The College Solutions Blog

February 17, 2010

Recently I wrote posts that cautioned parents and students not to take on too much college debt. Why am I being a nag? College loan debt can be toxic. My Exhibit A is a family practitioner in Columbus, OH, Michelle Bisutte, who finished medical school with $250,000 in debt in 2003. Today her college loan levels have swelled to $555,000....

February 16, 2010

There’s been tons of media attention over the years on the best places to save for college. The 529 savings plan has grabbed the most attention. I’ve used 529 plans for both of my kids through Vanguard, but today, I want to suggest another potential way to save for college:  a Roth IRA for your child. A Roth IRA won’t...

February 15, 2010

How much is a college degree worth? Turns out that a bachelor’s degree might not be as valuable as you think. For years the College Board has suggested that a college graduate earns about $800,000 more over his or her lifetime than high school graduates. This earnings figure, however, is apparently way off. The real lifetime earnings advantage could be...

February 12, 2010

I wanted to follow up on yesterday’s post: How Much College Loan Debt Is Too Much? In that post I talked about what is an acceptable level of college loans that students should assume. That post prompted Stuart, a blog visitor, to ask me this question about PLUS loans: What about the parents? What is a reasonable amount of student...

February 11, 2010

The typical student graduates from college with $23,200 in college loan debt. That figure, which comes from a recent study from the Project on Student Debt, only includes student loan debt. The $23,200 tab does not include money that parents borrowed through the federal PLUS loan program, a home equity line of credit or by dipping into retirement accounts. Is...

February 9, 2010

What schools offer the best college financial aid? Last month, I wrote this post: 51 Colleges With the Best Student Financial Aid. Please take a look at the list because it includes schools with awesome financial aid policies that will reduce your stress about how you will pay for college. Researchers from the University of Pennsylvania and Amherst College assembled...

January 27, 2010

I want to follow up on yesterday’s post that explained why saving for college almost never hurts a family’s chances for student aid. Yesterday I shared a chart that illustrates how colleges allow families to shelter a large chunk of their savings from FAFSA financial aid calculations. You can see the FAFSA chart by clicking on this link: 2 Biggest...

January 26, 2010

Are you worried that saving for college will ruin your chances for financial aid? Relax. Parents who save for college are almost never penalized in student financial aid considerations. In fact, only about 4% of families who complete financial aid forms are penalized for their savings. Here are the two biggest reasons why saving money shouldn’t hurt your financial aid...

January 18, 2010

It’s FAFSA season, which is why I’ve been bumping into parents who are grumbling about filing out the Free Application for Federal Student Aid. It’s no wonder that parents grumble. The FAFSA isn’t a user friendly document and it’s easy to make mistake. Paula Bishop, a CPA friend of mine in Bellevue, WA., who fills out a lot of FAFSA...

January 17, 2010

Beware of  The Princeton Review’s latest college rankings of the 100 Best Value Colleges for 2010. Here’s why I’m not a fan of Princeton Review’s generous college rankings: Some parents who use this list on their college search could up spending more than $200,000 for a college degree. Some deal, huh? Kiplinger’s best value college rankings doesn’t make clear who...