1001 Ways to Pay for College: Practical Strategies to Make Any College Affordable, 4th Edition

514 Pages·2009·13.42 MB·English

by  Gen Tanabe

Critical Acclaim for Books by Gen and Kelly Tanabe
Authors of Get Free Cash for College, The Ultimate Scholarship Book and
How to Write a Winning Scholarship Essay
“Upbeat, well-organized and engaging, this comprehensive tool is an
exceptional investment for the college-bound.”
—Publishers Weekly
“A present for anxious parents.”
—Mary Kaye Ritz, The Honolulu Advertiser
“Helpful, well-organized guide, with copies of actual letters and essays
and practical tips. A good resource for all students.”
—KLIATT
“Upbeat tone and clear, practical advice.”
—Book News
“Unlike other authors, the Tanabes use their experiences and those
of other students to guide high school and college students and their
parents through the scholarship and financial aid process.”
—Palo Alto Daily News
“What’s even better than all the top-notch tips is that the book is written
in a cool, conversational way.”
—College Bound Magazine
“A ‘must’ for any prospective college student.”
—Midwest Book Review
“Invaluable information ranging from the elimination of admission
myths to successfully tapping into scholarship funds.”
—Leonard Banks, The Journal Press
“The Tanabes literally wrote the book on the topic.”
—Bull & Bear Financial Report
“Offers advice on writing a good entrance essay, taking exams and
applying for scholarships and other information on the college
experience—start to finish.”
—Town & Country Magazine
“Tanabe, an expert on the application process, can discuss such topics
as how to get into the college of your choice, ways to finance your
college education, applying online and what universities are looking
for in a student.”
—Asbury Park Press
“Filled with student-tested strategies.”
—Pam Costa, Santa Clara Vision
“The first book to feature the strategies and stories of real students.”
—New Jersey Spectator Leader
1001 Ways
to Pay
for College
Fourth Edition
Gen and Kelly Tanabe
Harvard graduates and award-winning authors of
Get Free Cash for College, The Ultimate Scholarship
Book and How to Write a Winning Scholarship Essay
 ● 1001 Ways To Pay For College
1001 Ways to Pay for College (Fourth Edition)
By Gen and Kelly Tanabe
Published by SuperCollege, LLC
3286 Oak Court
Belmont, CA 94002
650-618-2221
www.supercollege.com
Copyright © 2009 by SuperCollege, LLC. Previous editions © 2003, 2005, 2007.
All rights reserved. No part of this book may be reproduced, stored in a retrieval system or
transmitted, in any form or by any means, electronic, mechanical, photocopying, recording
or otherwise, without the written permission of SuperCollege. This book is protected under
International and Pan-American Copyright Conventions.
Credits: Cover design by TLC Graphics, www.TLCGraphics.com. Design: Monica Thomas.
Illustrations by Terry Smith (www.t-smith.org). Back cover photograph by Alvin Gee (www.
alvingee.com).

Trademarks: All brand names, product names and services used in this book are trade-
marks, registered trademarks or tradenames of their respective holders. SuperCollege is not
associated with any college, university, product or vendor.
Disclaimers: The authors and publisher have used their best efforts in preparing this book.
It is sold with the understanding that the authors and publisher are not rendering legal, ac-
counting, investment, tax or other professional advice. The reader must seek the services of a
qualified professional for such advice. The authors and publisher cannot be held responsible
for any loss incurred as a result of specific financial, tax or investment planning decisions
made by the reader. The authors and publisher make no representations or warranties with
respect to the accuracy or completeness of the contents of the book and specifically disclaim
any implied warranties or merchantability or fitness for a particular purpose. The accuracy
and completeness of the information provided herein and the opinions stated herein are
not guaranteed or warranted to produce any particular results. The authors and publisher
specifically disclaim any responsibility for any liability, loss or risk, personal or otherwise,
which is incurred as a consequence, directly or indirectly, of the use and application of any
of the contents of this book.
ISBN 13: 978-1-932662-38-2
Manufactured in the United States of America
10 9 8 7 6 5 4 3 2 1
Library of Congress Cataloging-in-Publication Data
Tanabe, Gen S.
1001 ways to pay for college / Gen and Kelly Tanabe. -- 4th ed.
p. cm.
Includes index.
ISBN 978-1-932662-38-2 (alk. paper)
1. College costs--United States. 2. Student aid--United States. 3. Scholarships--United
States. 4. Student loans--United States. I. Tanabe, Kelly Y. II. Title. III. Title: One thousand
one ways to pay for college.
LB2337.4.T357 2009
378.3--dc22
2009026464
Table Of Contents ● 
CONTENTS AT A GLANCE
Chapter 1: The Many Ways to Pay for College / 13
Chapter 2: Win a Scholarship / 19
Chapter 3: Contests for Students / 97
Chapter 4: Guaranteed Scholarships / 113
Chapter 5: Reward Programs for Students / 121
Chapter 6: Save for College / 127
Chapter 7: Tax Breaks for Students / 181
Chapter 8: Maximize Financial Aid / 197
Chapter 9: Asking for More Financial Aid / 225
Chapter 10: Avoid Financial Aid Scams / 233
Chapter 11: Get Your State to Pay / 241
Chapter 12: Borrow Money for College / 265
Chapter 13: Loan Forgiveness Programs / 283
Chapter 14: Military Options / 339
Chapter 15: Save Money While in College / 359
Chapter 16: Make Your College Cheaper / 375
Chapter 17: Be a Dorm Room Entrepreneur / 393
Chapter 18: Internships and Part-Time Jobs / 415
Chapter 19: Be a Part-Time Student / 431
Chapter 20: Opportunities for Adult Students / 439
Chapter 21: Opportunities for Graduate Students / 451
Chapter 22: Conclusion / 475
Index / 479
 ● 1001 Ways To Pay For College
TABLE OF CONTENTS
Chapter 1: The Many Ways to Pay for College / 13
There’s more than one way to pay for college / 14
The right psychology / 16
Chapter 2: Win a Scholarship / 19
How to find a scholarship / 20
Backyard scholarships / 22
Service clubs / 23
Religious organizations / 31
Unions / 34
Hit up your employer / 43
Get cash from your professional sports teams / 44
Scholarships from your extracurricular activities / 45
College financial aid offices / 48
Search your community newspaper for past winners / 50
Search beyond your backyard / 51
Scholarship websites / 51
Big business / 54
Professional associations / 59
Don’t ignore scholarship books / 73
Double your scholarship with Dollars for Scholars / 73
Awards based on race and ethnicity / 75
Awards for disabilities / 82
Athletic scholarships / 90
Don’t let colleges take away your money / 93
Offbeat scholarships / 93
Chapter 3: Contests for Students / 97
Do you feel lucky? / 98
Contests for writers and poets / 98
Contests for performing arts / 103
Contests for artists / 107
Contests of chance / 109
Chapter : Guaranteed Scholarships / 113
Guaranteed scholarships do exist / 114
National Merit scholarships / 114
Table Of Contents ● 7
GPA and test-based scholarships / 115
Scholarships for transfer students / 116
State entitlement awards / 116
Get in-state tuition / 117
Take advantage of residency agreements / 119
Chapter : Reward Programs for Students / 121
Save money by spending money / 122
Upromise / 123
BabyMint / 124
Stockback / 125
Chapter : Save for College / 127
Save for college / 128
The Coverdell Education Savings Account / 129
How to open a Coverdell / 131
The 529 Savings Plan / 134
What to consider before choosing a 529 Savings Plan / 136
Beware of the pitfall of 529 Savings Plans / 137
States that allow contribution deductions / 138
Prepaid College Tuition Plans / 139
List of state 529 Savings and Prepaid Tuition Plans / 140
Consider transferring a custodial account to a 529 Plan / 164
Jump-start your 529 Plan with a super gift / 164
Independent 529 Savings Plan / 165
Compare Coverdell, 529 and Prepaid Tuition Plans / 165
Take advantage of both Coverdell and 529 Savings Plans / 168
Government savings bonds / 168
Individual Development Account program / 170
Gift money for college / 171
Invest for college / 172
Save money every day / 176
Chapter 7: Tax Breaks for Students / 181
Get your tax dollars back / 182
Timing is everything / 182
The $2,500 American Opportunity tax credit / 183
The $2,000 Lifetime Learning credit / 185
Choose your tax credit wisely / 186
Don’t carelessly miss getting your credit / 188
8 ● 1001 Ways To Pay For College
Deduct your tuition and fees / 189
Deduct student loan interest / 190
Tax-free educational benefits from your employer / 191
Cash in government bonds tax-free / 192
Money-saving benefits of scholarships and fellowships / 192
Chapter 8: Maximize Financial Aid / 197
Get your share of financial aid / 198
FAFSA and CSS/PROFILE / 199
Learn how to qualify for financial aid / 200
How Expected Family Contribution is determined / 201
A quick estimate of your Expected Family Contribution / 206
How to determine your financial need / 207
Lower your Expected Family Contribution / 208
Keep your child poor / 208
Consider deferring bonuses and raises / 211
Time stock sales / 212
Build your 401k and IRA accounts / 213
Complete the financial aid application / 214
Use estimates if you haven’t finished your taxes / 214
Use the financial aid application as an insurance policy / 216
Work with the financial aid office / 217
Don’t hide the dirty laundry / 218
Give the college a reason to give more money / 219
Don’t ever try to trick the college / 219
How the financial aid is packaged makes a difference / 220
Compare and accept financial aid / 223
If you need more aid ask for a re-evaluation / 223
Chapter 9: Asking for More Financial Aid / 22
How to ask for more money / 226
Present any special circumstances / 227
Don’t wait for something bad to happen if you know it will / 228
Play one college off another college / 228
Example of a successful financial aid reassessment / 231
Chapter 10: Avoid Financial Aid Scams / 233
Keep your money safe / 234
Common scams / 235
General red flags / 238
Table Of Contents ● 9
Chapter 11: Get Your State to Pay / 21
Get money from your state government / 242
Robert Byrd Honors Scholarship Program / 244
Directory of state aid programs / 244
Chapter 12: Borrow Money for College / 2
How to borrow money / 266
The Federal Perkins Loan / 266
The Federal Stafford Loan / 267
The Parent Loan for Undergraduate Students / 268
PLUS Loan for Graduate and Professional Degree Students / 268
The Nursing Student Loan / 268
Lower your monthly payments with a Consolidation loan / 270
Choose a loan that offers the best “borrower benefits” / 271
Save money by paying off your loans as early as possible / 274
Put loan payments on hold with deferment / 274
Private loans / 277
Use your home equity to pay for college / 278
Borrow from your whole-life insurance policy / 279
Borrow money from rich relatives / 280
Get emergency cash from your college / 282
Chapter 13: Loan Forgiveness Programs / 283
Loan forgiveness and scholarships for service / 284
National programs / 285
State loan forgiveness programs / 291
Chapter 1: Military Options / 339
Soldier your way to an education / 340
ROTC / 340
The Montgomery G.I. Bill / 343
State-sponsored National Guard benefits / 344
Military academies / 345
Earn credit for your military training / 347
Special military scholarships / 349
Chapter 1: Save Money While in College / 39
Save the money you already have / 360
Put yourself on the envelope budget / 361