If you’re a college graduate — or soon will be — there are reasons to consider earning an advanced degree. While it’s not the path for everyone, for career-minded students who are deciding to enter postgraduate programs, certain facts are persuasive. Indeed, the number of graduate students in the United States has tripled since the 1970s. According to a CareerBuilder survey of employers, 33 percent are hiring candidates with master’s degrees for positions that had been primarily held by professionals with four-year degrees. Bureau of Labor Statistics (BLS) projections estimate that careers requiring a master’s degree are expected to grow 18.4 percent by 2022.
If you’ve carefully considered graduate school and are serious about getting an advanced degree, here’s a checklist as you work to find money to pay for it.
1. Do your research. Really.
There’s much more to your homework than completing the all-important FASFA, which determines your eligibility for financial aid, including work-study, from the government and most universities. All schools are definitely not the same, and many institutions have their own unique opportunities for graduate students who need tuition assistance.
“When researching graduate school, spend as much time looking at the financial aid each program offers as you do any other facet of the school,” suggests Donald C. Martin, author of Road Map for Graduate Study: A Guide for Prospective Graduate Students. “Do not wait until you are admitted to find this information,” he advises. “Some institutions offer scholarships or fellowships you apply for when you submit your application for admission.”
If you want to investigate whether you’ll get the return on investment you deserve from a particular school, check the Department of Education’s College Scorecard website for information on average salaries for colleges and degree programs.
2. Exhaust all “free money” possibilities.
Thoroughly explore grant, fellowship, and scholarship opportunities before applying for loans. Any money you receive, whatever the amount, won’t acquire interest and won’t have to be repaid. And many awards can be used for expenses beyond tuition such as room and board, supplies, and even software and devices. Scholarships and grants come in many shapes and sizes — some are need based and some are merit based. There may also be education funding options that are industry specific or aimed at increasing opportunities for historically underrepresented groups such as Native populations.
If you’re interested in research-based studies, investigate research councils in your academic discipline. For example, the National Academies have Research Associateship Programs that offer postdoctoral and senior research awards to students in the sciences, social sciences, mathematics, and engineering. In addition, professional organizations in STEM fields offer a number of grants and scholarships. While these programs can be competitive, they’re there to support the success of students like you.
The time you spend researching “free money” can pay off. Whether the awards are for hundreds of dollars or thousands, it’s possible to bundle multiple grants, fellowships, and scholarships that combined can pay for a significant portion of your postgraduate costs. You are clicks away from an abundance of information about potential funding from resources such as Grants.gov, Sallie Mae, American Indian Graduate Center, Gates Millennial Scholars Program, Native American Scholarships, Scholarships for Women, and Fastweb.
3. Check your credit and be a smart borrower.
According to the National Center for Education Statistics, graduate students who take out loans incur anywhere between $66,000 and $186,600 in debt. A classic borrowing pitfall is taking out bigger loans than necessary. If you take on debt, borrow only what you need to cover your unmet direct costs. You are responsible for repayment no matter how your financial status changes over the years to come.
Before you attempt to borrow, check your credit. “Much as with other big-ticket purchases, like a house or car, your credit score can have a serious impact on your ability to pay for grad school,” explains Martin. He recommends checking your credit score before submitting any graduate school applications and working to resolve any issues.
It’s also important to understand different types of loans. Here are the most common:
• Federal Subsidized Loans: A Perkins or a subsidized federal loan is need based and defers interest payments until you graduate.
• Unsubsidized Federal Student Loans: These loans have a fixed interest rate that accumulates while you’re in school. If you don’t qualify for a subsidized loan and you can make interest payments while in school, this may be a good option.
• Private loans with a fixed, low-interest rate: Financial institutions such as credit unions and national banks offer private loans that take credit scores into account.
• Private loans with unfavorable terms: Some private loans have unduly high interest rates and may also charge a fee for paying the loan off early or making an extra payment. Be careful and check for the words “no prepayment penalty” before you sign.
4. Consider all your options.
As you pursue various funding sources, consider ways to make money that are aligned with your interests and objectives. The more revenue you have coming in, the less money you’ll have to raise or borrow. Here are three examples.
Work at school. There may be assistantships or “real jobs” on campus that can help cover your costs. “Working for your grad school, you can help defray the costs with your earnings, improve your employability by adding relevant work to your resume, or depending on the position, perhaps even take advantage of an employee tuition discount,” observes Martin.
Get a job that will pay for your degree. Many companies have tuition reimbursement programs that cover higher education. There are usually criteria to meet such as getting a degree that’s relevant to your work or staying with the company for a certain amount of time after completing your degree program. Take a look online for information like this.
5. Join a Service Program.
Serving as a volunteer for a program like AmeriCorps or the Peace Corps can position you to receive awards and scholarships at certain schools.
• Segal AmeriCorps Education Award: Students who complete a national term of service with an AmeriCorps program are eligible for an education award that can be used to cover higher education costs as well as repayment on qualified student loans.
• Peace Corps Paul D. Coverdell Fellows: Returned Peace Corps volunteers who go on to graduate school can receive financial assistance. Fellows are required to complete a degree-related internship in an underserved American community.
As you work to pay for graduate school, don’t forget the big picture. You’re earning an advanced degree to enhance your prospects for a rewarding and successful professional life. While you may have to be resourceful, if you believe in what you’re doing and remain focused on your goals, your graduate school journey can benefit you and your career for years to come.
On Topic
Christine O’Brien works in fellowship program administration at the National Academies of Sciences, Engineering and Medicine (NASEM) in Washington, D.C. Her program oversight has included privately and federally funded fellowship programs at the predoctoral, dissertation, and postdoctoral levels. Since 1979, her responsibilities have been primarily in the administration of Ford Foundation Fellowships designed to increase and foster diversity as a teaching tool in higher education. In 1995, O’Brien created the Fellowship Roundtable, a biannual meeting that brings together fellowship administrators whose goal is to share best practices and discuss innovations in the administration of fellowships.
What should students consider when choosing an advanced degree program?
Individuals that I know personally have taken many factors into consideration when selecting a graduate program. They typically visit the campus and speak with faculty members. If that’s not possible, they confer with faculty members familiar with their intended field of study and the graduate programs being considered. One factor they consider is the average time-to-degree. For some individuals, it’s important to be able to connect with a specific community or with their family. Others might find the transition to graduate school — and earning a graduate degree — possible if they factor in a multifaceted support system, including financial support. It’s important to be connected to a supportive community. Some individuals consider a variety of geographic locations and how frequently a trip to see loved ones would be possible. When considering an advisor, ask current graduate students if that professor is effective in providing timely advice so that you can graduate within the usual timeframe.
Before applying for loans, what resources do you recommend students explore?
Find out if the department you plan to affiliate with typically provides support for graduate students. In addition to university-based support, there are some fellowships that partner with industry, such as the GEM fellowship. Not every graduate school is affiliated with the GEM fellowship, so it’s important to consider which programs are connected to the university you’re considering.
Some fellowships, like the Ford Foundation Predoctoral Fellowship, are portable and will support award recipients at the university they selected for three years. Typically, Ford Fellows obtain funding for the additional years needed to complete a doctoral degree as a teaching or research assistant.
While undergraduate scholarships are common, how accessible are scholarships and grants for graduate students?
Anyone considering graduate school should seek information from as many sources as possible. Communicating with current grad students is a wonderful means of finding out how individuals are funding their graduate study. With some online research, you can discover many potential sources of support as well as requirements and deadlines. Don’t forget to look at professional societies, which often provide financial support for graduate study. Another interesting way to discover sources of support is to look at the CVs of researchers and professors you admire. Listed will be honors and awards they’ve attained.
What’s an effective strategy for securing funds for graduate school?
Each person’s path to an advanced degree is unique. The way to find funding is to communicate with people who have suggested that you would benefit from further study. Faculty members who encourage you are usually a wonderful source of information about the steps you need to take along your academic path.
Administrators of fellowship programs may also be a source of information. If you contact a representative of a fellowship program and find that you do not meet the eligibility requirements, ask if they know of any sources of support for your area of interest. Program administrators often know others who administer different types of fellowship programs.
How can students benefit from taking time to introduce themselves to specific graduate programs? Could sharing their research focus lead to funding sources?
Speaking with representatives of graduate programs often leads to shared information. Electronic communication and Zoom sessions are a great way to get to know individuals who may provide exactly the information you’re seeking. It’s appropriate to share your contact information and request that the individual get in touch if they discover a program appropriate for you and your research interests.
