Introduction: Why Financial Aid Matters
Have you seen the average prices of colleges these days? It’s not just tuition you have to think about. You must also budget for campus events, books, and living expenses. This is where financial aid assistance comes into play.
According to the Education Data Initiative, students on campus spend more than $27,000 annually in public colleges. Those enrolled in private colleges spend $38,768 per academic year on tuition alone. Even with financial aid assistance, the cost of college can still bring significant financial strain.
One might push you for online education for its potential cost-saving benefits. While it’s true that online formats are cheaper, they still require you to invest thousands of dollars. For those in low-income families, even $10,000 annually is out of reach.
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But if you really want that college degree, know there are ways!
Beyond applying for financial aid assistance, you can also apply for colleges with income-based tuition models. These tuition models will help you earn a degree without accumulating excessive debt.
All it takes is thorough research. We’re here to help you find the best college financial aid services for your needs.
Top Colleges with Excellent Financial Aid Services
Different colleges will have different educational costs funding. Sever; institutions offer generous financial aid assistance, such as scholarships and grants, to increase student enrollment and retention rates. Surprisingly, colleges with strong financial aid programs are relatively easy to find.
You won’t believe some of the colleges we’ve listed down.
To create this list, we’ve strictly followed these criteria:
- Accessibility. We ensured that each institution caters to an economically diverse student population. This proves that the institution has readily available financial aid packages for students of different incomes.
- Low Student Loan Averages. Institutions with low average student loan debt mean that their assistance does not focus on loans. They offer a healthy percentage of grants and scholarships.
- High return on investment. Some students would instantly say yes to the cheapest and most affordable colleges without calculating ROI. This list is composed only of institutions with the best ROI.
- Availability of financial aid navigation assistance. Many students often overlook this factor. We ensured these schools have staff and resources to help you understand and manage student financial aid.
- Income-based tuition models. The cream of the crop. Aside from gift aids and loans, these institutions offer tailored and implemented income-based tuition models. This ensures that affordability aligns with each student’s financial situation.
Top 10 Colleges
Washington University in St. Louis-St. Louis
- Average need-based financial amount per student: $55,559
- Average student loan debt: $17,500
Washington University in St. Louis offers diverse financial aid packages, including grants, scholarships, loans, and work-study programs. Yet, the best part of studying at WUSTL is that students with family incomes less than $75,000 are given income-based tuition. They often end up paying nothing in tuition.
Brown University
- Average need-based financial amount per student: $48,420
- Average student loan debt: $11,428
Brown University is a very prestigious institution with an average starting salary of $85,200. Despite its reputation for high tuition costs exceeding $300,000 over four years, Brown University maintains a 100% rate of meeting students’ full financial needs. Their financial aid assistance is superb.
Its college funding options are generous, particularly for students in low-income households. Families earning $125,000 or less annually qualify for financial aid covering the entire tuition cost. They can receive enough University scholarships, federal and state grants, and other funds to match the tuition expenses (excluding fees, housing, and meals).
Columbia University
- Average need-based financial amount per student: $71,043
- Average student loan debt: $21,500
Columbia University also offers generous financial aid packages. Talented students can apply for sliding-scale tuition programs for zero tuition payments. Students from families with yearly incomes below $66,000 (and typical assets) are not required to contribute financially to their cost of attendance.
Harvard University
- Average need-based financial amount per student: $67,857
- Average student loan debt: $14,000
Harvard graduates are highly respected, with mid-career median salaries of $169,000. Quite known for its very selective admissions process, Harvard sets a 100% student satisfaction rate. Did you know that 1 in 5 students pays nothing to attend Harvard? Families making under $65,000 annually are exempt from paying any tuition fees for their children.
Amherst College
- Average need-based financial amount per student: $51,775
- Average student loan debt: $18,397
Notably, nearly 75% of Amherst graduates from the class of 2021 graduated without any student loan debt. This sets the highest record of financial freedom among its graduates compared to peer institutions. Students receive a combination of scholarships and a need-based tuition model.
Dartmouth College
- Average need-based financial amount per student: $54,863
- Average student loan debt: $20,338
In addition to generous need-based financial aid programs, Dartmouth College also offers hands-on financial aid officers. These officers offer personalized help to assist students with paying for their education. As a result, Dartmouth receives a 100% rate of meeting its students’ full financial needs.
If you’re from a family or household earning less than $65,000 a year, you’re qualified for a sliding scale tuition model, in which you’ll pay zero in tuition and enjoy zero parent contribution.
Duke University
- Average need-based financial amount per student: $52,143
- Average student loan debt: $23,267
According to Duke, students whose family income is less than $40,000 receive financial aid without loans, with a sliding scale available for incomes above that threshold. Students earning more than $40,000 will receive need-based grants, which can often also reduce their college costs to nearly zero.
Haverford College
- Average need-based financial amount per student: $53,945
- Average student loan debt: $16,317
The loan percentage at Haverford College is so low, which means that the school truly features strong financial aid programs. The school’s many need-based programs allow many low-income students to pay only a fraction of the tuition cost.
Lehigh University
- Average need-based financial amount per student: $50,099
- Average student loan debt: Capped at $5,000 per academic year
Lehigh’s financial aid office can cover all students’ financial needs with grants, loans, or scholarships. Lehigh also changed its loan policies a few years back to help families with less money by eliminating loans altogether. According to the university, they meet 100% of demonstrated needs.
Pomona College
- Average need-based financial amount per student: $66,000
- Average student loan debt: $12,000
Pomona College is making strides to make education more accessible to low-income students by offering college cost-help programs that often lead to zero tuition payments. 57% of students receive need-based scholarships from the college itself, and the rest receive private tuition help programs.
Income-based tuition models are among the most sought-after financial aid programs. They’re usually found in institutions with large endowments, such as Harvard, Brown, Columbia, and other prestigious institutions. These financial aid programs aim to make education more accessible to low-income students.
Different colleges have different rules for granting income-based tuition models to students in need. Here are a few examples of how these models generally work:
Need assessment
The first thing the institution will do is evaluate students’ financial status. They will take into account individual or household income, family size, and dependents. In some cases, colleges will also examine the household’s assets and debts to get a clearer picture of their financial capacity.
They will first base on the student’s FAFSA. They’ll have the students undergo income verification if they see them fit. Students must often prepare the following documents:
- Income tax returns
- Bank statements
Sliding Scale or Thresholds
Depending on the institution, qualified students may receive a tuition reduction on a sliding scale basis or according to predetermined thresholds. Many colleges and universities follow a threshold. Here’s a table to help you understand how thresholds work:
| Household Income | Tuition Payment |
| >$60,000 | No tuition |
| $60,000 – $120,000 | 50% of tuition |
| $120,000 – $200,000 | 80% of tuition |
Adjustments Over Time
Students under income-based tuition models will undergo periodical financial assessments. This means that their tuition can increase or decrease accordingly; there is no fixed tuition payment scheme. This ensures that the financial aid package meets the students’ needs throughout their academic careers.
Income-based tuition models are excellent financial aid programs. But because they fluctuate, you must be more mindful of your finances. Here are three important tips:
- Regularly review and adjust your budgeting strategies.
- Ask for financial aid tips from financial aid offices.
- Apply for as many scholarships as possible to pay for other educational costs.
You should expect intense competition because they’re mostly offered in prestigious institutions. To qualify for these programs, you need to:
- High school GPA and similar other standardized test scores that exceed the institution’s minimum requirements.
- Secure strong letters of recommendation.
- Craft compelling essays that showcase your skills and how you can contribute to the institution.
Steps to Apply for Financial Aid
There are several types of financial aid you can apply for in college as a student with limited financial resources. You’ll have even more options if you excel in your academics. Financial aid comes from various sources, each with different conditions or requirements.
- Scholarships: do not need to be repaid.
- Grants: often don’t need repayment. However, if students drop out early, they might have to repay them.
- Loans: aid that must be repaid with interest.
The next step is to learn how to apply for it.
Step 1: Create your CSS/Financial Aid PROFILE.
Step 2: Complete the FAFSA application. To do this, you must submit W-2 forms, tax returns, and untaxed income and benefits records.
Step 3: After completing the FAFSA, review your Student Aid Report (SAR) for accuracy and make any necessary corrections.
Step 4: Apply for external/privately funded scholarships and grants using online database tools. These opportunities have set deadlines, but it’s best to apply as early as possible to give the committee more time to review your application.
After these basic steps, all you have to do is wait.
Conclusion: Making College Affordable for Everyone
College affordability remains a pressing issue for many students. With an alarming decline in student enrollment, more and more colleges are striving to show stronger financial support for students from different economic backgrounds.
Several financial aid options are available today, from tuition reduction programs to grants, scholarships, and cash loans. Our best advice? Begin your college search early and always compare tuition costs and various financial aid packages offered by different institutions.