March 19, 2024
Daylight: 12:14:03

Week 10 - Financing your degree

Welcome back and I hope your break was everything you wanted it to be! 

You are now, officially, in the final stretch! You’re doing amazing - keep putting in the time with your studies. As you know, there is no substitute!

This week, let’s talk about paying for your education. You have already decided that investing in yourself is a priority and there is a great deal of research supporting your decision. In fact, short of going back in time and buying Bitcoin at $1, investing in your education is probably the best investment you can make for your economic future.

That doesn’t mean it is easy and that doesn't mean it is free. If you are struggling to make ends meet, you are not alone.

Here is an important question. Have you filled out the Free Application for Federal Student Aid? What is this thing? The FAFSA is a federal form that is used to help provide access to financial support. If you haven’t filled it out - you are also not alone. We don’t have Fall 2023 numbers yet, but it is estimated that almost $3.6 billion dollars in federal Pell grants were left on the table by eligible students who didn’t complete the form. This is $3.6 billion just in Pell Grants and doesn’t include other scholarships and loans. It could be basically free money for some of our most eligible students. Was some of that money yours? In Alaska alone, the number was about $6.8 million in unclaimed Pell Grant funds for the 2022/2023 year. Yikes.

Why don’t people complete the form? For many, the mere mention of FAFSA evokes fear and trepidation; it is a legendarily long and complicated document. I know I was fearful of the whole thing when I was a student and I was probably left some aid on the table and paid more than I needed to for college simply because I didn’t fill out the form. Newsflash: the form has been greatly improved by the Federal Department of Education. It is now much shorter and greatly simplified for the first time in decades.

Now is the perfect chance to fill it out for the coming fall. Remember what I said about billions in unclaimed funds? Some of that money might be yours. If you haven’t filled it out for the 2024/2025 school year - do it.

Need help? Reach out to UAF Financial Aid. We will help you get it done.

OK, let’s talk about loans for a moment. Many students are petrified of taking out loans. The national narrative around growing student debt is indeed, a scary tale. However, a modest amount of debt can open opportunities for a much more pleasant college experience and greatly increase your chances of success. Here are some pros and cons.

One UAF student story I can share about the potential pros of student loans is that of one of our recent commencement speakers. The student graduated without debt, but he spent two years living in a van to do so. He was a first-generation college student and he was afraid of student debt. In retrospect, he said that if there was one thing he could have done differently, it would have been to take out a modest amount of student loans. The funds would have helped him to eat better, live in student housing, and focus on his classes. He would have graduated faster. With the job that he began right after graduating, he could have paid off his debt in the first few months of working.

If you have questions, connect with the wonderful people of UAF Financial Aid. They are here to serve you! It is important to make smart decisions about financing your college education. Do some reading online. Talk with your advisor. Educate yourself on the subject. You are worth it. Your education is worth it.

Things to do:

• Study Abroad Mini Fair: This Thursday, March 21, from noon to 3 p.m., in the Wood Center featuring visiting study abroad partner organizations! This is a unique chance to learn more about some of the many programs available all over the world, and how to take the first steps toward studying abroad. The final deadline to apply for fall and summer Study Away programs is coming up soon on April 1. There are still many programs available, including through UAF's newest study abroad partner, USAC, which offers many affordable programs as well as their scholarships. For more info, connect with UAF Study Away. 

• Complete the FAFSA for fall 2024!

Have a great 10th week of classes! I see 40+ degrees in the forecast for the coming weekend! What are you planning to do to take advantage of the amazing weather? Let me know!

As always, I’m at obguthrie@alaska.edu.

— Owen Guthrie, vice chancellor for student affairs and enrollment management