that refers to how quickly you can gain access to money that you invest or deposit in some kind of savings instrument. Loan: A loan is a type of financial aid that is available to students and to the parents of students. An education loan must be repaid. In many cases, however, payments do not begin until the student finishes school. Merit-based Financial Aid: This kind of financial aid is given to students who meet requirements not related to financial needs. Most merit-based aid is awarded on the basis of academic performance or potential and is given in the form of scholarships or grants. Money Market Accounts/Money Market Mutual Funds: See Chart 8. Mutual Funds: See Chart 8. Need-based Financial Aid: This kind of financial aid is given to students who are determined to be in financial need of assistance based on their income and assets and their families' income and assets, as well as some other factors. Open Admissions: This term means that a college admits most or all students who apply to the school. At some colleges it means that anyone who has a high school diploma or a GED can enroll. At other schools it means that anyone over 18 can enroll. "Open admissions," therefore, can mean slightly different things at different schools. Pell Grants: These are Federal need-based grants that were given to just under 4 million students for school year 1994-95. In school year 1995-96, the maximum Pell Grant was $2,340. Perkins Loans: This is a Federal financial aid program that consists of low-interest loans for undergraduates and graduate students with exceptional financial need. Loans are awarded by the school. PLUS Loans: These Federal loans allow parents to borrow money for their children's college education. Postsecondary: This term means "after high school" and refers to all programs for high school graduates, including programs at two-and four-year colleges and vocational and technical schools. Principal: This refers to the face value or the amount of money you place in a savings instrument on which interest is earned. Proprietary: This is a term used to describe postsecondary schools that are private and are legally permitted to make a profit. Most proprietary schools offer technical and vocational courses. PSAT/NMSQT: This stands for the Preliminary Scholastic Assessment Test/National Merit Scholarship Qualifying Test, a practice test that helps students prepare for the Scholastic Assessment Test (SAT I). The PSAT is usually administered to tenth or eleventh grade students. Although colleges do not see a student's PSAT/NMSQT score, a student who does very well on this test and who meets many other academic performance criteria may qualify for the National Merit Scholarship Program. Return: Return refers to the amount of money you earn through a financial investment or savings instrument. You earn money on investments and savings instruments through interest earnings or dividends. Risk: In reference to saving money or investing money, risk refers to the danger that the money you set aside in some kind of savings plan or investment could be worth less in the future. ROTC: This stands for Reserve Officers Training Corps program, which is a scholarship program wherein the military covers the cost of tuition, fees, and textbooks and also provides a monthly allowance. Scholarship recipients participate in summer training while in college and fulfill a service commitment after college. SAT I: This stands for the Scholastic Assessment Test, which is a test that measures a student's mathematical and verbal reasoning abilities. Many colleges in the East and West require students to take the SAT I and to submit their test scores when they apply for admission. Some colleges accept this test or the ACT. (See above for an explanation of the ACT.) Most students take the SAT I or the ACT during their junior or senior year of high school. SAT II Subject Test: SAT II Subject Tests are offered in many areas of study including English, mathematics, many sciences, history, and foreign languages. Some colleges require students to take one or more SAT II Tests when they apply for admission. Write to the address at the back of this handbook for more information about such tests. Savings Accounts: See Chart 8. Savings Instrument: In this document, savings instrument refers to any kind of savings plan or mechanism you can use to save money over time. Examples of savings instruments discussed in this handbook are savings accounts, certificates of deposit (CDs), and money market accounts. Scholarship: A scholarship is a sum of money given to a student for the purposes of paying at least part of the cost of college. Scholarships can be awarded to students based on students' academic achievements or on many other factors. SEOG (Supplemental Educational Opportunity Grant): This is a Federal award that helps undergraduates with exceptional financial need, and is awarded by the school. The SEOG does not have to be paid back. Stafford Loans: These are student loans offered by the Federal Government. There are two types of Stafford Loans -- one need-based and another non-need-based. Under the Stafford Loan programs, students can borrow money to attend school and the Federal Government will guarantee the loan in case of default. Under the Stafford Loan programs, the combined loan limits are $2,625 for the first year, $3,500 for the second year, $5,500 for the third or more years. An undergraduate cannot borrow more than a total of $23,000. Transcript: This is a list of all the courses a student has taken with the grades that the student earned in each course. A college will often require a student to submit his or her high school transcript when the student applies for admission to the college. Tuition: This is the amount of money that colleges charge for classroom and other instruction and use of some facilities such as libraries. Tuition can range from a few hundred dollars per year to more than $20,000. A few colleges do not charge any tuition. U.S. Government Securities: See Chart 8. U.S. Savings Bonds: See Chart 8. William D. Ford Federal Direct Loans: Under this new program, students may obtain Federal loans directly from their college or university with funds provided by the U.S. Department of Education instead of a bank or other lender. Work-Study Programs: These programs are offered by many colleges. They allow students to work part time during the school year as part of their financial aid package. The jobs are usually on campus and the money earned is used to pay for tuition or other college charges. Where can I get more information on the topics discussed in this handbook? In this section you will find phone numbers, mailing addresses, Internet addresses, and books that you can use to get more information about planning for college both financially and academically. You should be able to find most of these books and others like them at your local library. The following publications, organizations, and Internet addresses represent a partial list of such sources of information. Their placement on this list does not constitute an endorsement by the U.S. Department of Education. Books and Other Resources on Occupations and Careers (1) The Occupational Outlook Handbook, 1996-97 Edition. U.S. Department of Labor, Bureau of Labor Statistics, 1996. (2) Careers for the '90s: Everything You Need To Know to Find the Right Career. Research and Education Association, 1994. (3) The College Board Guide to Jobs and Career Planning, Second Edition, Joyce Slaton Mitchell. The College Board, 1994. (4) What Color Is Your Parachute 1996?, Richard Nelson Bolles. Ten Speed Press, 1995. (5) ACT (American College Testing) and the National Career Development Association have developed a career exploration and guidance kit called Realizing the Dream. Many schools around the country are using this kit to help students identify careers of interest. Ask your child's guidance counselor if Realizing the Dream is being used in your child's school or district. To find out more about the kit, you can call 319-337-1379 or write to the following address: Heidi Hallberg Program Coordinator ACT 2201 North Dodge Street P.O. Box 168 Iowa City, IA 52243-0168 Books About Choosing a College (1) The College Guide for Parents, Third Edition, Charles Shields. The College Board, 1994. (2) The College Handbook, 1996. The College Board, 1995. (3) Peterson's Guide to Four-Year Colleges, 1996, Twenty-Sixth Edition. Peterson's Guides, 1995. (4) Barron's Profiles of American Colleges, Twenty-First Edition. Barron's Educational Series, Inc., 1996. (5) Rugg's Recommendations on the Colleges, Thirteenth Edition. Rugg's Recommendations, 1996. (6) The Multicultural Student's Guide to the Colleges, Robert Mitchell. Noonday Press, 1996. Information About Advanced Placement (AP) Courses and Exams For more information, write or call: AP Services P.O. Box 6671 Princeton, NJ 08541-6671 Phone: 609-771-7300 (TTY) 609-882-4118 Fax: 609-530-0482 E-mail: apexams@ets.org Information About "School-to-Career" and "Tech-Prep" Programs For information about "School-to-Career" or "School-to-Work" programs, write or call: School-To-Work Opportunities Information Center 400 Virginia Avenue, SW, Room 210 Washington, DC 20024 Phone: 202-401-6222 For information about "Tech-Prep" and "2+2" programs, write or call: National Tech Prep Network P.O. Box 21689 Waco, TX 76702-1689 Phone: 800-972-2766 Or: Center for Occupational Research and Development 601 Lake Air Drive Waco, TX 76710 Phone: 817-772-8756 Information About Taking Standardized Tests (1) The Scholastic Assessment Test (SAT I) and the SAT II Subject Tests. Write or call: SAT Program P.O. Box 6200 Princeton, NJ 08541-6200 Phone: 609-771-7600 (2) The ACT. Write or call: ACT Registration P.O. Box 414 Iowa City, IA 52243 Phone: 319-337-1270 (3) The Preliminary Scholastic Assessment Test/National Merit Scholarship Qualifying Test (PSAT/NMSQT). Write or call: PSAT/NMSQT P.O. Box 6720 Princeton, NJ 08541-6720 Phone: 609-771-7070 Books About Preparing for Standardized Tests Note: One of the best ways to prepare for standardized tests is to practice with actual tests. The first two books in the following list focus on copies of previously administered tests. (1) Real SATs. The College Board, 1995. (2) Official Guide to the ACT Assessment. Harcourt Brace Press, 1990. (3) Barron's How to Prepare for the PSAT/NMSQT, Eighth Edition, Samuel Brownstein, Mitchel Weiner, and Sharon Weiner Green. Barron's Educational Series, 1993. (4) Barron's How to Prepare for the SAT I, Eighteenth Edition, Samuel Brownstein, Mitchel Weiner, and Sharon Weiner Green. Barron's Educational Series, 1994. (5) Barron's How to Prepare for the ACT, Tenth Edition, George Ehrenhaft, Robert Lehrman, and Allan Mundsack. Barron's Educational Series, 1995. (6) Preparation for the SAT, 1997 Edition, Edward Deptula (ed.). Arco Publishers, 1996. (7) Cracking the SAT and PSAT, 1996, Adam Robinson and John Katzman. The Princeton Review, 1995. (8) Cracking the ACT, 1996-97, Geoff Martz, Kim Magloire, and Theodore Silver. Princeton Review, 1996. (9) Word Smart: Building an Educated Vocabulary, Adam Robinson. Princeton Review, 1993. Books About Financing Your Child's Education (1) Paying for College: A Guide for Parents, Gerald Krefetz. The College Board, 1995. (2) College Financial Aid, Fifth Edition. College Research Group of Concord, Massachusetts. Macmillan General Reference, 1993. (3) College Costs and Financial Aid Handbook, 1996, Sixteenth Edition. The College Board, 1995. (4) Peterson's Paying Less for College, 1996, Thirteenth Edition. Peterson's Guides, 1995. (5) Best Buys in College Education, Third Edition, Lucia Solorzano. Barron's Educational Series, 1994. (6) College Scholarships & Financial Aid, Sixth Edition, John Schwartz (ed.). Arco Publishers, 1995. (7) Don't Miss Out: The Ambitious Student's Guide to Financial Aid, 1996-97, Twentieth Edition, Anna Leider and Robert Leider. Octameron Associates, 1995. Information About U.S. Savings Bonds Write to: Office of Public Affairs U.S. Savings Bonds Division Washington, DC 20226 Information About Federal Student Financial Aid Request The Student Guide by writing to: Federal Student Aid Information Center P.O. Box 84 Washington, DC 20044 Call the Federal Student Financial Aid Information Center toll-free at 1-800-4FED-AID Books About Private Sources of Financial Aid (1) Foundation Grants to Individuals, Ninth Edition, L. Victoria Hall (ed.). The Foundation Center, 1995. (2) The A's and B's of Academic Scholarships, 1996-97, Eighteenth Edition, Deborah L. Wexler (ed.). Octameron Associates, 1995. (3) The Scholarship Book, Fifth Edition, Daniel Cassidy. Prentice Hall, Inc., 1996. (4) The Complete Grants Sourcebook for Higher Education, Third Edition, David Bauer and David Bower. Oryx Press, 1995. Information About Educational Standards You can contact your child's school, the school district, or the State department of education to find out about the setting of educational standards in your community and State. The following are other sources of information: (1) Council of Chief State School Officers 1 Massachusetts Avenue, NW Suite 700 Washington, DC 20001-1431 Phone: 202-408-5505 (2) Council for Basic Education 1319 F Street NW Washington, DC 20004 Phone: 202-347-4171 The following associations and organizations are coordinating the development of voluntary standards: (3) Math: National Council of Teachers of Mathematics 1906 Association Drive Reston, VA 22091 Phone: 1-800-235-7566 (4) Arts: Music Educators National Conference 1806 Robert Fulton Drive Reston, VA 22091 Phone: 1-800-828-0229 (5) Civics and Government: Center for Civic Education 5146 Douglas Fir Road Calabasas, CA 91302 Phone: 1-800-350-4223 (6) Foreign Language: American Council on the Teaching of Foreign Languages 6 Executive Boulevard Yonkers, NY 10701-6801 Phone: 914-963-8830 (7) Geography: National Geographic Society P.O. Box 1640 Washington, DC 20013-1640 Phone: 1-800-368-2728 (8) Science: National Research Council National Science Education Standards Project 2101 Constitution Avenue, NW Washington, DC 20418 Phone: 202-334-1399 Publications on Educational Standards (1) Making Standards Matter: A Fifty-State Progress Report on Efforts to Raise Academic Standards. American Federation of Teachers, Educational Issues Department. Washington, DC, 1995. (2) Continuing the Commitment: Essential Components of a Successful Education System. The Business Roundtable. Education Public Policy Agenda. Washington, DC, May 1995. Information About AmeriCorps For information about AmeriCorps, call: 1-800-94-ACORPS (1-800-942-2677) or TDD 1-800-833-3722 Information About Opportunities in the Armed Forces (1) The U.S. Army: Call 1-800-USA-ARMY (2) The U.S. Air Force: Call 1-800-423-USAF (3) The U.S. Navy: Call 1-800-USA-NAVY (4) The U.S. Marines: Call 1-800-MARINES (5) The U.S. Coast Guard: Call 1-800-424-8883 (6) The U.S. Army Reserve: Call 1-800-USA-ARMY (7) The U.S. Navy Reserve: Call 1-800-USA-USNR (8) The U.S. Air Force Reserve: Call 1-800-257-1212 (9) The U.S. Army National Guard: Call 1-800-638-7600 (10) The ROTC: Call 1-800-USA-ROTC Information Available Through the Internet About Planning for College In addition to this publication and other printed materials, a host of information about preparing for college is available through the Internet -- the international network of computers that are joined by telecommunications links. People can easily share information over the Internet without having to learn computer languages. Many families have access to the Internet through their schools or public libraries; some families have a connection to the Internet from a home computer. Below you will find a short discussion of several sources of information, along with their "addresses" on the Internet. In the event that the "address" of a source changes, you should be able to locate information about preparing for college by searching with the use of phrases such as "college planning" or "preparing for college," or by searching with the name of the source instead of the Internet address. Sources of Information 1) Yahoo: One of the large directories of information on the Internet is Yahoo. Yahoo has an information page on Education and has additional pages with information about preparing for college and about paying for college. Address: http://www.yahoo.com/Education 2) The Texas Guaranteed Student Loan Corporation (TGSLC): The Texas Guaranteed Student Loan Corporation (TGSLC) makes a great deal of information available to help prospective college students prepare for college. Its information includes career planning and college selection information. The name of its Internet site is Adventures in Education. Address: http://www.tgslc.org 3) The Illinois Student Aid Commission (ISAC): The Illinois Student Aid Commission (ISAC) also provides information over the Internet about preparing and paying for college. Address: http://www.isac1.org 4) The Financial Aid Information Page: The Financial Aid Information Page provides links to sources of information about student financial aid. Address: http://www.cs.cmu.edu/afs/cs/user/mkant/Public/FinAid/finaid.html 5) The College Board: The College Board is a national membership association of schools and colleges whose aim is to facilitate the student transition to higher education. Use the address below to access information offered by the College Board. Address: http://www.collegeboard.org 6) The Student Loan Marketing Association (Sallie Mae): The Student Loan Marketing Association (Sallie Mae) is a provider of financial services and operational support for higher education. Use the address below to access information offered by Sallie Mae on planning for college. Address: http://www.salliemae.com 7) The U.S. Department of Education: The U.S. Department of Education and its Office of Postsecondary Education have information that may be of use to you. The Student Guide is available over the Internet from the Education Department. U.S. Department of Education (ED) Address: http://www.ed.gov ED's Office of Postsecondary Education Address: http://www.ed.gov/offices/OPE/ index.html The Student Guide Address: http://www.ed.gov/prog_info/SFA/ StudentGuide 8) The Consumer Information Center in Pueblo, Colorado: This volume, Preparing Your Child for College, is available through the Internet from the electronic arm of the Government Document Distribution Center in Pueblo, Colorado. Address: http://www.pueblo.gsa.gov You can also see this booklet by using the following address at the Department of Education's World Wide Web and gopher sites: World Wide Web: Address: http://www.ed.gov/pubs/Prepare/ Gopher: gopher.ed.gov -->U.S. Department of Education/OERI Publications/ --> ED/OERI Publications - Full Text/ -->Preparing Your Child for College/ Information About Opportunities in Each State For information about State financial aid and colleges and universities in specific States, contact the agencies listed below. They can provide you with other contacts in the State for more information. ALABAMA Executive Director Commission on Higher Education 100 North Union Street Montgomery, Alabama 36104-3702 (334) 242-1998 FAX: 242-0268 ALASKA Executive Director Alaska Commission on Postsecondary Education 3030 Vintage Boulevard Juneau, Alaska 99801-7109 (907) 465-2962 FAX: 465-5316 President University of Alaska System 202 Butrovich Building Fairbanks, Alaska 99775-5560 (907) 474-7311 FAX: 474-7570 ARIZONA Executive Director Arizona Board of Regents 2020 North Central, Suite 230 Phoenix, Arizona 85004 (602) 229-2500 FAX: 229-2555 ARKANSAS Director Department of Higher Education 114 East Capitol Little Rock, Arkansas 72201 (501) 324-9300 FAX: 324-9308 CALIFORNIA Executive Director California Postsecondary Education Commission 1303 J Street, 5th Floor Sacramento, California 95814-2938 (916) 445-1000 FAX: 327-4417 California Student Aid Commission P.O. Box 510845 Sacramento, California 94245-0845 (916) 445-0880 FAX: 327-6599 COLORADO Executive Director Commission on Higher Education 1300 Broadway, 2nd Floor Denver, Colorado 80203 (303) 866-4034 FAX: 860-9750 CONNECTICUT Commissioner of Higher Education Department of Higher Education 61 Woodland Street Hartford, Connecticut 06105 (203) 566-5766 FAX: 566-7865 DELAWARE Executive Director Delaware Higher Education Commission 820 French Street, 4th Floor Wilmington, Delaware 19801 (302) 577-3240 FAX: 577-6765 DISTRICT OF COLUMBIA Chief Office of Postsecondary Education Research and Assistance 2100 M. L. King Jr. Avenue, S.E. #401 Washington, D.C. 20020 (202) 727-3685 FAX: 727-2739 FLORIDA Executive Director Postsecondary Education Planning Commission Florida Education Center Collins Building Tallahassee, Florida 32399-0400 (904) 488-7894 FAX: 922-5388 Office of Student Financial Assistance Room 255, Collins Building Tallahassee, Florida 32399-0400 (904) 488-1034 FAX: 488-3612 GEORGIA Chancellor Board of Regents University System of Georgia 244 Washington Street, S.W. Atlanta, Georgia 30334 (404) 656-2202 FAX: 657-6979 Georgia Student Finance Commission 2082 East Exchange Place Tucker, Georgia 30084 (770) 414-3200 FAX: 414-3163 HAWAII President University of Hawaii System 2444 Dole Street Bachman Hall, Room 202 Honolulu, Hawaii 96822 (808) 956-8207 FAX: 956-5286 Hawaii State Postsecondary Education Commission 2444 Dole Street Bachman Hall, Room 209 Honolulu, Hawaii 96822 (808) 956-8213 FAX: 956-5156 IDAHO Executive Director for Higher Education State Board of Education P.O. Box 83720 Boise, Idaho 83720-0037 (208) 334-2270 FAX: 334-2632 ILLINOIS Executive Director Board of Higher Education 4 West Old Capitol Plaza, Room 500 Springfield, Illinois 62701 (217) 782-2551 FAX: 782-8548 Illinois Student Assistance Commission Executive Offices 500 West Monroe Street, Third Floor Springfield, Illinois 62704 (217) 782-6767 FAX: 524-1858 INDIANA Commissioner for Higher Education Commission for Higher Education 101 West Ohio Street, Suite 550 Indianapolis, Indiana 46204-1971 (317) 464-4400 FAX: 464-4410 State Student Assistance Commission of Indiana 150 West Market Street, Suite 500 Indianapolis, Indiana 46204 (317) 232-2350 FAX: 232-3260 IOWA Executive Director State Board of Regents Old Historical Building East 12th & Grand Avenue Des Moines, Iowa 50319 (515) 281-3934 FAX: 281-6420 Iowa College Student Aid Commission 200 Tenth Street, 4th Floor Des Moines, Iowa 50309 (515) 281-3501 FAX: 242-5996 KANSAS Executive Director Kansas Board of Regents 700 SW Harrison, Suite 1410 Topeka, Kansas 66603-3760 (913) 296-3421 FAX: 296-0983 KENTUCKY Executive Director Council on Higher Education 1024 Capitol Center Drive, Suite 320 Frankfort, Kentucky 40601-8204 (502) 573-1555 FAX: 573-1535 Kentucky Higher Education Assistance Authority 1050 U.S. 127 South Frankfort, Kentucky 40601 (502) 564-7990 FAX: 564-7103 LOUISIANA Commissioner Board of Regents 150 Third Street, Suite 129 Baton Rouge, Louisiana 70801-1389 (504) 342-4253 FAX: 342-9318 Office of Student Financial Assistance, Louisiana Student Financial Assistance Commission P.O. Box 91202 Baton Rouge, Louisiana 70821-9202 (504) 922-1011 FAX: 922-1089 MAINE Chancellor University of Maine System 107 Maine Avenue Bangor, Maine 04401-4380 (207) 973-3205 FAX: 947-7556 Financial Authority of Maine, Maine Education Assistance Division One Weston Court State House, Station 119 Augusta, Maine 04333 (207) 287-2183 FAX: 287-2233 or 628-8208 MARYLAND Secretary of Higher Education Maryland Higher Education Commission 16 Francis Street Annapolis, Maryland 21401-1781 (410) 974-2971 FAX: 974-3513 MASSACHUSETTS Chancellor Higher Education Coordinating Council McCormark Building 1 Ashburton Place, Room 1401 Boston, Massachusetts 02108-1696 (617) 727-7785 FAX: 727-6397 Massachusetts State Scholarship Office 330 Stuart Street Boston, Massachusetts 02116 (617) 727-9420 FAX: 727-0667 MICHIGAN Michigan Higher Education Student Loan Authority State Department of Education P.O. Box 30057 Lansing, Michigan 48909 (517) 373-3662 FAX: 335-6699 Michigan Higher Education Assistance Authority P.O. Box 30462 Lansing, Michigan 48909 (517) 373-3394 FAX: 335-5984 MINNESOTA Executive Director Higher Education Services Office 400 Capital Square Building 550 Cedar Street St. Paul, Minnesota 55101 (612) 296-9665 FAX: 297-8880 MISSISSIPPI Commissioner Board of Trustees of State Institutions of Higher Learning 3825 Ridgewood Road Jackson, Mississippi 39211-6453 (601) 982-6611 FAX: 364-2862 MISSOURI Commissioner of Higher Education Coordinating Board for Higher Education 3515 Amazonas Jefferson City, Missouri 65109 (314) 751-2361 FAX: 751-6635 MONTANA Commissioner of Higher Education Montana University System 2500 Broadway Helena, Montana 59620-3101 (406) 444-6570 FAX: 444-1469 NEBRASKA Executive Director Coordinating Commission for Postsecondary Education P.O. Box 95005 Lincoln, Nebraska 68509-5005 (402) 471-2847 FAX: 471-2886 NEVADA Chancellor University of Nevada System 2601 Enterprise Road Reno, Nevada 89512 (702) 784-4901 FAX: 784-1127 Nevada Department of Education 700 East 5th Street, Capitol Complex Carson City, Nevada 89710 (702) 687-5915 FAX: 687-5660 NEW HAMPSHIRE Executive Director New Hampshire Postsecondary Education Commission Two Industrial Park Drive Concord, New Hampshire 03301-8512 (603) 271-2555 FAX: 271-2696 Chancellor University System of New Hampshire Dunlap Center, 25 Concord Road Durham, New Hampshire 03824-3545 (603) 868-1800 FAX: 868-3021 NEW JERSEY New Jersey Department of Higher Education Office of Student Assistance and Information Systems 4 Quakerbridge Plaza, CN 540 Trenton, New Jersey 08625 1-800-792-8670 (609) 584-9618 FAX: 588-2228 NEW MEXICO Executive Director Commission on Higher Education 1068 Cerrillos Road Santa Fe, New Mexico 87501-4295 (505) 827-7383 FAX: 827-7392 NEW YORK Deputy Commissioner for Higher and Professional Education Room 5B28 Cultural Education Center New York State Education Department Albany, New York 12230 (518) 474-5851 FAX: 486-2175 The New York State Higher Education Services Corporation 99 Washington Avenue Albany, New York 12255 (518) 473-0431 FAX: 474-2839 NORTH CAROLINA Vice President for Planning University of North Carolina General Administration P.O. Box 2688 Chapel Hill, North Carolina 27515-2688 (919) 962-6981 FAX: 962-0488 North Carolina State Education Assistance Authority (NCSEAA) P.O. Box 2688 Chapel Hill, North Carolina 27515-2688 (919) 549-8614 FAX: 549-8481 College Foundation, Inc. P.O. Box 12100 Raleigh, North Carolina 27605 (919) 821-4771 FAX: 821-3139 NORTH DAKOTA Chancellor North Dakota University System 600 East Boulevard Avenue Bismarck, North Dakota 58505 (701) 328-2962 FAX: 328-2961 OHIO Chancellor Ohio Board of Regents 30 East Broad Street, 36th Floor Columbus, Ohio 43266-0417 (614) 466-0887 FAX: 466-5866 OKLAHOMA Chancellor State Regents for Higher Education 500 Education Building State Capitol Complex Oklahoma City, Oklahoma 73105 (405) 524-9100 FAX: 524-9230 OREGON Chancellor State System of Higher Education P.O. Box 3175 Eugene, Oregon 97403-1075 (541) 346-5700 FAX: 346-5764 Oregon State Scholarship Commission 1500 Valley River Drive, Suite 100 Eugene, Oregon 97401 (541) 687-7400 FAX: 687-7419 PENNSYLVANIA Commissioner for Higher Education State Department of Education 333 Market Street Harrisburg, Pennsylvania 17126-0333 (717) 787-5041 FAX: 783-0583 Pennsylvania Higher Education Assistance Agency 1200 North 7th Street Harrisburg, Pennsylvania 17102 (717) 257-2850 FAX: 720-3907 PUERTO RICO Executive Director Council on Higher Education Box 23400, UPR Station San Juan, Puerto Rico 00931-3400 (809) 758-3350 FAX: 763-8394 RHODE ISLAND Commissioner of Higher Education Office of Higher Education 301 Promenade Street Providence, Rhode Island 02908-5720 (401) 277-6560 FAX: 277-6111 Rhode Island Higher Education Assistance Authority 560 Jefferson Boulevard Warwick, Rhode Island 02886 (401) 736-1100 FAX: 732-3541 SOUTH CAROLINA Commissioner Commission on Higher Education 1333 Main Street, Suite 200 Columbia, South Carolina 29201 (803) 737-2260 FAX: 737-2297 South Carolina Higher Education Tuition Grants Commission P.O. Box 12159 Columbia, South Carolina 29211 (803) 734-1200 FAX: 734-1426 SOUTH DAKOTA Executive Director Board of Regents 207 East Capitol Avenue Pierre, South Dakota 57501-3159 (605) 773-3455 FAX: 773-5320 Department of Education and Cultural Affairs, Office of the Secretary 700 Governors Drive Pierre, South Dakota 57501-2291 (605) 773-3134 FAX: 773-6139 TENNESSEE Executive Director Tennessee Higher Education Commission Parkway Towers, Suite 1900 404 James Robertson Parkway Nashville, Tennessee 37243-0830 (615) 741-7562 FAX: 741-6230 Tennessee Student Assistance Corporation Parkway Towers, Suite 1950 404 James Robertson Parkway Nashville, Tennessee 37243-0820 (615) 741-1346 FAX: 741-6101 TEXAS Commissioner Texas Higher Education Coordinating Board P.O. Box 12788 Austin, Texas 78711 (512) 483-6101 FAX: 483-6169 Texas Higher Education Coordinating Board P.O. Box 12788, Capitol Station Austin, Texas 78711 (512) 483-6340 FAX: 483-6420 UTAH Commissioner of Higher Education Utah System of Higher Education 3 Triad Center, Suite 550 Salt Lake City, Utah 84180-1205 (801) 321-7101 FAX: 321-7199 VERMONT Vermont Student Assistance Corporation P.O. Box 2000, Champlain Mill Winooski, Vermont 05404-2601 (802) 655-9602 FAX: 654-3765 Chancellor Vermont State Colleges P.O. Box 359 Waterbury, Vermont 05676 (802) 241-2520 FAX: 241-3369 President University of Vermont 349 Waterman Building Burlington, Vermont 05405 (802) 656-3186 FAX: 656-1363 VIRGINIA Director State Council of Higher Education 101 North 14th Street, 9th Floor Richmond, Virginia 23219 (804) 225-2600 FAX: 225-2604 WASHINGTON Executive Director Higher Education Coordinating Board 917 Lakeridge Way, P.O. Box 43430 Olympia, Washington 98504-3430 (360) 753-7800 FAX: 753-7808 WEST VIRGINIA Chancellor State College System of West Virginia 1018 Kanawha Boulevard, East Charleston, West Virginia 25301 (304) 558-0699 FAX: 558-1011 Chancellor University of West Virginia System 1018 Kanawha Boulevard, East, Suite 700 Charleston, West Virginia 25301 (304) 558-2736 FAX: 558-3264 WISCONSIN Higher Educational Aids Board P.O. Box 7885 Madison, Wisconsin 53707 (608) 267-2206 FAX: 267-2808 President University of Wisconsin System 1700 Van Hise Hall 1220 Linden Drive Madison, Wisconsin 53706 (608) 262-2321 FAX: 262-3985 WYOMING The Community College Commission 2020 Carey Avenue, 8th Floor Cheyenne, WY 82002 (307) 777-7763 FAX: 777-6567 President University of Wyoming Box 3434 Laramie, WY 82071 (307) 766-4121 FAX: 766-227