Meghan Clark knows how hard it can be to pay for college. The 20-year-old Marmora resident, who graduated from Atlantic Cape Community College earlier this month, worked full time to afford her associate’s degree.
“I started out freshman year of college, I had like $200, if that, in my savings account. I didn’t have a job in high school,” Clark said. “I actually went to a school before I went to Atlantic Cape, and I had to leave because the financial burden was way too much.”
Like Clark, students across the country say they are not ready for the financial burden of higher education.
A new survey from Junior Achievement USA and Citizens Bank found many high school juniors and seniors, as well as college freshmen, felt unprepared to pay for college, and even more had not done any research on the topic. The survey also found that between 30 percent and 40 percent of those students had less than $1,000 in their savings account.
People are also reading…
- No beach concerts planned for this summer in Atlantic City
- 'Finish line ahead' for 'very large project' at Ventnor Plaza
- Atlantic City principal charged with official misconduct, asked to step down from Dem committee
- Millville breaks March one-day precipitation record in March 16 nor'easter
- Atlantic City police chief, sheriff differ on county helping city
- Search warrants served at Atlantic City mayor's home
- Rytterstrom named president of Borgata casino in Atlantic City
- Our NJ nor'easter is underway, here's the forecast
- Gov. Murphy signs gas tax hike, electric vehicle fee into law
- Atlantic City Coast Guard assisting with Baltimore bridge collapse
- 33 graduate from Atlantic County Fire Academy at Boardwalk Hall
- Could the Philadelphia Phillies' home opener be a rainout for the 2nd year?
- 3 arrested after drugs, gun found in Atlantic City home
- Cape May County wants parkway rest stop named for Civil War veteran, not Bruce Willis
- Handpicked numbers were golden ticket to $1.13B Mega Millions jackpot in New Jersey
No local data were available from this survey, but New Jersey does have a financial literacy component in its curriculum standards, meaning students are required to receive some financial education while in high school.
Clark said she took a financial class her senior year at the Atlantic County Institute of Technology. While that helped, she wished she had more lessons in filling out financial forms, making a budget and saving.
“When I was younger, I was always told put money in your college fund. … I feel like I should have listened more to that, but a lot of time it became tough for my family to save that much,” Clark said.
During her time at Atlantic Cape, Clark’s parents’ financial situation made her unable to acquire loans, so she worked full time and paid for her credits out of pocket.
“It was always that thought in the back of my head, you could go out to eat, but you could also pay for a credit of your class,” she said.
Clark said it’s scary to think of people like her cousin who come out of college thousands of dollars in debt.
“You have to get educated to get a substantial job nowadays, but you have to live with that debt for a long time,” she said.
Across America, students are going into debt to attend college. National data show more than 67 percent of college students have received a loan at some point to pay for school.
According to the Pew Research Center, Americans owed $1.3 trillion in student loans at the end of June 2017, with four in 10 adults under age 30 having student loan debt.
The average amount of debt is about $25,000 for a bachelor’s degree and $45,000 for a post-graduate degree.
Clark said after her last college experience, she is better prepared for the financial responsibility when she eventually pursues her bachelor’s degree. First, she said she is participating in Disney’s College Program.
According to the Junior Achievement Survey, a majority of teens agreed a college degree is worth the cost and have applied or will apply to college.
“Kids today are intelligent. They know that a college degree is a good pathway to future success yet simply need more help understanding the implications of their decision-making. It absolutely takes a village to help ensure teens can accomplish what they hope to in life,” said Robin Olson, Junior Achievement’s director of development.
Jeanne Lewis, director of financial aid at Stockton University, said loans are an investment in the students’ college education.
“Their ability to repay the loan is realized after earning the college degree and attaining employment for which the college education has prepared them,” Lewis said.
She said students should be working during the summer and saving money to contribute toward their education, but that real financial planning is a family affair.
“If it’s possible, the family should begin to prepare financially as a unit early on when the student is actually a child,” Lewis said. “And of course, students should be applying for scholarships. That is so important.”
Contact: 609-272-7251 CLowe@pressofac.com Twitter @clairelowe
How can you lower the cost of college?
Here are some suggestions on how you might be able to lower the cost of college. For many of these suggestions, you’ll want to follow up with the colleges or career schools you are interested in to get additional details.
- Set a budget and stick to it! Having a budget will help you compare anticipated college or career school expenses against your potential available income and financial aid. You also can use a budget to compare costs between different schools. Learn about budgeting.
- College or career school costs can vary significantly and there are many schools with affordable tuition and generous financial assistance. Make sure to research all schools that may meet your academic and financial needs. To find colleges or career schools, use our college search tool, College Navigator.
- You may be able to get school credit based on your knowledge or life experiences, and you can manage your course work to reduce costs.
Ask your school whether it’s possible to “test out of” any classes. If you don’t take a class, you may not have to pay for the credits.
Some colleges give credit for life experiences, thereby reducing the number of credits needed for graduation.
Most schools charge a set price for a specific number of credits taken in a semester. If academically possible, take the maximum number of credits allowed. This strategy reduces the amount of time needed to graduate.
Some schools offer combined degree programs or three-year programs that allow you to take all of the courses needed for graduation in three years, instead of four, thereby eliminating one year's educational expenses.
- Colleges and career schools may offer discounts on tuition if
you are a child of an alumnus or alumna (i.e., if your parent went to the school);
more than one family member is enrolled at the school;
you are a student government leader or the editor of the college newspaper or yearbook;
you are an older student;
your family’s main wage earner is unemployed; or
you or a member of your family works at the school.
- Housing costs can add up. Here are some tips for reducing your housing costs:
If you go to a college or career school near home, consider living with your parents or other family.
If you live off-campus, consider sharing a house or apartment with multiple housemates to cut down the cost of rent, and carpool to save on gas and parking.
Most colleges and universities sponsor resident advisor programs that offer reduced tuition or reduced room and board costs if you work in a residence hall.
- You may be eligible for health care benefits including the following:
Most young adults can stay on their parents’ family plan until they turn 26, even if they are married or still living with their parents.
If you have been uninsured because of a pre-existing condition, you may be eligible to join the Pre-Existing Condition Insurance Plan.
If you are in a new insurance plan, insurance companies cannot charge you a deductible or copays for recommended or preventive services such as flu shots or other immunizations.
- You can work part-time to pay part of your costs. Be sure your work and school schedules don’t conflict and that you have enough time for studying. Here are a couple of options:
The Federal Work-Study Program provides an opportunity to earn money while going to school. Ask schools if they participate in the program.
Cooperative education programs allow students to alternate between working full-time and studying full-time.
Most schools have placement offices that help students find employment and personnel offices that hire students to work on campus.
- Taking small steps can add up. For example, you can lower the cost of textbooks if you buy used books or rent textbooks (if you won’t need the books once you finish the class).
Source: U.S. Department of Education Office of Federal Student Aid
Be the first to know
Get local news delivered to your inbox!
Claire Lowe
Staff Writer
Get email notifications on {{subject}} daily!
{{description}}
Email notifications are only sent once a day, and only if there are new matching items.