Financial Planning for Graduate School
We recently asked a number of financial aid officers at graduate schools if they had any "words of wisdom" to share with undergraduates who are thinking about attending graduate school.
- Graduate school is a HUGE financial investment. Be sure you are aware of the average starting salary for the average graduate. Remember, you have a legal obligation to start repaying your loans after graduate.
- Responsible Borrowing - limit undergraduate borrowing to . Do not borrow additional funds just because you legally can.
- Preparing for Graduate School
- If you are interested, for example, in becoming an attorney, try to get a job or internship in a Law Office so you can see what the job really entails.
- Loan Management Counseling - This counseling session was developed to provide loan management, financial literacy, and career planning information to assist student loan borrowers who are preparing for graduation.
- Plan ahead and start saving now. Check out our budgeting and saving tips.
- Be Frugal...but always make your budget includes room to pay for basic insurance coverage
- Pay down any outstanding consumer debt before starting graduate school. You cannot get additional financial aid to cover any payments due on this debt
- Research "outside" scholarship opportunities.
Keep these figures in mind when planning your graduate education!
President Obama signed the Budget Control Act into law on August 2, 2011. This legislation increased the federal debt ceiling and prevented the United States from defaulting on current financial obligations. This bill made some significant changes to the Federal Direct Student Loan Program that will impact graduate students effective with the 2012-2013 academic year. Learn more.
College seniors who graduated in 2010 carried an average of $25,250 in student loan debt. SOURCE:The Project on Student Debt, Student Debt and the Class of 2010 (November 2010)
- Detailed state by state data
- Average undergraduate cumulative student loan debt for the class of 2009 at Loyola University (includes federal, institutional AND private loans certified by the institution. Parent PLUS Loans are not included in this calculation)
- Law School Debt Bubble - December 5, 2011
- Average debt incurred by 2007 grads while attending law school (Includes federal, institutional, and private loan debt but excludes bar study loans and debts from prior institutions. SOURCE: 2007-2008 ABA Annual Questionnaire
- Public: $57,170
- Private: $87,906
- Average debt incurred by 2007 grads while attending law school (Includes federal, institutional, and private loan debt but excludes bar study loans and debts from prior institutions. SOURCE: 2007-2008 ABA Annual Questionnaire
- Average debt incurred by 2010 medical school graduates (see slide #5 -Includes pre-medical /college education debt)
- Benefits and Futue Value of A Graduate Business Degree
- National median starting salaries for the law school class of 2010-SOURCE: National Association for Law Placement, Class of 2010 National Summary Report
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Class of 2010 Graduates Faced Worst Job Market Since Mid-1990s: Longstanding Employment Patterns Interrupted (June 1, 2011 Press Release)
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Other Interesting Web Sites:
- Locate/Repay Your Federal Student Loan
- Money Management Tips for Young Alumni
- Paying for Graduate School - from U.S. News and World Reports
- Financing Medical School - This is the web site of the AAMC (Association of American Medical Colleges) for AspiringDocs.org
- Financial Aid for Law School - This is the web site of the Law School Admissions Council
- Navigating Your Way to the Right Law School
- The "Wise Borrower" Curriculum is designed to help increase your understanding of personal finance and debt management. Pay particular attention to
- Financing Your Education (eBook) - This is a very user-friendly workbook that helps you understand how much your education will cost and how you can go about paying for it. Topics include how much you should borrow, how to get financial aid and how to remain “financially fit.”
- Financing Your Legal Education (eBook) - This workbook is similar to the “Financing Your Education” handbook, but with an obvious slant toward law students.
- After You Graduate (eBook)- This WiseBorrower® booklet guides you through the ins and outs of repaying student loans. Topics include picking the right repayment plans, creating a personal budget, knowing your rights and responsibilities as a borrower and keeping financial records.
- Financing Your Education (eBook) - This is a very user-friendly workbook that helps you understand how much your education will cost and how you can go about paying for it. Topics include how much you should borrow, how to get financial aid and how to remain “financially fit.”
- Financial Literacy Websites - this is a 3 page list compiled by the National Association of Student Financial Aid Administrators.
Updated November 8, 2012