About This Quiz
The words 'college tuition' strike fear in the hearts of most parents (and even potential parents). But fear not. There is a lot of financial aid out there, and the federal government is trying to make it easier for students to find it and apply for it. This quiz could help you navigate your way through the financial aid maze.According to the College Board, the average cost for the 2009-2010 school year at a private four-year college was $26,273.
Advertisement
According to Forbes magazine, the most expensive college for the 2008-09 academic year was George Washington University.
Advertisement
The 2008-09 school year at GWU cost $40,437, and tuition is only going up, up, up.
Advertisement
Two-thirds of all college students received some kind of financial aid in 2007-08.
Advertisement
The average financial aid award was $10,185 -- about half in grant aid and half in federal loans.
Advertisement
According to the College Board, 53 percent of college students go to four-year schools with tuitions less than $9,000.
Advertisement
According to the College Board, 66 percent had some kind of education debt, and 10 percent had borrowed $40,000 or more.
Advertisement
There's $168 billion in financial aid up for grabs.
Advertisement
Completing the Free Application for Federal Student Aid (FAFSA) is the first step in the process. It examines your family's finances and eventually will give you the amount you're expected to contribute to your college education.
Advertisement
This is an easy one -- grants don't have to be paid back.
Advertisement
The maximum Pell Grant for the 2008-09 school year was $4,731, and about 25 percent of students qualified for the full amount.
Advertisement
Pell Grants are based on financial need. In the application process, they'll formulate an EFC (expected family contribution). The amount awarded is figured from the EFC and some other factors, like if you're going to be a full- or part-time student.
Advertisement
Stafford and Perkins are the two biggies.
Advertisement
The bill allows students to take out an extra $2,000 a year in Stafford loans.
Advertisement
Yes, that's true. You start paying it back -- with interest -- as soon as you leave school.
Advertisement
Both the Stafford and Perkins programs require you to pay back the loan within 10 years.
Advertisement
There are many, many benefits of 529 plans -- one of the biggest is that you don't pay taxes on the account's earnings.
Advertisement
Sounds too good to be true, but it's a fact. You can prepay tuition at qualified schools in the state in which your 529 plan is based.
Advertisement
The limit is still pretty high, but it's $268,000, not $368,000.
Advertisement
Most work-study programs require about 10 to 15 hours on the job every week.
Advertisement