The Ultimate Guide to Paying Less for College
Running the numbers on typical college costs can leave you feeling breathless and wondering how you’re going to afford it. Sticker prices look staggering these days, especially for private colleges. But believe it or not, the net price — what a student actually pays — has been going down in recent years due to increases in financial aid.
Even so, the trend doesn’t necessarily translate into affordability for the lower and middle-income brackets. And finding a college that offers you enough free money is no easy feat.
In this guide, we offer a comprehensive list of ways, big and small, to cut costs before, during and after college.
Before College
Research financial aid policies
Each college handles financial aid and merit scholarships in its own way, so understanding the variation is key. Some schools, like the small subset of highly selective “meets-need” colleges, give out most (if not all) of their scholarships based on financial need — even families with incomes up to $200,000 may qualify for some aid from the most generous of these schools. Other colleges tend to offer primarily merit aid and still others don’t give much of anything — even if you have demonstrated need. Understanding types of aid and your family income in relation to it helps you figure out where to apply. “Apply to enough colleges, including state schools, so that you have more choice at the end,” says Nancy Goodman, founder of College Money Matters, a nonprofit focused on helping families pay for college.
Apply where your stats shine
The best source of free money — grants and scholarships — comes from college themselves. The vast majority of outside scholarships can nibble around the edges of your tuition bill but won’t significantly reduce a cost that starts out too high. Apply where your grades and test scores land in the top 25% (or even 10%) to increase the odds of a solid merit scholarship. You don’t even need to be a crazy-good student — “Your stats just need to stand out from others at that particular college,” says Ann Garcia, a certified financial planner (CFP) and author of How to Pay for College.
Predict your personalized net price in advance
Before you can find areas to cut, you first need to get a better understanding of what you could owe. Start with college net price calculators (to find a particular one, search the college name and net price calculator). Mileage varies with these tools, but they’re still worth using to predict financial aid or the possibility of a merit scholarship. Alternatively, you can search a particular college name plus “Common Data Set” to learn about its student statistics — like 25th percentile SAT scores, average high school GPA and average financial aid award.
This research helps you target colleges that are more likely to offer you money. You won’t know the final numbers until financial aid letters arrive in the spring, so don’t write off a college you love if it seems on the expensive end of things during this step — just be prepared to walk if the final offer isn’t within your budget. For extra insight, you can join a Facebook page devoted to the college search, like Paying for College 101, an active forum of nearly 300,000 members.
Explore state scholarships and grants
Many students know that states offer scholarships or grants (or both) to resident students to attend an in-state public institution. But did you know some states offer additional scholarships in high-need industries to encourage those fields of study? There are also regional agreements, which offer reduced tuition rates to residents of neighboring states. The Western Undergraduate Exchange, for example, is a network of 170 schools across 15 states where students pay no more than 150% of a college’s resident tuition rate.
Get good grades
There’s a college out there for students of all types, Garcia says, but good grades only help (with getting in and paying for it). Albion College, for example, offers a scholarship worth $40,000 for students with a 3.8 or higher GPA paired other attributes like extracurriculars and leadership. Some colleges, like Boise State University, publish automatic scholarships for specific GPAs on their website. Be sure to research priority deadlines for scholarships and apply by then to be considered.
Take the SAT or ACT more than once
Even in an era when many colleges have gone test-optional, higher ACT or SAT scores combined with decent grades can also earn you merit scholarships. Some schools guarantee a certain amount of money for meeting a specific threshold. For example, the University of Alabama offers $4,000 for a GPA between 3.0 and 3.49 with a 25 on the ACT or a 1200 to 1220 on the SAT. A GPA above 3.5 with at least a36 ACT or 1360 SAT score will net you a full tuition scholarship. Other schools offer scholarships that aren’t automatic, such as University of Memphis. You can use free resources and practice tests, or sign up for a fee-based prep course. If you take the course seriously and are able to improve your scores, the fee could more than pay for itself with additional scholarships.
Fill out the FAFSA
Every year, families skip the Free Application for Federal Student Aid, or FAFSA, because they don’t know about it or they assume they won’t qualify for aid. Even if you don’t qualify for a federal Pell Grant, states and colleges use the information you submit on the form to calculate their own awards. It’s not too late to fill it out and get federal aid the upcoming fall semester. If you don’t qualify to file the FAFSA, some states offer alternative forms to access state aid.
Appeal your financial aid award
If your financial circumstances have changed or aren’t accurately reflected since you filed the FAFSA, file an appeal letter to the financial aid office with supporting documentation.
Even if your finances haven’t changed, you can still appeal your merit award with the admissions office, who may offer you more money if they're eager to fill up their freshman class — particularly if you have competing awards from other similarly tiered schools. College Aid Pro, a college-planning software company, had a nearly 90% appeal success rate at private colleges and 35% at public universities this spring, according to cofounder Matt Carpenter. The typical appeal netted an additional $4,000 to $6,000. Even now in June, “there are still colleges proactively reaching out to students that did not enroll in their institution and offering them more money,” Carpenter says. There’s no guarantee a school will pony up more scholarship money, but it doesn’t hurt to ask. Use this template by Swift Student or College Aid Pro’s free resource.
Earn college credit in high school
Taking dual enrollment classes or CLEP exams in high school sends you off to college with credits under your belt, potentially taking a chunk out of the price of degree, says Josh See, an educational consultant in Colorado. About 31 states guarantee community college credits transferring to a four-year college. “Every course you can take in high school is essentially $2,500 off the cost of a class in college,” See says.
Just know that not all four-year colleges accept transfer credits as the equivalent of a required class in a particular program. You may still have to take the university’s calculus classes, for example. To ensure credits transfer seamlessly, work with advisors at the community college and the school where you intend to transfer, See says.
Start at a community college
Alternatively, if you’ve already graduated from high school, consider taking your general education courses at a community college for a fraction of the cost, potentially knocking thousands off the cost of a degree. According to the College Board, two-year tuition averaged $4,050 while tuition at an in-state four-year college averaged $11,610 in 2024-25. Again, work with advisors at both schools so you don’t lose credits or waste time (and money) retaking courses.
Live at home
Commuting to a nearby college eliminates dorm and meal-plan fees, potentially saving up to $15,000 or more annually. “The best education at the cheapest price is probably going to be your local state university and living at home,” Goodman says.
Go to school abroad
Overseas degrees are drawing more attention as a cost-effective alternative to American higher education. European universities offer three-year programs taught in English — often at a fraction of the tuition costs at private universities in the U.S. (European tuition rates typically range from $3,000 to $15,000, depending on the country). Housing and meals are separate but can be cheaper than the US. You’ll still need to factor in other fees like a student visa, international health insurance and long-distance travel home. Still, it can be a great option for the culturally curious student. (Bonus tip: Resources from Beyond the States, Study in Holland and Campus France can help you get started.)
Regroup
If your college choices feel out of reach, consider a new search. "If you can't afford it, don't go," Goodman says. "Going and dropping out because you can’t afford it is the worst possible scenario." This advice applies even if you’ve already applied and been accepted only to discover the school is out of your price range. If you’re starting school in the upcoming fall semester, the National Association for College Admission Counseling maintains a list of colleges still accepting applications each summer, and some still have financial aid and housing available.
During College
Make satisfactory academic progress
Adjusting to college classwork can be bumpy — that’s normal. But to keep your scholarships and financial aid, you typically need to maintain a certain GPA and complete a certain number of classes each year. Research your school’s requirements. If you’re struggling with academics, hit the tutoring center and professors’ office hours.
Graduate in four years
Adding time to a degree can add significant cost, not only in direct expenses like tuition and housing but also indirectly with a delayed entry into the workforce. In fact, the Federal Reserve Bank of New York found that one extra year in school reduces the rate of return on a college degree by about a quarter. Keep in mind that if you’re not coming into college with credits and you don’t take summer courses, you’ll need to average 15 credits per semester to graduate on time.
Choose your housing and meal plan carefully
Tuition prices get a lot of headlines, but room and board costs have also ballooned in the past decade. Housing and meal costs can add $13,000 to $15,000 (or more) to the annual bill. You may be able to chip away at that total by choosing a less expensive room type, occupancy (triples cost less) and meal plan. Living off campus may be even cheaper, if allowed, but be sure to compare the cost of a 12-month lease to a 9-month residence hall.
Keep applying for scholarships
Don't make the mistake of thinking scholarships are only for first-year students. After you've enrolled, you should search for awards for returning students, and be sure to look for scholarships offered by your academic department. You can also look for outside scholarships at places such as Big Future, Appily, or the list maintained by JLV College Counseling. One thing to keep in mind: If you receive financial aid from your college, be sure to ask if outside scholarships would reduce that aid; so-called scholarship displacement is real.
Work part-time
Taking a part-time job on or off campus provides a paycheck to cover your personal costs and books, which can help you reduce how much you’re borrowing each year. That ultimately reduces your total college costs, since you can avoid interest charges. Just don’t work too much or the hours will eat into study time. Researchers have found that working more than 12 to 15 hours a week can hurt your grades.
Rent or borrow textbooks
To avoid shelling out for books you won’t use, it’s not a bad idea to wait until the first day of classes before buying textbooks, since sometimes the book listed on the syllabus won’t actually be required. Students also often rent course materials from sites like Chegg or Amazon, use e-books or borrow from friends or their professors. (Those options don't always work, though, as sometimes a textbook requires a specific online access code that must be paid for.)
Reduce non-college expenses
If you’re attending college at least 100 miles away and leave your car at home, find out if you can reduce your auto insurance with a “distant student discount.” Some carriers allow a car to be put into “storage” with minimal coverage as long as it’s not being driven. You should also audit all your subscriptions to look for ones that offer student discounts and cancel those you don’t use.
Waive the school health insurance fee
If your parents’ health insurance policy covers you at school, you likely don’t need the school insurance plan (though you may have to prove your parent's insurance offers adequate coverage). This can save you up to $4,000 a year. Just make sure you follow the college’s required steps to waive this fee.
Take the American Opportunity Tax Credit
Come tax time, you (or your parents, if they claim you as a dependent) may be eligible to take the American Opportunity Tax Credit. It reduces taxable income by up to $2,500, and is partially refundable (meaning you can get money back if you don’t owe any taxes.) The credit is only available for the first four years of higher education. If the AOTC doesn’t apply to your situation, a less advantageous but still useful education credit is the Lifetime Learning Credit.
After College
Make a plan for student loans
With roughly two-thirds of bachelor’s degree graduates taking out student loans, many alumni are still paying college bills long after they leave the campus quad. And while student loans are considered "good debt," the longer you pay interest on those loans, the more expensive your degree actually becomes.
Tracking your all your loans is key, Goodman says, adding that they usually come due 6 months after graduation. Evaluate how much you’ll owe each month and develop a payment plan that fits your circumstances. Your current options include the standard 10-year repayment plan, an income-driven repayment plan that sets your payment based on what you earn, or possibly the Public Service Loan Forgiveness program (assuming you’re working in a qualifying job).
If you’re earning enough to comfortably pay for necessities and you have some emergency savings, then you can start thinking about paying down your loans faster to reduce your total cost. “If you have extra money, pay off the higher-interest loans first,” Goodman says.
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