Knowing your budget is an important factor in building your college list

• Understanding how college is being paid for

Are you paying for college, are your parents paying for college, or a combination of both?

• As of 2025, the only guaranteed government loans where the interest is either unsubsidized or subsidized are capped each year of your undergraduate studies.

Freshman year: $5,500

Sophomore year: $6,500

Junior year: $7,500

Senior year: $7,500

• To be eligible for consideration for financial aid (which includes the loans above) and the Pell Grant, your parents will need to complete the FAFSA and/or CSS, depending upon the school. Some private scholarships also require a completed FAFSA and/ or CSS.

• Additional sources could be merit aid from the college/ university, scholarships from the college/ university, or private scholarships.

• One way to keep the cost down is to start at a local community college for 1-2 years. Some community colleges have pathways toward admission to the state schools, along with guaranteed transfer options for credits taken there.

Talking Points