But you shouldn’t allow the worry of college costs to consume your life.  There are many practical and successful ways to pay for college (without drowning in debt) no matter what your income level may be.

Many families labor financially to make ends meet and they feel like it will be impossible for their children to attend a 4-year university.  This simply isn’t the case.  I’m not saying it’s going to be easy, but there are ways to send your children to college on just about any level of income.

Saving For College – Reduce Your Debt

Anyone can save money for college; all you need is to remove the excuses from your life.  Starting with financial basics, the best way to begin saving for college is to pay off all your debt (or at least live within your means and be actively involved in a debt payoff plan).  Sound too difficult you say?  That sounds like an excuse to me.

Living with debilitating debt and allowing bills to circle your life like a vulture is a surefire way to live paycheck to paycheck and never have the available funds to save for college.  What I’m trying to say is this:  paying for college isn’t some magical happenstance that you uncover on some random day.  It’s going to take hard work, and in some cases, a change in your financial landscape.

Regardless of your current income level, you have the ability to save for your children’s college fund. You might have to trim your expenses, adjust your spending habits, and redirect your lifestyle in order to free up money for the college fund.  But if you want to send your kids to college without financing 100% of their education with borrowed money, then you’ll have to decide what’s more important.

Think of it like this; if you can scrounge up even $100 a month to save for your child’s college when they’re born, you’ll end up with $21,600 (and that’s without interest or anything).  Sure, that might not pay for 4 years of tuition, room, and board, but it’s definitely a great start.

Saving For College – 529 Plans and Educational Savings Accounts

A 529 Plan is a tax advantaged college savings account designed to encourage families of any income level to save for their children’s education.  529 Plans are “qualified tuition plans” sponsored by states, state agencies, and educational institutions and are authorized by section 529 of the IRS (hence the name 529 Plan).

The encouragement to save for college within a 529 Plan comes in two forms: the ability to save money free from Federal taxes and the ability to receive a deduction on State taxes.  One benefit to a 529 Plan is that anyone, upon creation of the account, can be named the account’s beneficiary, regardless of age.

The 529 Plan is a lot like a Roth IRA for your college savings fund. The savings will grow tax-deferred and any withdrawal is tax-free as long as you use the money withdrawn for qualifying educational expenses.

A Coverdell Educational Savings Account (ESA) is another tax advantaged college savings account which is meant to inspire families to save for future educational expenses.  The difference between an ESA and a 592 Plan is that an ESA’s beneficiary must be a student under the age of 18.

An ESA also has a maximum annual contribution limit of $2000 and the owner of the account has the freedom to choose what types of securities they would like to invest in (stocks, bonds, ETFs, mutual funds, etc.).

With both types of college savings accounts, you’ll incur a hefty 10% tax if you withdraw any amount of money from either account and use it for non-education related expenses.

Paying For College – Grants and Scholarships

No matter how much or how little you’re able to save for your child’s college education, you’ll always want to be aware of and informed about college grants and scholarships.  After all, this is free money we’re talking about.

Scholarships are offered by high schools, colleges, and other organizations usually recognizing some sort of educational, athletic, or humanitarian achievement.  Scholarships vary by amount and length. Some are one-time gifts and others are recurring payments made as long as grades and other collegiate performances are maintained.

Information about college scholarships is usually available from your high school, your hometown city hall, and the university you wish to attend.  You can also search for scholarships on the web.  Some of these scholarships may be smaller than a say a university’s alumni scholarship, but $500 here and $1000 there really starts to add up.

Grants are another “free money” option.  The government offers need-based grants to families with a low income.  Other organizations are free to offer grants to students that show academic promise or that meet other requirements.

Paying for College – Financial Aid Student Loans

There are numerous kinds of financial aid and student loan programs available, but these loans should be your last resort when it comes to financing college.  I’m not saying student loans are bad, but financially responsible parents won’t rely solely on borrowed money to fund their children’s college.  As I mentioned earlier, if you save even $100 a month, you can drastically cut the amount of money you need to borrow to send your child to college.

There are Federal Stafford Loans, Perkins Loans, Plus Loans, and numerous other student loans available from private institutions.  If you qualify, you can apply for subsidized student loans that are basically interest free until you graduate and begin loan repayment.  FAFSA is your Free Application for Federal Student Aid.

Final Comments

Jamie Scott from CreditDonkey also reminds you that while “student credit cards are a convenient option to help students pay for short-term small expenses such as groceries,” there are other options available for long-term larger expenses such as tuition.

The bottom line is that you’ll probably use two or three different sources to fund your child’s college expenses.  Don’t give up just because of your low income and don’t think that your high salary will always be there for you.  No matter where your income level is at, research, preparation, and responsibility will go a long way when it comes to saving and paying for college.

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Today’s guest post is from Jamie Scott, social media advocate with CreditDonkey. Jamie helps parents and students prepare for college by evaluating student credit offers. As a parent herself, she knows all too well the concerns most families have about responsible credit usage.

If you’re a parent of a college-bound teen you may be asking yourself the same question, especially as it relates to paying for the education. You might want to jump over to my blog at CollegeParenting.com (The #1 Question Parents Ask Me) to check out my suggestions and then take a look at Jeff’s infographic to help you visualize the process.

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Copyright © 2011 Student Loan Marketplace

Parents usually have a few simple questions about this type of purchase:

1. Is it affordable?
2. Is it durable and dependable?
3. Will the laptop last throughout their high school and/or college careers?

Students on the other hand want to know the following:

1. Does it have enough memory?
2. Is it wireless and does it have a built in camera?
3. Can I use it for watching movies, streaming videos, and gaming?
4. Are there enough usb ports to plug in all my devices?
5. How long will the battery last?
6. How much does it weigh since I’ll be carting it back and forth to class?

Since my knowledgeable geek colleagues (and I say this with all due respect) have done an amazing job of reviewing the Sony S Series laptop to answer both parent and student questions, I’m going to defer to their expertise and post links to all of their informed posts.

• Doug Schantz at CheapScholar.org
• Thomas Frank at CollegeInfoGeek
• Michael Anderson at GearDiary
• Shep McAllister at HackCollege
• Jeff Dunn at Edudemic
• Brett Napoli at College Cures
• Annie Wang at HerCampus

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DON’T FORGET TO ENTER MICROSOFT’S CONTEST to win a FREE SONY S SERIES LAPTOP WITH SHEET BATTERY!

Deadline for entering is July 17, 2011 7PM PST.

Enter here!

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This post is part of program called “Charged and Ready” by Sony Electronics and Microsoft, where a group of college bloggers have been given a Sony VAIO-S series laptop to test and review.

Let’s be realistic—college students need a laptop that stays charged and ready. They are on the go between classes, study groups, the library, coffee shops, and their dorm rooms. They travel back and forth between home and college, and even study abroad all around the world. Air travel, train travel and long car trips lend themselves to utilizing the laptop for all sorts of tasks: gaming, reading, studying (I had to add that as wishful thinking) and Skyping with friends and family. Rarely is there a convenient plug available if your battery needs a charge (especially on an airplane or other public place).

Does Sony’s S series laptop with extended battery address this problem and answer the call for college students everywhere? Decide for yourself by reading my “a day unplugged” journal.

7:45AM-Starbucks—unplugged with added battery pack (100% available on both batteries)

This is one of my favorite morning destinations and it’s always crowded. I didn’t have to look for a seat near outlets–great freedom. I booted up the laptop and checked email, communicated on Twitter, updated my Facebook Fan page and downloaded several articles for blog posts. The Wifi worked seamlessly on the ATT network. There is a button on the laptop keyboard that allows you to switch from “speed” to “stamina” to conserve battery life. Since I wasn’t using any graphics programs or other programs that required quick response, I switched it to “stamina” to conserve the battery life. I noticed the laptop turned off the DVD-CD-BR player to conserve energy as well.

Worked two hours and still have 88% battery remaining (11 hours 42 minutes)

At this point, I turned the Wifi off by using a convenient “wireless on/off” button on the front of the laptop. I spent two more hours working on blog posts and articles completely unplugged.

1:00PM-Barnes and Noble (after a short lunch break and powering down)

I have never understood it, but our local store only has ONE plug located in the coffee area. But with this laptop, there is no need to fight for the one plug because I still have 9 plus hours left on my battery. After booting up (which occurs rather quickly with Windows 7), I turned on Wifi and checked my email and social media.  I also plugged in my headphones and decided to live stream news on the Casey Anthony drama (yes, I’m obsessed!). I posted a blog and read some blogs related to college admissions. Then I turned off the Wifi again to work on another article and conserve the battery.

Still have 71% of my battery life remaining (7 hours and 25 minutes). I love the flexibility and the fact that this gives me an entire day to work on the go and without need for carrying around burdensome power chords to recharge.

4PM and I still have 49% of my battery remaining (5 hours 33 minutes)

I just witnessed an altercation over the one and only plug in the store. Another reason this laptop gets an A+ rating from me for battery life!  I would have had to stop hours ago to find a plug or leave the store altogether. I’ve been switching my Wifi on and off manually, conserving the battery. I posted another blog, responded to several emails, and wrote two more articles. It’s been a productive day and it’s not over yet!

During dinner, I left the laptop on and carried it into the kitchen for some Manilow tunes (showing my age here) from his new album 15 Minutes in my iTunes library.

8PM-Twitter Chat with 37% of battery remaining (4 hours 12 minutes)

I attended two Twitter Chats simultaneously (#theonlinemom and #campuschat) opening two windows to watch and participate.

Afterwards, I turned off the Wifi and worked on my book for 2 hours while listening to music with the headphones plugged in to the laptop.

10 PM Time to call it a day with 17% battery remaining (2 hours 4 minutes)

I decided to end the day with a late night movie and my favorite actress Meryl Streep (Julie and Julia), popped into the DVD/CD/BR player on the laptop.

After the movie was over, there was 3% battery remaining. I managed to go the entire day without plugging this little jewel in to recharge, leaving it on all day. It powers down when not in use, conserving the battery life.

Is this a good investment for your high school or college student? Speaking from experience I would say unapologetically–YES!

If you think this might be the best laptop to help your student succeed in college, please visit Sony’s online store to check out all your options and be sure to take advantage of their FREE student battery offer. 

If you would like to win one of these laptops for FREE, Microsoft is currently running a laptop give-a-way sweepstakes. The lucky winner gets a shiny new Sony S – Series laptop (including the 15 hour sheet battery option). It’s easy to enter and worth your time to CHECK IT OUT!

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Check back later this week as I outline “my personal favorites” related to this laptop and how it could benefit your soon-to-be or current college student.

This post is part of program called “Charged and Ready” by Sony Electronics and Microsoft, where a group of college bloggers have been given a Sony VAIO-S series laptop to test and review.

That laptop was her best friend during her four years of college. She carried it to class with her. She used it for in-class presentations. It accompanied her to Paris and London to study abroad. She also used it to communicate with her family and friends at home via email and messenger. It became an invaluable tool in her college education in the world of business. Her university was one of the first to incorporate technology in and out of the classroom, having an actual NYSE trading room on campus.

When my son started to college after the military, he opted to go the Mac route with a MacBook. He’s a Mac user at heart (my daughter loves the PC solely based on her first experience with computers). But both would say that they couldn’t have graduated successfully without their trusty computers.

I say all of this to underscore the importance of having a reliable computer while in college; and that was 10 years ago. Today, it’s more than a luxury as it was when she attended—it’s a necessity. In just 10 years our world has changed dramatically and there isn’t a college student alive that doesn’t have either a desktop or a laptop to use for their studies. Choosing the right computer has become almost as important for parents and students as choosing the best fit college.

Laptop vs Desktop

Based on my own kids’ experiences, I would recommend that you purchase a sturdy, durable, dependable laptop.  Laptops represent portability and convenience. They also take up less space in a dorm room and can be carried back and forth from college to home if necessary.

You want one that holds a charge throughout the day. Your student will need one that is wireless ready, with a camera and some multimedia software included. They are going to be doing presentations in college that require photo editing software, perhaps video editing software and the necessary Microsoft Office for word processing and charts and graphics.

Which laptop should you choose?

If you’re like me (unless you’re a tech geek), it’s hard to tell one laptop from the next. There are Macs and PCs and the laptop scenery is massive and varied. You and your student have to decide which best fits their needs and lands within your price point. Choosing a laptop is much like choosing a car—you want the best bang for your buck and you want one that is dependable and reliable.

Sony has just released a new laptop targeting the college student population. During the next week, I will be talking about this new product and whether or not it might meet your student’s needs during college. It’s a key investment and I hope to help you make the right decision.

In the meantime, here’s a short video to whet your appetite.

This post is part of program called “Charged and Ready” by Sony Electronics and Microsoft, where a group of college bloggers have been given a Sony VAIO-S series laptop to test and review.

Even if your student wasn’t a straight “A” high school student they are still smart enough to test out of classes that they have already covered. Nothing changes in U.S. History from high school to college. The north still defeats the south in the civil war. George Washington is still the first president.

We send students off to college so they can learn what they need to succeed in the vocation they pursue. But we spend the first half of their studies covering information that they already know.

The answer to this problem is CLEP testing. CLEP stands for (College Level Examination Program). They are 50-120 question tests given by the CollegeBoard which is the same company that issues the SAT. If a student passes a CLEP they are granted college credit as if they had taken the actual class.

There are CLEP tests for 33 subjects and they give students the ability to test out of 30-60 credit hours before even stepping foot in a classroom. Students can study for these tests alongside their current classes or during their summer break. These tests can also be taken while students are in high school.

There are plenty of clep practice tests and questions available to students which give them a great idea of what information would be covered on a CLEP if they took it.

SpeedyPrep also offers a free CLEP eBook which gives numerous tips and tricks of the trade for how to maximize CLEP for your college student.

For a list of colleges that accept CLEP tests as college credit, visit: http://apps.collegeboard.com/cbsearch_clep/searchCLEPColleges.jsp

For information about CLEP testing centers, visit: http://apps.collegeboard.com/cbsearch_clep/searchCLEPTestCenter.jsp

It’s always best to check with the colleges before you take the tests regarding their CLEP test policy.

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This guest post is by Luke Macias of SpeedyPrep, an online, question-based study system focused on equipping students with all they need to know to prepare for and pass CLEP exams in a variety of subjects.

FOR THOSE WHO ATTENDED (OR MISSED) THE WEBINAR LAST NIGHT

The recording of last night’s webinar is up. This webinar will remain up until February 1st for viewing.

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Tonight is the night that Paul Hemphill, college cost saving guru and parent advocate, teaches you How to Pay Less for College. As a parent advocate myself I appreciate Paul’s keen insight into the parent’s dilemma–Help! How can I send my kid to college and protect my retirement, assets and not go broke in the process?

A sidenote: You know I wouldn’t steer you wrong. The webinar is FREE. You will learn how to look at financial aid differently and learn how to take charge of the process. PLUS, Paul (just for me) is throwing in an amazing FREE bonus at the end of the webinar that you absolutely don’t want to miss out on.

It’s a win-win for you and an hour of your time that will be well-spent.

To go along with tonight’s webinar, I’ve also posted an article (just to wet your appetite): 10 Tips to Cut College Costs

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Being a college student used to mean eating three packs of ramen noodles a day and biking around campus because gassing up your 1985 Chevy was too expensive. Whether you work a part-time job or get an allowance from your parents, you can learn some key concepts to saving and spending wisely — now and after college.

Smart Spending
There are plenty of ways to save a few bucks every day. Dr. Dick Verrone, personal-finance professor for the Cameron School of Business at the University of North Carolina, Wilmington, has these penny-pinching tips:

• Order water. Don’t get soft drinks when you’re eating out. Why pay $2 for 150 soda calories? Also, Verrone says, “Never order orange juice.” OJ is extremely overpriced at restaurants, and most of the time it’s from concentrate.
• Limit your pocket cash. When going out on the town, take a 20-spot, and leave your cards at home. You’ll be forced to keep your tab under $20.
• Buy quality clothing items. They may be a little more expensive, but they’ll last longer. Verrone also definitely approves of outlet shopping. But before making purchases, think: Do I need this? If not, don’t buy it!
• Switch your prescriptions. Change your name-brand medications to generic ones. You can usually save about $20 per med this way.

Clipping “Coups”
OK, most college students don’t have easy access to a daily paper or coupon flyer, so how do you save with coupons and special discounts?

• Look online. If you’re going to the sporting-goods store, for example, type the name of the store into the search engine, along with the words coupon codes. Lots of websites track down discount codes for online shopping, as well as printable coupons for buying items in-store.
• Sign up for discount alerts via text. Some campuses have local text-message discount services — check at your student center or information desk. (Of course, this is not a good idea if you don’t have an unlimited cell-phone plan.) Mike Meyer, a UNCW senior, is signed up for deals in North Carolina at CouponstoYourPhone.com. “Every Monday, I get a coupon-text for one of my favorite restaurants,” he says. “It’s awesome.”
• Purchase a coupon book. These books pack hundreds of coupons, usually for buy-one-get-one-free offers. They’re worth the $25 (if you buy one from a campus organization’s fund-raiser) or even $35 (available online at Entertainment.com) after just a few uses.

Long-term Saving
Verrone recommends getting into the habit of saving now to set yourself up for an easier financial situation after graduation. “Make the amount small enough so you can do it,” he says, such as saving $5 per week or $10 each month.

• Set up an automatic transfer. Most large banking institutions, such as Bank of America or Wachovia, will let you set up transfers between linked checking and savings accounts. Meyer has $30 a month transferred. “That’s how I saved money for spring break freshman year,” he says.
• Start an individual retirement account. No, you’re not too young! This is the time to do it. “Once you’ve accumulated $200 to $300, open a Roth IRA and continue to fund it every month from your savings,” advises Verrone. Even if you continue to only save that $10 per month, you’ll be accumulating real money for the future.
• Watch your money grow. Let your savings work for you by investing in mutual funds with low expenses and superior performance records, suggests Verrone. Consult a financial adviser at your bank for more information.
• Consider an online banking service. Having an online bank can be a good outlet for putting away large sums of money that you can still access without penalties (unlike with an IRA). Online banks usually provide higher interest rates, although transfers take two to three business days. Meyer has a savings account with INGDirect and loves it: “A two-day transfer is more of a commitment, so I have to really think about it before I make that decision.”

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This article was written by Ocean Gildee for The Real College Guide and is made available to Parents Countdown to College Coach through a partnership with The Real College Guide.

Today’s College Helper is Jeff Sheely of Overture Marketplace (who looks quite spiffy in his elf attire). I can’t say enough about the help this guy provides to students and parents of college-bound teens. His “Free Guide to Smart Borrowing” is a must read for every family. His blog is jam-packed with useful information about loans, making wise financial choices, and budgeting during college.  His site is not just another site peddling student loans. It’s a site dedicated to helping parents understand the often overwhelming loan process.  It provides the comparison tool that helps students choose which one is best for them. In fact, it’s the only comparison tool that shows students the actual rates and terms they’ll get from the lenders – everyone else shows “as low as” rates that can be very misleading.

If you’re a parent of a college-bound teen, bookmark Jeff’s blog, his site, and follow him on Twitter and Facebook. He’s a stand up guy offering you the best information about loans to help you make an informed decision.

Here are the rules:

• Submit original artwork, computer graphic or photo for the front of a greeting card.
• Submissions accepted from March 17, 2010-January 15, 2011
• Monthly winners will receive a $75 Amazon gift card
• Must be 14 years or older and enrolled in high school or college

Check out the past winners and applicants for a good idea of how the contest is judged.

Here’s the official Scholarship page link:

The 4th Annual Create-A-Greeting Card Scholarship