Three Things to Consider before Filling out Your FAFSA

You got the big “yes!” from your top-choice school and now it’s time to start figuring out how you’re going to pay for your college education. During the 2014-2015 academic year, about 71 percent of students graduated from four-year universities using some form of student loan or grant, according to statistics from The College Board.  How these students received aid varied widely, from private bank loans to Pell grants, but one constant remains – the FAFSA.

FAFSA stands for Free Application for Federal Student Aid, and it’s the government’s way of determining whether a student is eligible for financial aid through the U.S. Department of Education. It’s usually the first thing you’ll fill out once you accept admission to college.

Good news, though: About 85 percent of applicants for government student loans were eligible for them in the 2013-2014 school year, according to the Department of Education, so chances are good you’ll qualify. But here are some things to know before you put pen to FAFSA.

Apply for free money first.

A student loan is just that: a loan. That means you’ll have to pay back the principal amount you owe, plus interest, over the term of the loan. What’s better than money you have to pay for? Free money you don’t have to pay back. Scholarships are a great way to score some free tuition dollars just by filling out an application and maybe writing an essay. Even small dollar amounts help in the long run, like SolutionInn’s scholarship program, which awards cash up to $500 for excellent essay writing to full-time students studying at a university.

Don’t borrow more than you really need.

This is a major trap that many have fallen into and have ended up deeper in debt for more than just their education. Do the math to estimate your tuition cost, room and board and books. If you plan to have a job to pay for living expenses, calculate how much you’ll potentially earn and subtract that from the total. Don’t use student loan disbursements for nights on the town or Spring Break vacations.  A work-from-home job, like becoming a SolutionInn tutor, is a great way to pay for fun without being in debt for it later.

Have all the paperwork ready before you begin.

The FAFSA is a lengthy process, but it’s not difficult. In fact, just about all universities and colleges in the United States use it, so the Department of Education has made it as simple as possible. You’ll need to have your own tax information ready (if applicable), and your parents tax information as well. Without this key information, it’s impossible determine eligibility, so have it all ready before you start, and start on the application well before the deadline.