Okay, so I’m applying to a few grad schools right now, mainly in History programs. Tuition costs are, obviously, a huge concern, but I’m also trying to figure out the other stuff. Like, I’ll probably need to move, so there’s moving expenses. And I’m trying to estimate how much it will cost to live in these cities (Boston, Chicago, and Berkeley are the current frontrunners). So besides scholarships, fellowships, and assistantships that cover tuition, what other financial assistance options are usually available to grad students?
Specifically, I’m interested in:
- Living stipends: How do those typically work? Are they enough to actually live on in those cities I mentioned?
- Moving allowances: Do universities ever offer any help with the costs associated with moving?
- Health insurance: Is this usually included in a financial aid package, or is it a separate cost I need to factor in? If it’s included, what’s the coverage generally like?
- Conference/research funding: My research will definitely require travel to archives and conferences. Are there usually grants or funding opportunities within the department or university for those kinds of expenses?
- Emergency funding: What happens if I have an unexpected expense, like a medical bill or a car repair? Are there any resources available for those kinds of situations?
- Tax implications: How do stipends and other forms of financial aid get taxed? Does the university offer resources to help with understanding taxes?
Basically, I’m trying to get a realistic picture of the full financial support package I might receive and how that will impact my overall cost of living. Any insights into these specific areas, or any other types of financial support I haven’t thought of, would be incredibly helpful! Thanks!
Answer
Beyond tuition assistance, a range of financial support options can help students cover the costs associated with higher education. These can be broadly categorized as follows:
I. Grants and Scholarships (Gift Aid):
- Federal Grants: The US federal government offers several grant programs. The Federal Pell Grant is a need-based grant available to undergraduate students with exceptional financial need who have not yet earned a bachelor’s degree. The Federal Supplemental Educational Opportunity Grant (FSEOG) is another need-based grant administered by participating colleges and universities. Priority is given to Pell Grant recipients. Other federal grant programs may target specific fields of study or populations.
- State Grants: Many states offer grant programs for residents attending eligible colleges and universities within the state. Eligibility criteria, award amounts, and application processes vary widely by state. Examples include Cal Grants in California, TAP (Tuition Assistance Program) in New York, and grants offered by state higher education agencies in other states.
- Institutional Grants and Scholarships: Colleges and universities themselves often provide significant grant and scholarship funding to their students. These awards can be based on merit (academic achievement, artistic talent, athletic ability), financial need, or a combination of both. Institutional scholarships may also be targeted to specific programs, departments, or student populations.
- Private Scholarships: Numerous private organizations, foundations, corporations, and individuals offer scholarships to students. These scholarships can have diverse eligibility criteria, ranging from academic major and GPA to extracurricular activities, community involvement, ethnicity, religious affiliation, or specific interests. Scholarship search engines and databases can help students identify relevant opportunities. Examples include scholarships from organizations like the Coca-Cola Scholars Foundation, the Gates Millennium Scholars Program (now closed to new applicants but illustrative of this type of aid), and many smaller, more localized scholarships.
II. Student Loans:
- Federal Student Loans: The US Department of Education offers several types of federal student loans. Direct Subsidized Loans are available to undergraduate students with demonstrated financial need. The government pays the interest on these loans while the student is in school, during the grace period, and during deferment. Direct Unsubsidized Loans are available to undergraduate and graduate students, regardless of financial need. Interest accrues on these loans from the time they are disbursed. Direct PLUS Loans are available to graduate or professional students and to parents of dependent undergraduate students to help pay for education expenses. A credit check is required for PLUS loans.
- Private Student Loans: Private lenders, such as banks and credit unions, also offer student loans. Private loans typically have variable interest rates and may require a credit check and a co-signer. The terms and conditions of private loans can vary significantly, so it’s essential to compare options carefully. Federal loans generally offer more borrower protections and repayment options than private loans.
III. Work-Study Programs:
- Federal Work-Study: The Federal Work-Study program provides part-time jobs for undergraduate and graduate students with financial need, allowing them to earn money to help pay for educational expenses. Students work on campus or at eligible off-campus organizations.
- Institutional Work-Study: Some colleges and universities offer their own work-study programs, which are similar to the federal program but funded by the institution.
- Other On-Campus Employment: Students can also find part-time jobs on campus that are not part of a formal work-study program. These jobs may be in departments, libraries, dining halls, or other campus facilities.
IV. Need-Based Aid Beyond Direct Costs:
- Cost of Attendance Adjustments: Financial aid offices can sometimes adjust the cost of attendance (COA) to reflect certain expenses that are not typically included in the standard COA. This can lead to increased eligibility for need-based aid. Examples of expenses that might be considered for a COA adjustment include dependent care expenses, medical expenses, or extraordinary travel costs.
- Emergency Funds: Many colleges and universities have established emergency funds to help students facing unexpected financial hardships that could jeopardize their ability to stay in school. These funds can provide assistance with expenses such as rent, food, transportation, or medical bills.
- Food Banks and Pantries: Some colleges and universities operate food banks or pantries on campus to provide food assistance to students experiencing food insecurity.
- Housing Assistance: Some institutions offer subsidized housing options or assistance with finding affordable off-campus housing.
- Transportation Assistance: Colleges and universities may offer transportation assistance, such as discounted bus passes or shuttle services, to help students get to and from campus.
V. Support for Specific Student Populations:
- Veterans Benefits: The Department of Veterans Affairs (VA) offers a range of education benefits to eligible veterans, active-duty service members, and their dependents, including the Post-9/11 GI Bill and the Yellow Ribbon Program.
- Tribal Aid: Native American students may be eligible for financial assistance from their tribal governments or from organizations that support Native American education.
- Foster Youth Programs: Some states and colleges offer programs specifically designed to support students who have been in foster care. These programs may provide financial aid, housing assistance, mentoring, and other support services.
- Students with Disabilities: Students with disabilities may be eligible for accommodations and support services from their college’s disability services office, which can help them succeed in their studies. They may also be eligible for disability-related financial assistance.
- International Students: International students may be eligible for scholarships and grants from their home country governments, international organizations, or the colleges and universities they attend.
VI. Tax Benefits:
- American Opportunity Tax Credit (AOTC): The AOTC is a tax credit for qualified education expenses paid for an eligible student for the first four years of higher education.
- Lifetime Learning Credit (LLC): The LLC is a tax credit for qualified education expenses paid for undergraduate, graduate, and professional degree courses, as well as courses taken to acquire job skills.
- Student Loan Interest Deduction: Taxpayers may be able to deduct the interest paid on qualified student loans, up to a certain limit.
It is important for students to thoroughly research all available financial aid options and to apply for aid early. The Free Application for Federal Student Aid (FAFSA) is the primary application for federal student aid, and many states and colleges also use the FAFSA to determine eligibility for their own aid programs. Some institutions may also require students to complete the CSS Profile, which is a more detailed financial aid application. Seeking advice from the college’s financial aid office is vital for navigating the complexities of financial aid.
