Have a Financial Education Plan: A Key to Unlocking Your Postsecondary Success

Navigating the world of postsecondary education is a thrilling yet daunting journey. Choosing the right program and institution, as well as effectively managing your time, often overlooks one crucial element: money! Whether you’re heading to university, college, or trade school, having a financial education plan isn’t just a smart move—it’s essential for ensuring that your academic journey is not only successful but also sustainable.

Why You Need a Financial Education Plan

An effective financial education plan is essential to preventing students from dropping out and overpaying for school. Proper planning for school helps prepare students for their journey throughout their school experience. Here are some strategies to help students develop a financial plan. 

Minimize Student Loan Debt

Let me first say… THERE IS NOTHING WRONG WITH STUDENT LOANS! Much like buying a house or car, loans provide the capital we might not have readily available to fund our postsecondary education. Debt from student loans can significantly burden many postsecondary students. By understanding your financial options early—from applying for scholarships and grants to exploring affordable loan options—you can minimize the amount you need to borrow. A financial education plan helps you assess your financial needs, figure out how much to borrow, and avoid unnecessary debt.

Maximize Financial Aid Opportunities

Many folks miss out on scholarships, grants, and other forms of financial aid simply because they don’t know what’s available or how to apply. Your financial education plan should involve research into all potential funding sources, including school-specific awards, government grants, and private scholarships. It is also beneficial to investigate potential apprenticeship programs that could provide students with tuition support. A scholarship, which is still in existence in my state, provides scholarship money to students who pledge to return and work within the state. By applying early and keeping track of deadlines, you can secure funds that may significantly reduce your out-of-pocket costs.

Location 

The school you attend is as important as what you study. Now I know you may be thinking I am talking about the name of a specific school, but I am actually talking about the in-state/out-of-state debate. The fact is, going to an in-state school is oftentimes cheaper than going out of state.  Financially, it is crucial for students to carefully consider whether the additional cost is worth it. Personally, I am an advocate for staying in your state and paying in-state tuition, especially if there are scholarship opportunities available. However, I acknowledge that there are situations where relocating can yield greater advantages. As you weigh your options, consider these questions:

• What are the desired outcomes for in-state versus out-of-state?
• What is the financial difference between in-state and out-of-state?
• Is there any way to offset the cost?
  • For example, complete the foundational classes at the in-state or community college and transfer to the out-of-state university.

Conclusion

A financial education plan is not just about exploring tuition costs and making a final decision; it is about sitting down and planning a detailed lesson on the framing and context of the postsecondary journey. Remember, the earlier you start, the more control you’ll have over your financial destiny. So, take the first step today toward building a brighter, financially sound education plan TODAY!