@dodgersmom
That is assuming he can earn 12k during the school years and make his loan payments. If his loans are deferred, OP said that would add on another 10 k. His college costs certainly increase over the next four years. There could be other extra costs.
Usually you factor in 1k for books, 1.5k or more for misc living expenses, 1k travel (OP mentioned plane tickets). So that is around 3.5 to 4k. OP mentioned the parents paying only 1.to 2k per year. Hopefully the parents are expecting to pay more?
Well, no, @gearmom, tuition and fees are covered, and the OP’s room & board costs will decrease, not increase, when the OP moves off campus for junior and senior year. And I understood that the $10k gets added on only if the OP makes no payments at all for four years. Paying interest should keep the cost below that figure. And if the OP can meet most of his/her expenses for the final two years, those interest payments shouldn’t be too terrible. The amounts really aren’t that large. I’m not saying it will be easy, but it’s probably manageable.
Is the 1500 you earn from summer camp the amount after all the taxes have been paid? If not, that is more you have to make up.
You do realize the decision to work at the summer camp could be the reason you don’t make enough money over the summer to attend Tulane. Your non-negotiable choice could be the reason you don’t attend college in the fall.
Temple advises factoring in 1k for books and 4.24k for other expenses. If OP is flying home for winter and spring break, will the money earned even cover the plane tickets?
@dodgersmom I simply think OP may be overlooking an additional 5k in expenses. He calls them small expenses, bo books, misc and travel are not small especially if OP needs 6 to 8 plane tickets (sept, winter break, spring break, back home and maybe Thanksgiving).
Op will have 13k in loans this year alone and that is just to cover the direct expenses. at this rate assuming that there are no tuition increases, Op will have $52k in loans by the time he graduates with interest accruing and compounding on 38K of that debt.
Op will still need start up monies for plane tickets, dorm supplies, sundry items and books. Even if Op has workstudy in his financial aid package, he will first have to find and work the job before he sees any of this money. Op most likely will not be coming home for thanks giving but what about winter breaks when the dorms are usually closed. Op will need tickets for spring break and coming home at the end of the year; all of these expenses add up.
While I commend OP for trying to make this work, it really is not a financially feasible option.
Please read the thread. The OP has a merit award that fully covers tuition and fees (although the OP should confirm that this covers any increases), and s/he will be working year-round to contribute to the remaining expenses, so there will be loans, but there will not be $52k in loans. The OP’s parents have also said they’re willing to contribute a small amount towards personal expenses.
@dadoftwingirls - There will not be tax on summer earnings of $1,500, unless the OP is earning a heck of a lot more between now and the end of May than any of us imagine.
@dodgersmom OP has 13k to pay for room and board plus 5k for books, clothes, laundry, sundries, travel etc… OP needs 18k more. By the end of the summer, OP will have earned 3k, the parents might give 2k, and 5.5k Stafford loan. That is 10.5k left. Still needs another 7.5k. Will there then be 13k in loans just this year? Working and going to school full time, OP has to find a job, earn 3k and pay interest on loans (how much would that be?). And next year, still a lot of loans.
If OP is fully paying for his own college via scholarships, loans, and employment, his parents should not claim him as a dependent on their tax return. This will not get him more financial aid, but it will make him eligible for at least the refundable portion of the American Opportunity Tax Credit, so thats $1000 more available there. (Possibly more than that if the OP earns enough to owe federal taxes – the full credit is up to $2500.) The credit can’t be taken by the student if he/she can be claimed as a dependent by anyone else.
Rather kind of a shame that the the OP’s parents won’t at least contribute the amount they’re going to save in food costs while having the OP away at college.
@arabrab My parents are contributing to my college costs, much more than what they would pay for my food if I were living at home so it’s not as if I’m being cut off or anything. My point is that they aren’t covering the majority of the $13,000 but they are still contributing.
I apologize Tulane budgets $1200 for books and $1913 for expenses and then add travel, one way tickets Iowa to New Orleans about $200+? Still around 5k.
The purpose of this thread was supposed to be geared towards recieving advice on payment plans, which ones to choose, balancing debt while still being in school, and the like. While people have offered advice in this regard, I also feel like there has been a lot of off-topic debate over things such as the exact amount of debt I will have (which is worth consideration but not serious debate for the purpose of this thread - also it is impossible to calculate the exact amount right now as so many future factors can impact it, so why bother?). Also, I feel like many people have been questioning the actions and ethics of my parents. I love my parents very much as they have done nothing but support me and give me amazing opportunities my entire life. Without them, I wouldn’t be where I am today - about to spend the next four years at an amazing OOS private school, full of opportunities unparalleled by our state school. Not many people are able to have this experience, and I will forever be thankful to my parents for helping me make this happen. I am happy to pay for my education, because that way, I will have worked for and earned every bit of it myself. Comments along the lines of “I would do XYZ different than your parents”, “It’s sad that they won’t support you”, or “XYZ is no excuse for not paying for your education” are not helpful or beneficial to the purpose of this thread whatsoever. I’m sure it is no one’s intent to belittle the choices my parents have made, but that is what it is starting to do. For future posts, I would really appreciate it if the discussion could stay centered around what I had originally created the thread to discuss. Thank you everyone for your input!
@Fergus3, YOU can’t take out private loans. Students can only take the federal student loans ($5500 as a freshman, $6500 as a soph, and $7500 each year as a junior & senior.)
The $7500/year gap (after the $5500 loan) doesn’t include transportation, books, or personal expenses, so you actually need to raise more than $7500; I would estimate you need at least $10,500. Since you can’t take out a private loan and your parents aren’t taking one out for you, the only options I see are for you to work to raise the difference or choose a less expensive school.
@austinmshauri The “minor expenses” that I kept saying my parents would contribute would most likely be things like transportation, books, and personal expenses, so that wouldn’t be a part of my loan. I am paying for the majority of my room and board which is the $13,000 value that I cited in the beginning and my parents would help with everything outside of that. And maybe I’m wrong but I was under the impression that students could take out private loans as long as they have someone cosigning (and meet a few other requirements)? I know in my original post I said that my parents wouldn’t cosign but after it was brought to my attention that cosigning is mandatory, I told them about it and they agreed to cosign since it is necessary. So if I have my parents cosigning, can I take out the loan as a student?
I now realize that saying “minor expenses” might be a misnomer - I just meant that my parents would cover all extra expenses outside of the tuition (which I have paid through a scholarship) and room and board (which is the $13,000 that it is my job to pay). All of these outside expenses will most likely add up to be a pretty significant amount of money, so calling them “minor” probably wasn’t very accurate. Hope this clears up some confusion!
I missed that you said your parents would cosign, @Fergus3. Yes, if they cosign you can take out loans as long as they continue to qualify every year. But, if you have 3 siblings and your parents names are on loans for the 1st three, they may no longer qualify by the time the 4th one gets to school. How much will this school cost you in all? You have the maximum student loans ($27k over 4 years) plus ~$7500/year (~$30k over 4 years)? I think ~$60k worth of debt for an undergrad degree is too much. Do you have any less expensive options?
If what you are trying to cover is room and board, get a job that provides it. Freshmen are usually required to live in a dorm, but get an exception. It won’t be the ‘freshman experience’ but it’s better than not being able to go at all. Types of jobs you could get: houseboy/girl at a frat or sorority, or at least a hasher to get meals; houseparent relief at an assisted living facility for disabled young adults/teens; maintenance at a church or similar facility; babysitter to someone who needs night coverage; take care of an elderly person/couple andshovel, cook, do the yard work. My sister’s friend traveled a lot, was gone every weekend as her husband lived out on a ranch, and her children went to full time daycare, but sometimes she needed someone to pick up the kids from daycare and put them to bed, and she gave free room and board - her ‘nannies’ were all college kids, they got a nice room and the condo to themselves every weekend.
If you can’t do it first year, live in the dorms and plan on being an RA for room and board in future years.
Borrowing the money isn’t the only option. You can’t have it all. You can’t work at the camp and expect to just borrow what you need. Think long and hard about the camp and how much it is costing you to work there.
I think if you can figure out a way to pay for room and board for this first year, you’ll be okay. Sophomores and up often live in much cheaper housing, eat for less, figure out cheaper books, have some cushion because of a long time job.
@austinmshauri The $13,000 is the first two years of school when I’m required to live on campus. The next two years, I am planning on living off campus (within walking/biking distance - no car expenses) which will be much cheaper. It is hard for me to estimate how much exactly this will cost, as I’ve never paid rent or paid for groceries, but for a ballpark lets say $10,000 (hopefully it will be a lot less than this, but in my experience, when estimating costs it will be much higher than your actual estimate). So, using these numbers, that is $46,000. I will be working all four years, which should turn out to be somewhere between $10,000-$20,000 that I can use towards paying for college. Combined with the $27,000 total of federal loans, that comes close to accounting for all of the $46,000 value. Of course there is interest to account for as well. So realistically I would be looking at closer to $27,000 in debt plus $10,000-$15,000 in interest, depending on how everything works out.