Session Five:

1
Session Five

• Paying for Graduate School

2
Considering graduate school but concerned about
how you are going to pay for it?

• There is money available in the form of grants,
  work study, scholarships, and loans

3
How much will it cost?

• Tuition alone can range from a few thousand
  dollars to more than 30,000 a year

4
Calculating your expenses

• Remember to add in the cost of housing, food,
  books, transportation, and personal expenses.

5
Illogical but useful!

• It can be cheaper to go to an expensive school.
• Ph.D. can be chaeaper than M.S.
• Cheaper to borrow and repay than to go part time.
• No matter your income - apply.

6
When Should I Start to Apply For Financial Aid?

• NOW! Many schools include Financial Aid
  applications in the application process.
• Some Scholarships are given to individuals before
  they are accepted to a program.
• Each school is different. Check with them.
• APPLY FOR EVERYTHING!!!

7
Federal Loan Requirements

• You must be a United States citizen.
• You must have good credit.
• You can barrow up to 18,500 per year.

8
Types of Financial Aid

• Families. Your Rich Uncle!!!
• Scholarships from private institutions
• Scholarships from Govts, business,
  philanthropists, associations, etc.
• Work study.
• Teaching and Research Assistanships
• Tuition Waivers
• Federal loans (Stafford)
• You should always apply for financial aid even if
  you have other means of paying for school.

9
Warning

• Some schools will offer students a financial aid
  award at the beginning, but will decrease the
  award over time.
• Ask How reliable is your financial aid year to
  year? Is the first year offer always sustained,
  given attainment of academic goals?

10
Merit-Based Aid

• Merit-based financial aid is awarded on the
  basis of personal achievements or individual
  characteristics. It usually comes in the form of
  scholarships or grants. Don't despair. Not
  everyone who is awarded merit-based aid is a
  genius. For example, some schools, particularly
  schools that are trying to maintain or increase
  their enrollment, may award scholarships to
  students with grades or test scores that are not
  stratospheric.

11
Need-Based Aid

• Eligibility for need-based financial aid programs
  is determined by one of two need-analysis
  formulas that seek to measure a family's
  financial strength and ability to pay for school
  expenses
• 1. Federal Methodology A need-analysis procedure
  developed by Congress used to calculate family
  contribution (FC).2. Institutional Methodology
  An alternate method of calculating FC used by
  individual schools to determine eligibility for
  institutional and non-federal aid.

12
Methods of Finance

• Military Fellowships
• Loans Grants
• Private Loans Tuition waivers
• Parent Loans
• You should always apply for financial aid even if
  you have other means of paying for school.

13
FAFSA (Free Application for Federal Student Aid)

• Most graduate schools require that you apply for
  the FAFSA
• Its easy and could save you thousands of dollars.
• www.fafsa.ed.gov

14
Federal Perkins Loan

• Eligibility for the Federal Perkins Loan is based
  on demonstrated need using the federal
  need-analysis formula. Each participating college
  has a pool of money from which they make these
  five percent loans directly to students. The
  college decides the amount of the loan and
  chooses the recipient. Although you must repay
  this loan to your school, interest does not
  accrue while you're a student, and you do not
  begin repayment until nine months after
  graduation

15
Federal Perkins Loan

• Available at a limited number of schools
• Determined by the school based on the information
  in your FAFSA application
• The maximum annual loan is 5,000

16
Federal Stafford Loan

• The Federal Stafford Loan is available to
  undergraduate and graduate students in two
  distinct types subsidized and unsubsidized.
  Students may qualify to obtain funds through
  either or both types.
• The subsidized Stafford is need-based.
  Eligibility is determined by each financial aid
  office based on demonstrated financial need. The
  unsubsidized Stafford loan program has basically
  the same terms with the exceptions that
  eligibility is not based on need and interest
  accrues even while the borrower is in school.

17
Private Loans

• Based on the students credit history.
• Most banks and lending institution offer some
  type of student loan,

18
Repayment of Loans

• Consolidate your loans for one easy payment
• You can extend your repayment period to a maximum
  of 30 years, but you will pay more interest in
  the long run
• No penalty for early repayment

19
Loan Repayment Assistance Programs

• Graduates working in low-paying and / or public
  interest jobs can qualify for this program
• To learn more check with the financial aid office
  of the school in which you plan to attend.
• Pay off your loan as soon as possible so that
  your life is not burdened by debt

20
Federal Work-Study

• Work part time during the school year and full
  time during the summer months
• Work on campus or in a variety of jobs located in
  various agencies such as nonprofit agencies
• Check with the school that you want to apply to
  to learn if they participate in this federal
  program and to obtain further information

21
Where to Look for Military Aid

• www.goarmy.com
• www.airforce.com
• www.marines.com
• www.coastguard.com
• www.navy.com

22
Credit Report

• Many of the graduate loans will be based on your
  credit report.
• Obtain a copy of your report before you apply for
  a loan and get any discrepancies that appear on
  your report taken care off.
• Clear up your record and keep it clean.

23
Credit Report Companies

• Experian 888-397-3742 www.experian.com
• Equifax 800-685-111 www. Equifax.com
• Trans Union 800-916-8800 www.tuc.com

24
Over 500,000 of scholarship

• money is available for students interested in
  Study Abroad Grants, Internship Grants, and
  Post-Graduate Scholarships, from the National
  Honor Society of Phi Kappa Phi.  
• Scholarship applications
• http//www.phikappaphi.org/awards_page.html  

25
kaptest.com

• Free, just login and sign up.
• Lots of great information, if you dont mind all
  the little sales pitches.
• Something for everyone
• News letters
• Financial Aid Information

26
Rule of Thumb

• Live like a King off student loans while in
  graduate school, you will live like a graduate
  student as you repay the loans when your working.

27
Budget

• Calculate your expenses, obtain the necessary
  funds and then create a strict budget.

28
Keep Going

• Obtaining a graduate degree is a matter of
  persistence not brains.
• The cost of graduate school will pay for itself
  in the long run.
• Create a budget and stick to it.
• Remember with Persistence and Hard Work, you can
  achieve any goal.

29
(No Transcript)
30
Finding Financial Aid
31
Resources for Financial Aid

• Options for Aid
• -Military Aid
• -Fellowships and
  Scholarships
• -Loans (Government and Private).

32
Web Sites for Financial Aid

• www.fafsa.ed.gov
• www.finaid.org
• www.fastweb.com

33
Three books

• The Yale Daily News Guide to Fellowships and
  Grants.
• The Higher Education Money Book for Women and
  Minorities A Directory of Scholarships,
  Fellowships, Internships, Grants and Loans. By
  Doris M Young.
• Free money for Graduate School A Guide to More
  than 1,000 Grants for Graduate Study. By Laurie
  Blum.

34
Applying for federal funds to study abroad

• is somewhat different from applying for funds for
  U.S. study. In most cases, you submit the Federal
  Stafford Loan application directly to the
  guarantee agency of the state and the agency does
  the certification for you. Your loan proceeds are
  sent directly to you rather than the school, and
  you get the entire amount in one disbursement.
  You are then responsible for paying the school
  yourself. If your financial need goes beyond
  whats available from federal funding, contact
  private lenders individually to see if they lend
  to students who study abroad.

35
Army Benefits and Scholarships

• FINANCIAL ASSISTANCE AND INCENTIVE PROGRAMS
• Non-Physician Health Care Provider Board
  Certification Pay (Active duty)
• Special Pay (Active duty)
• Psychology Diplomat Pay (PDP) (Active duty)

36

• Board Certification must be current.
• Pay is based on years of creditable service
  ranging from 2,000 to 5,000 annually.
• Special Pay (Active duty)
• Optometrists are eligible for a 1,200 annual
  Special Pay. Paid 100 per month.
• Special Pay is in addition to regular pay and
  qualification is determined once on active duty.
• Psychology Diplomate Pay (PDP) (Active duty)
• Must have been awarded a diploma as a diplomate
  in Psychology by the American Board of
  Professional Psychology.
• Pay ranges from 2,000 to 5,000 annually.

37

• DENTISTRY IN THE NAVY Don't let the cost
  of education, equipment or insurance turn you
  from dentistry. Don't let the pressure and stress
  of a private practice frustrate you. Instead,
  look to the Navy. Our dentistry program could be
  just what you need to relieve financial burdens
  and allow you to focus on helping others.You'll
  be helping yourself, too. In the Navy, you'll
  have modern equipment, an established practice, a
  highly trained staff - and the chance to work in
  a variety of locations around the world, or even
  aboard ship. And you'll never have to worry about
  paying for malpractice insurance or balancing the
  books.

38

• Pay is competitive - up to 76,000 your first
  year including a 30,000 signing bonus - plus
  there are the fringe benefits officer rank, free
  and low-cost travel for you and your family, plus
  30 days paid vacation every year to enjoy it. And
  without the stress of your own practice, you'll
  probably have more time for your private life.

39

• NAVY PHYSICIANS For many aspiring
  doctors, there are many hurdles. First there's
  the ever-increasing cost of medical school. Then
  there's the cost of maintaining a practice after
  graduation. And often, when all is said and done,
  many doctors in private practice find themselves
  spending more time running their business than
  actually practicing medicine.

40

• SCHOLARSHIP PROGRAMS
• HEALTH PROFESSIONS SCHOLARSHIP PROGRAM (HPSP)
  (Active duty)
• The HPSP provides two- and three-year
  scholarships to students pursuing a PhD in
  clinical or counseling psychology. Must maintain
  full-time student status during the entire length
  of the program.
• Active duty service obligation is a minimum of
  three years.

41

• If you qualify, you could earn a full-tuition
  scholarship, plus a monthly stipend of over
  1,000 for 10 1/2 months of each school year. The
  remaining 1 1/2 months of the year youll receive
  officers pay as a Second Lieutenant on active
  duty.
• Must be a U.S. citizen.
• Must qualify for appointment as a commissioned
  officer in the U.S. Army Reserve (USAR).
• You must be enrolled in an accredited graduate
  program located in the United States or Puerto
  Rico.

42

• Federal Methodology, a formula that is specified
  by law, takes into account many variables,
  including expenses over which a family has no
  discretion, such as taxes, employment expenses,
  and basic needs. There's also an allowance for
  your parents' saving for retirement that
  increases as they get older in recognition that
  more of their assets should be available to them
  as they near retirement age.

43

• Once your family's assets and income are totaled,
  these allowances are subtracted off of the top,
  leaving an amount over which your family
  theoretically has discretion. Your family can use
  these resources to buy a car, home furnishings, a
  boat, whatever. Or, they could be saved for a
  rainy day.
• Congress believes that the primary responsibility
  for paying for education is with the parents and
  students themselves, to the extent that they are
  able. That means that at least a portion of their
  savings and income should go toward paying
  educational expenses.

44

• Students may borrow up to 18,500 each year, with
  at least 10,000 of which must be unsubsidized.
• Example if you qualify for 4,000 in subsidized
  loans he or she could receive 14,500 in
  unsubsidized, for total of 18,500.
• If you qualify for 8,000 in subsidized he or she
  would qualify for 10,500 in unsubsidized loans,
  for a total of 18,500.