Paying for college—a financial challenge for most people even in the best of times—may seem even more of a hurdle today. But if you help your students and their families keep these ten simple things in mind, they can make their college dream a reality, without a nightmare’s worth of debt.

The choices your students make now will have an impact on their finances for years to come. A college education is an investment that pays off—a college degree will help them earn about $26,000 more per year than a high school degree.

To get the most financial aid and minimize their student loan debt, students should keep the following in mind:

1. Start saving now—the earlier the better. Even if college is just a year or two away, it is never too late to start saving. There are tax benefits to saving in a section 529 college savings plan or prepaid tuition plan, and every dollar you save is a dollar less you’ll need to borrow.
   
2. Don’t let cost be a barrier. In 2007–08, most undergraduates (66 percent) received some type of financial aid—grants (which don’t have to be repaid) or loans. But 2.3 million students missed out because they didn’t even apply for aid. Remember, federal financial aid is available—regardless of your family’s income.
3. Fill out the FAFSA as early as possible after January 1 of the year you’re entering college. Some financial aid is offered on a first-come, first-served basis, so the earlier you apply, the better. Complete the FAFSA online at fafsa.gov, or get a head start estimating your federal aid by using the FAFSA4caster.
4. Don’t pay someone to fill out your financial aid forms—free means free. The Free Application for Federal Student Aid (FAFSA) means just what it says—free. You can find free FAFSA help at collegegoalsundayusa.org.
5. Start searching for scholarships early—your efforts will pay dividends. Thousands of scholarships are awarded every year, and for just as many reasons. You can find scholarships for being good at duck calling or skateboarding, being tall, or getting good grades. And the earlier you start searching, the more you’ll find. Search using free websites such as fastweb.com, scholarships.com, or collegeboard.com.
6. A little work can be a good thing. If you’re able to balance your college and work responsibilities, a part-time job is a great way to meet living expenses and reduce the amount of money you may need to borrow. Consider a job in your area of study to get the most bang for your buck.
7. Borrow only as a last resort. Explore grant and scholarship options first—this is money that doesn’t have to be repaid. Student loans must be repaid, including any interest and fees that apply, so turn to loans as a last resort.
8. If you’re going to borrow, consider federal student loans first. Federal loans offer the best benefits, hands down. You’ll receive below market interest rates, greater repayment flexibility, and easier eligibility requirements. You may even qualify for subsidized loans where the government pays your interest while you’re in school. If you do borrow, never borrow more than you absolutely need. Avoid financing an education using credit cards at all costs.
9. Explore education tax benefits—they’re worth more than you might think. If you or your parents pay for college and file a tax return in the same year, you may qualify for benefits that provide you with money for college. Visit irs.gov and search for IRS Publication 970 for more information.
10. Consider starting at a two-year college and transferring to a four-year college. Starting at a two-year college might help you make a more successful transition. Two-year colleges often cost less and help you build your skills at college-level courses. Find more information here.

For more information on paying for college and building a bright financial future, visit mygreatlakes.org.

Joe Jovell is a Senior Marketing Associate with Great Lakes Higher Education Corporation & Affiliates.