- What Is the Saving on a Valuable Education Plan (SAVE)?
The Saving on a Valuable Education (SAVE) Plan is an income-driven student debt repayment plan introduced by the Biden administration. It replaced a similar plan called REPAYE. The SAVE Plan offers more generous terms than other student loan payment plans. It raises the minimum applicable income and helps cover interest, which can accumulate quickly under… read more…
- 529 Plans vs. Indexed Universal Life (IUL) Insurance
College and other educational expenses can be a significant financial challenge for many families. Two options often considered to manage these expenses are 529 plans and indexed universal life (IUL) insurance. A 529 plan is a tax-advantaged savings vehicle specifically designed to cover future education costs, offering tax-free growth and tax-free withdrawals when used for… read more…
- Guide to 401(k) Matching for Your Student Loan Payments
Student loan-retirement matching programs offer a way for employees to manage their student debt and save for retirement at the same time. With these programs, employers can match a portion of an employee’s student loan payments with contributions to their 401(k) plan. By addressing two major financial concerns – student debt and retirement savings –… read more…
- Will a 529 Plan Affect Financial Aid Eligibility or Amount Awarded?
A 529 plan can influence financial aid eligibility and the amount awarded. While these savings plans are valuable for covering education expenses, they are considered parental assets on the Free Application for Federal Student Aid (FAFSA). As such, they can reduce the amount of need-based financial aid a student may receive. However, while a 529… read more…
- Guide to Education Savings Accounts & College Savings Plans
Education savings accounts (ESAs) offer a straightforward and efficient way to set aside funds for future educational expenses. These accounts, also known as Coverdell ESAs, are tax-advantaged savings vehicles that allow you to sock away $2,000 per beneficiary per year. That money can later be withdrawn tax-free to cover a range qualified educational expenses, from… read more…
- How Divorce Impacts Your Student Loan Debt
The division of student loan debt is one of the most pressing financial concerns for divorcing couples – a burden that can significantly shape both spouses’ financial futures. Typically, student loan debt incurred before the marriage is the responsibility of the person who took on the debt, while a student loan taken during the marriage… read more…
- SAVE vs. PAYE vs. REPAYE vs. IBR for Student Loan Repayment
Federal student loan borrowers can choose from several plans that may lower their payments and ultimately forgive part of their debt. Four forgiveness plans, which are known by their initials SAVE, PAY, REPAYE and IBR, set monthly payments based on borrowers’ discretionary income and family size. After making payments for a number of years, any… read more…
- 8 Ways Parents Can Plan for Their Kids’ College
The average cost of tuition and fees for the 2024–2025 school year is $11,011 for in-state residents at public colleges and a whopping $43,505 at private colleges, according to 2024 data collected by U.S. News & World Report. Yet, by taking a few key steps, you will find many practical ways to prepare financially for… read more…
- What Is a Dynasty 529 Plan and How Does It Work?
Dynasty 529 plans allow families to fund multiple generations’ college costs from a single account. Regular 529 college savings plans offer unique benefits. These can be powerfully leveraged when wealthy families take a very long-term perspective. By naming young beneficiaries and changing them over time, the assets can grow tax-free for decades. However, Dynasty 529… read more…
- What Is the Average Student Loan Interest Rate and Payment?
Research from EducationData.org shows that almost 45.3 million Americans hold an average federal student loan debt balance of $37,338. Combined, student loan debt in the U.S. adds up to nearly $2 trillion. According to the same data, the average student loan monthly payment is $503. This is debt that needs a specific plan to make… read more…
- A Guide to Student Loans: How Do They Work?
Student loans have become one of the most complicated aspects of modern finance. They involve large – often high interest rate – amounts of debt, typically taken on by young people with little current earnings and typically structured along 20-year repayments.… read more…
- Deferment and Forbearance of Student Loans
Deferment and forbearance are options that people struggling to keep up with their student loans can use to make sure they don’t get into serious trouble. Falling behind on your payments can hurt your credit or lead your lenders to… read more…
- What Is a Stafford Loan, and How Do You Qualify?
If you’re in search of financial help for higher education, you may have explored different scholarships and grants to pay the way. Gifted money is a great way to pay for school without having to worry about paying it back… read more…
- A Guide to Subsidized and Unsubsidized Loans
As you explore funding options for higher education, you’ll come across many different ways to pay for school. You can try your hand at scholarships and grants, but you may also need to secure federal student loans. Depending on your financial… read more…
- Top States for Higher Education – 2018 Edition
It’s hard to overstate the value of an education. According to Census Bureau data from 2016, the average worker with a bachelor’s degree earns $51,600 per year. That is roughly $22,000 more than the average worker with a high school diploma earns and $30,000 more than a worker without a high school diploma earns. But… read more…
- The Best Community Colleges of 2017
In today’s economy it can be difficult to get the best jobs without having a good education. Unfortunately, the cost of attending a four-year college is rising quickly, forcing many people to take on large chunks of debt or forgo college entirely. According to College Board, the average cost of attending a four-year public university has… read more…
- The States With the Best Schools in 2017
Education is a factor that parents often take into account when deciding where to settle down and purchase a home. That’s why most of the best places to raise a family have good schools. While education has never been the great equalizer it was meant to be for students in the United States, those who… read more…
- The Best States for Higher Education in 2017
Besides comparing colleges based on their size and academic programs, high school graduates need to consider whether they’ll take advantage of in-state scholarships and grants or enroll in an out-of-state school. After, all some states do a better job of providing students with a high quality education. Wondering how your state’s public colleges compare to… read more…
- The Best Cities for Working Students in 2017
Not all students can cover the cost of their college education with the grants or scholarships in their financial aid packages. Some begin their college careers by taking out student loans, while others look for part-time jobs and work-study positions. Students who are trying to avoid taking on too much debt may wonder what their… read more…
- All About the Federal Pell Grant
College students who need financial aid may qualify for various federal programs. For example, the government offers two different kinds of student loans. It also offers the Federal Pell Grant. If you’re eligible for this grant, you won’t be responsible… read more…
- The Highest-Paying College Major in Every State – 2016 Edition
Deciding on a subject to major in is a huge decision for most college students. There are many factors to consider, including your interests, your strengths and future career opportunies. Choosing a less lucrative career path may have its downsides, particularly if you have few job prospects after graduation and you’re buried under a mountain… read more…
- How to Fill out Your FAFSA Form
Many families who can’t afford to cover the cost of a child’s college education rely on student loans and financial aid to fill in the gaps. Students who want any sort of financial assistance from the federal government must complete… read more…
- The Pros and Cons of Free College
Free college has become a mainstream topic in political debates across the country. Should every American be able to get a bachelor’s degree at no cost? What are the pros and cons of free college? If you have student debt yourself or you have kids who plan to go to college, you probably have strong… read more…
- What to Do If You Miss a Student Loan Payment
We all know that it’s important to pay off our debt. But student loan debt can sometimes get lost in the shuffle when you’re trying to keep up with your other bills and financial obligations. If you happen to miss… read more…
- The Best Community Colleges of 2016
On average, in-state students who attended public four-year institutions spent $9,410 during the 2015-2016 school year on tuition and fees, according to the College Board. After accounting for room and board, that total rose to $19,548. For many students, attending a community college for two years and then transferring to a university is a much… read more…