{"id":45819,"date":"2020-06-03T14:05:48","date_gmt":"2020-06-03T19:05:48","guid":{"rendered":"https:\/\/abound.college\/finishcollege\/?post_type=advice&p=45819"},"modified":"2023-05-08T07:41:23","modified_gmt":"2023-05-08T12:41:23","slug":"how-to-choose-an-in-demand-degree-2","status":"publish","type":"advice","link":"https:\/\/abound.college\/finishcollege\/advice\/how-to-choose-an-in-demand-degree-2\/","title":{"rendered":"How to Choose an In-Demand Degree"},"content":{"rendered":"
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Going to college is expensive, and when it comes to choosing a college, price is top of mind for many students and families. At Edmit<\/a>, we\u2019re strong proponents of comparing prices among universities and colleges to ensure you\u2019re getting the best financial fit and value for your education budget. When evaluating a given college, it\u2019s important to take the whole picture into account–college tuition, room and board, activities, fees, and extracurriculars–estimated over four years. It\u2019s determining what\u00a0you\u2019ll\u00a0<\/i>pay as a full-time student–which is often different from what a college lists as its sticker price.<\/p>\n

So, how do you know the real cost of the colleges that interest you? It all starts with knowing what you\u2019ll pay for college–in other words, understanding college net price.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

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What\u2019s the Difference Between Sticker Price and Net Price?<\/h3>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
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NPR\u2019s\u00a0Planet Money<\/a>\u00a0notes you\u2019ll see two prices at any college: the sticker price and the net price. Sticker price, also sometimes called list price or published price, shows what colleges charge before financial aid (grants,\u00a0scholarships, need-based aid, merit aid) is factored in.<\/p>\n

If you\u2019ve been to any big box store or supermarket and looked at price tags, college sticker price is essentially the equivalent of the suggested retail price that\u2019s listed in tinier typeface. For colleges and universities, it\u2019s the full price value of their higher education \u201cproduct\u201d (for lack of a better term). And just like in a retail environment,\u00a0most students don\u2019t pay full price to go to college. They pay a\u00a0net price<\/strong>.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

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What is the Meaning of Net Price?<\/h3>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
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When it comes to college, the net price is the college\u2019s sticker price\u00a0minus\u00a0<\/i>the given student\u2019s financial aid award. It\u2019s the price the student actually pays, once scholarships, grants, and other discounts are taken into account. The net price refers to the price minus any financial aid that the student does\u00a0not\u00a0<\/i>have to pay back.<\/p>\n

When financial aid packages are being awarded–and the net price is being determined–colleges will look at the family household income, spouse income (if the parents\/guardians are divorced), number of dependents, and how many dependents are enrolled in college, all in relation to the cost of attendance, then make their final determinations for specific net price. This determines how each student\u2019s net price is calculated.<\/p>\n

Because each family\u2019s financial situation is different, it\u2019s likely that each student may pay a different net price based on their unique financial aid package. Additionally, because a family\u2019s finances may change from year to year, and tuition may go up each year a student is enrolled, expect the net price to be different each year as well.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

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Will I Have to Pay the Sticker Price?<\/h3>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
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If you\u2019re like most higher ed students in the U.S., probably not. There are many ways to chip away at the sticker price, and colleges don\u2019t expect most of their students to pay in full. If you think you\u2019ll qualify for financial assistance, there\u2019s a good chance you\u2019ll receive some need-based financial aid.<\/p>\n

The\u00a0National Association of College and University Business Officers<\/a>\u00a0surveyed more than 400 private nonprofit colleges and universities, and the results showed more than 78 percent of all undergraduates received grants during the 2016-17 academic year. These grants covered more than half of college tuition and fees.<\/p>\n

If you have stellar academic performance and\/or athletic and extracurricular achievements, you may also qualify for merit-based financial aid awards. These types of scholarships can be awarded from a specific school, as well as from local institutions such as religious organizations, nonprofits, trade associations, civic groups, and businesses.<\/p>\n

In short: Don\u2019t take a college\u2019s sticker price as set in stone. Start crunching the numbers to get a better sense of the net price–what\u00a0you\u00a0<\/i>should expect to pay.<\/p>\n

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How to Calculate the Cost of College<\/h3>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
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Before looking at any schools, get a sense of what your budget for college will be. Look at any savings, earnings, and other expected areas of contribution. If you start the college search already knowing which schools you can afford, you\u2019ll be better informed in determining which schools you\u2019ll want to visit and to which schools you\u2019ll apply.<\/p>\n

When you know your budget, visit the websites of the colleges and universities that interest you and check out their net price calculators. (The U.S. Department of Education also has a centralized\u00a0college net price calculator<\/a>\u00a0where you can search specific schools directly.)\u00a0US News and World Report<\/a>\u00a0notes that some colleges may use a different term, such as\u00a0personal cost estimator<\/i>\u00a0or\u00a0student financial aid estimator<\/i>. It\u2019s essentially the same thing as a net price calculator.<\/p>\n

Note that these calculators only provide estimates to start, and specific award levels will vary by student need. Additionally, many net price calculators\u00a0only\u00a0<\/i>take financial need into account, and won\u2019t necessarily factor in merit aid. (It varies on a case-by-case basis by calculator; check with the college or university financial aid office if you\u2019re not sure.) So treat net price calculators as a starting point: These estimates will give you baselines you can use to start your specific, personalized research. Based on your college net price research, you should get an early sense, based on the averages, of which schools are a financial fit with your budget–and you can narrow your list for the ones you\u2019ll apply to.<\/p>\n

[Here’s why net price calculators are just part of the picture<\/a>, and where to go for more information]<\/p>\n

Once you know which schools you\u2019ll apply to, fill out the Free Application for Federal Student Aid (FAFSA<\/a>) online and complete your family\u2019s financial profile. Check to see if any of the schools you\u2019re applying to also require a\u00a0CSS\/PROFILE application<\/a>; if so, complete and submit it. And it goes without saying–Make sure you\u2019re complying with all college application and financial aid deadlines. If you turn any financial aid applications in late, you\u2019re cutting yourself out of the potential aid pool.<\/p>\n

Once your college acceptance and financial aid award letters start coming in, you\u2019re ready to compare your offers and determine what your specific net prices will be.<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n

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How to Compare Costs Among Several Colleges<\/h3>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
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Northeastern University<\/a>\u00a0student Wesley Cannon devised a handy system for evaluating college net price and comparing which school makes sense for your budget and goals, which he recently shared with Edmit.<\/p>\n

To start, collect all the cost information for each school, including list price, award letters, and any supplementary information. Using a spreadsheet or even an old-fashioned notebook, note your top schools, creating a separate column for each school. For line items, you\u2019ll list out:<\/p>\n