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Oct

2023

Selective Service System Question on FAFSA

By Melissa Brock | Going to College, Student Loans, student_loan | Comments Off

When you file the Free Application for Federal Student Aid (FAFSA®), question 22 allows you to sign up for the Selective Service System (SSS). The FAFSA is a free document that you can fill out to learn more about your eligibility for financial aid, including federal student loans, grants, work-study, institutional scholarships, and more.

The SSS provides the Department of Defense with a list of names in the case of a national emergency that requires a draft. When they turn 18, male U.S. citizens and immigrants must register with the Selective Service System.

Keep reading to learn the answer to, “What is the Selective Service System and FAFSA connection?” and what it might mean for you or your student.

Key Points

• Filing the FAFSA allows individuals to learn about their eligibility for various financial aid options, including federal loans, grants, and scholarships.

• Registration with the Selective Service is no longer required to receive federal financial aid, following changes implemented by the FAFSA Simplification Act of 2020.

• Males must register for the Selective Service within 30 days of turning 18, with potential penalties for failing to do so, including loss of certain benefits.

• Applicants can choose to complete the Selective Service registration through the FAFSA or the official website, but completing either is sufficient for compliance.

• Upcoming FAFSA changes for the 2024-25 academic year include a new eligibility formula and the replacement of the term “Expected Family Contribution” with “Student Aid Index.”

Do You Have to Register for Selective Service to Receive Financial Aid?

As mentioned, you do not have to register for Selective Service in order to receive financial aid. If you failed to register in the past and you weren’t exempt from registering for Selective Service, the Department of Education would not allow you to obtain federal financial aid. This meant you could lose access to student loans, grants, and work-study programs. The rule changed due to the FAFSA Simplification Act of 2020.

Men must register for Selective Service within 30 days of their 18th birthday, though the Selective Service accepts late registrations up until age 26. Note that those who were assigned the male sex at birth must register. Failure to do so is a felony and punishable by up to five years in prison and $250,000 in fines.

You may also forfeit the following benefits if you fail to register for the Selective Service:

• State-based student loans and grant programs in certain states

• Federal job training under the Workforce Innovation and Opportunity Act

• Federal and possible state and local jobs

• Delay of U.S. citizenship proceedings for immigrants

Why the Question Is Still on FAFSA

The Selective Service question gives those who must register an easy way to fill out the draft form — you can do it at the same time you file the FAFSA.

How to Answer the Question about Selective Service

It’s helpful to know why people must register for Selective Service. If a crisis requiring a draft were to occur, those required to register would be called through a random lottery number based on year of birth. You’d be examined for mental and physical fitness before being drafted into the Armed Forces.

You can now completely skip over the question about registering for Selective Service on the FAFSA if you choose.

Recommended: FAFSA 101

Is It Better to Register for Selective Service Through FAFSA?

It’s not “better” to register for Selective Service through either the FAFSA or through the Selective Service System website as long as you complete one or the other. However, if you have to fill out both the Selective Service registration and the FAFSA, it may make sense to fill out the FAFSA and take care of both at once.

If you register on the Selective Service website, you’ll provide your:

• Gender

• Name

• Address

• Social Security number

• Birthdate

• Email

• Phone number

• How you learned about Selective Service registration

Will Applying for Financial Aid Get Me Drafted?

Applying for financial aid will not automatically “get you drafted” into the military.

What Happens if I Don’t Submit the FAFSA?

If you don’t submit the FAFSA, you could lose out on thousands of dollars of financial aid to help you attend college. Here are some of the different types of financial aid you could lose out on by not filing the FAFSA:

• Grants: Grants are a type of financial aid that you don’t have to pay back and can come from the federal government, such as qualifying for Pell Grant, Federal Supplemental Educational Opportunity Grants (FSEOG), Teacher Education Assistance for College and Higher Education (TEACH) Grants, and Iraq and Afghanistan Service Grants. You may also lose out on state grants as well.

• Scholarships: Scholarships also do not have to be repaid and they can come from colleges and universities based on the results of the FAFSA. They can be based on academic merit, talent, or a specific academic area.

• Work-study: The federal work-study program allows you to earn money by getting a part-time job on campus.

• Loans: Federal student loans, which must be repaid, allow you to tap into student loans at a lower interest rate. You can borrow up to a certain amount over the course of your academic career. The government pays the accrued interest on subsidized loans while you’re in school part-or half-time while you repay the principal. In the case of unsubsidized loans, you’ll pay the interest that accrues while you’re in school as well as the principal.

You may also be able to access student loan forgiveness for military students and other types of aid. In addition to learning about FAFSA, it’s a good idea to organize your finances using a Ca$h Course guide for college students.

Upcoming Changes With FAFSA

In addition to the FAFSA Selective Service changes, other 2023–24 FAFSA changes include the removal of drug conviction eligibility questions and the retirement of the myStudent Aid app on June 30, 2022.

You’ll be required to fill out this question when completing the FAFSA, but drug convictions no longer affect your eligibility for federal student aid.

The myStudentAid mobile app launched in October 2018 to allow families to complete the FAFSA in app form. However, due to lack of use and families’ preferences of accessing StudentAid.gov on a mobile device instead of the myStudentAid mobile app, the myStudentAid mobile app was removed from app stores on July 10.

Other changes to the financial aid eligibility formula will affect the 2024-25 academic year, including fewer questions about untaxed income, a change in the term “Expected Family Contribution (EFC)” — it will become the “Student Aid Index (SAI).” The term makes it more clear that the SAI refers to an eligibility index for student aid, not the FAFSA amount — the amount a student will pay for school.

In addition to these changes, the parent who provides the most financial support for a student must complete the FAFSA and the discount for families with more than one child in college also goes away.

Important FAFSA Deadlines

The FAFSA opens on October 1 during each new academic year. There are a few different types of deadlines you need to consider. For the 2022-23 academic year, you must submit the FAFSA on June 30, 2023 by 11:59 p.m. Central Standard Time (CST). Corrections or updates must be submitted by 11:59 p.m. CST on Sept. 9, 2023.

However, colleges may have their own deadlines and each state also has its own deadline , which you should check prior to filing the FAFSA. Learn more about the FAFSA with SoFi’s FAFSA guide.

The Takeaway

In the past, Selective Service and FAFSA were intertwined. You’d be asked, “Are you registered with the Selective Service system on the FAFSA?” As a male, you were required to register in order to receive financial aid. In the past, if you failed to register and you weren’t exempt, you would see student loans denied to you, as well as access to grants and work-study programs. However, you no longer have to register for the Selective Service system for FAFSA. The FAFSA and Selective Service rule changed due to the FAFSA Simplification Act of 2020.

After exhausting their federal financial aid options, some borrowers may turn to private student loans to fill in the gap. While these can lack borrower protections afforded to federal student loans, they can be helpful if all other avenues of financing have been depleted.

SoFi private student loans offer competitive interest rates for qualifying borrowers, flexible repayment plans, and no fees.

3 Student Loan Tips

1. Need a private student loan to cover your school bills? Because approval for a private student loan is based on creditworthiness, a cosigner may help a student get loan approval and a lower rate.

2. Even if you don’t think you qualify for financial aid, you should fill out the FAFSA form. Many schools require it for merit-based scholarships, too. You can submit it as early as Oct. 1.

3. Would-be borrowers will want to understand the different types of student loans peppering the landscape: private student loans, federal Direct subsidized and unsubsidized loans, Direct PLUS loans, and more.

Photo credit: iStock/SDI Productions

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student Loans are not a substitute for federal loans, grants, and work-study programs. You should exhaust all your federal student aid options before you consider any private loans, including ours. Read our FAQs. SoFi Private Student Loans are subject to program terms and restrictions, and applicants must meet SoFi’s eligibility and underwriting requirements. See SoFi.com/eligibility-criteria for more information. To view payment examples, click here. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

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Oct

2023

College Scholarship Essay Writing Guide

By Jacqueline DeMarco | Going to College, Student Loans, student_loan | Comments Off

Scholarships can be a great way to get help paying for college, but unfortunately the competition for these awards can be intense. Many college scholarships require writing an essay as a part of the application process.

Writing an exceptional college scholarship essay stand out is just one thing that can help set your application apart from the rest. Continue reading for tips on crafting a strong college scholarship essay.

Key Points

• Planning ahead is crucial when writing a scholarship essay, allowing ample time for drafting, revising, and meeting deadlines for multiple applications.

• Customizing the essay for the scholarship provider’s values and mission enhances its impact, making it more memorable to the reviewers.

• Following all application instructions carefully is essential, as failure to do so can lead to disqualification regardless of the essay’s quality.

• Crafting a compelling introduction and maintaining a consistent style throughout the essay can significantly improve the reader’s engagement and impression.

• Highlighting personal achievements and goals, while thoroughly proofreading for errors, ensures a polished and persuasive scholarship application.

1. Plan Ahead

Let’s start with one of the most practical tips for writing a scholarship essay. The first step to success when writing a college scholarship essay is to not procrastinate. Plan ahead to make sure there is plenty of time to write the essay, review it, and edit it.

It’s also important to write down the deadline and to set reminders as that deadline nears. If you’re applying for multiple scholarships consider setting up a tracker with important deadlines and application requirements so you can stay on top of the needs for each application.

Allowing enough time to write and edit can help you improve the quality of the essay, instead of trying to cram at the last minute.

2. Write to Your Audience

All scholarship providers are looking for students who meet certain criteria. Often this criteria includes students who have experiences or interests that match the mission of their organization.

Spending some time researching the organization offering the scholarship can help give essay writers the ability to customize their essay to their unique audience. If their writing can illustrate an alignment of values, their essay may be more memorable.

3. Read the Instructions and Follow Them

Before starting an essay, students should take their time to carefully read all application instructions and make a plan to follow them. No matter how strong an essay is, if the applicant fails to follow the instructions they may find themselves disqualified from the competition.

4. Pick a Topic You Care About

Because scholarship application essays can feel like a lot of work, it’s helpful if the writer chooses a topic they are really passionate about. Their essay will come across as more genuine and meaningful if they care about what they are writing about which will make a stronger impact on the scholarship committee than if they chose to write about a more generic topic.

5. Crafting a Strong Introduction

The introduction is the first chance the student has to capture the attention of their essay reviewer. It’s a good idea to spend some extra time crafting a compelling introduction so that the reader is interested, and excited, to finish the essay.

6. Pay Attention to Style

College scholarship essay reviewers will be more impressed by essays that take spelling, grammar, and general style into account. Read and re-read your essay to ensure that the tone of voice is consistent and there are no grammatical errors. Get some other opinions on the writing too. Consider asking teachers, counselors, or trusted friends or family members to review the essay before submitting it. A second set of eyes can go a long way in catching spelling, grammar, or style issues.

7. Follow a Pre-Planned Structure

To avoid having a messy essay, starting with an outline can help. Sit down and create a pre-planned structure before starting to write the actual essay. It can be helpful to think about how to incorporate the following messages into the outline.

• Who are you? And why are you who you are?

• What have you accomplished?

• What are you hoping to accomplish in school and after school?

• Why do you need a scholarship?

• How will a scholarship make a difference?

8. Show, Don’t Tell

Another key scholarship application essay tip is to show, not tell. What do we mean by that? Instead of telling the reader exactly what they need to know, show them what they need to know.

For example, if a student wants the reader to know they are committed to their community, instead of saying “I am committed to my community” they can show this by saying, “I volunteer at my local dog shelter and beach clean up organization to help improve the life in our community for all residents and pets.”

9. Sell Yourself

It’s important to use the space in a college scholarship application to highlight achievements and how the scholarship will make it possible to achieve future goals. Pick a few select accomplishments or traits to focus on so the essay isn’t too heavy handed, but don’t shy away from being complementary.

10. Reread and Spell Check, Spell Check, Spell Check

We mentioned paying attention to spelling and grammar earlier, but as a friendly reminder don’t forget to do one last spell check at the end. This is one of the most important scholarship essay writing tips to keep in mind.

Our eyes get used to seeing what we type, so print out the essay and review it on paper to catch typos you may have missed on the screen. This is another time it’s a good idea to ask for a second set of eyes to look at the essay and to flag any errors. Be especially careful to double check the spelling of the name of the scholarship or organization.

Alternatives to Scholarships

Scholarships generally don’t need to be repaid and finding this free money for college can be an incredibly helpful resource for students trying to pay for college. Spending time applying for scholarships is well worth it. In addition, students may also rely on alternative funding sources to pay for college.

Some common funding sources include grants, federal student loans or private student loans. To apply for federal financial aid, students will need to fill out the Free Application for Federal Student Aid (FAFSA®) each year. This application will allow students to find out if they qualify for federal grants, scholarships, work-study and federal student loans. Some colleges use information provided on the FAFSA to determine institution-specific awards. Continue reading for more information on alternatives to scholarships.

Grants

Similar to scholarships, recipients of grants don’t usually need to pay back the money they’re given. Students can check with their college’s financial aid office to learn more about available grants and can fill out the FAFSA annually to see if they qualify for any grants.

Financial Aid

Alongside grants and scholarship, students can also consider pursuing other types of financial aid such as work-study jobs designed to help students earn money to pay for school. Those who served in the military or are the spouse or child of a veteran may be eligible for aid and students who are studying internationally may qualify for unique types of financial aid.

As mentioned, to apply for federal financial aid students will need to fill out the FAFSA each year they are in school.

Private Student Loans

Private student loans come from a variety of different financial institutions and they can help fill any financial gaps left after using financial aid and federal student loans to pay for college. To apply, students will need to file applications directly with the private lenders.

Private student loans don’t necessarily offer the same benefits as federal student loans — like deferment options or income-driven repayment plans. For this reason, students generally consider private student loans after thoroughly reviewing all other options.

Federal Student Loans

Whether someone is an undergraduate or graduate student, federal student loans — which are funded by the U.S. Department of Education — usually have better interest rates and terms than private student loans do and they come with unique federal protections like income based repayment plans.

The Takeaway

Scholarships are a great way to get some financial relief when paying for school, but students shouldn’t expect scholarships to cover all of their higher education expenses. Many students will use a combination of scholarships, grants, savings, and student loans to pay for their education.

When federal student loans and other sources of funding aren’t enough to fully foot the bill, private student loans can be an option to consider. SoFi private student loans have absolutely no fees and allow borrowers to select one of four flexible repayment plans.

SoFi private student loans offer competitive interest rates for qualifying borrowers. Find out if you prequalify in just a few minutes.

3 Student Loan Tips

1. Can’t cover your school bills? If you’ve exhausted all federal aid options, private student loans can fill gaps in need, up to the school’s cost of attendance, which includes tuition, books, housing, meals, transportation, and personal expenses.

2. It’s a good idea to understand the pros and cons of private student loans and federal student loans before committing to them.

3. Even if you don’t think you qualify for financial aid, you should fill out the FAFSA form. Many schools require it for merit-based scholarships, too. You can submit it as early as Oct. 1.

FAQ

How do you start or address your scholarship essay?

To start off a college scholarship essay, it can be helpful to address: what, what, when, where, and why. This way the reader will know the basics of who the student is and why they are applying for the scholarship.

What is the most important thing to avoid in a scholarship essay?

Unnecessary mistakes are the most important thing to avoid when writing a scholarship essay. Double check for spelling or grammatical errors, make note of any key deadlines, and be sure you are fulfilling all application requirements.

How long should scholarship essays be?

All scholarship essays will have different length requirements. Double check the desired word count for the essay before submitting it.

Photo credit: iStock/InspirationGP

Oct

2023

What Can You Do With a Finance Degree and What Is the Cost?

By Emily Greenhill Pierce | Going to College, Student Loans, student_loan | Comments Off

A degree in finance can open doors to a wide range of exciting career opportunities. Whether you’re looking to work as a financial analyst in a private business, an accountant for a nonprofit, or help individuals achieve their retirement goals, enrolling in a collegiate finance program can give you the tools you need to succeed.

But the tools of higher education don’t come cheap. Even with an online finance degree program can cost $24,000 to $75,000. Fortunately, there are many available avenues in the way of loans, grants, and scholarships that can support your dreams and ease financial anxiety.

What Is a Finance Degree?

A finance degree program focuses on the study of money management, investing, and market trends. It can prepare you for a job in the economic sector, or lay the groundwork for graduate studies in business or law.

Undergraduates enrolled in an accredited four-year program typically obtain either a Bachelor of Science or a Bachelor of Arts, depending on the area of focus. Introductory coursework can include the fundamentals of economics, statistics, business law, and accounting. Some people interested in working in finance may also consider pursuing a math degree.

Is a Degree in Finance Worth It?

Good News: Entry-level compensation in the field of finance tends to top the national median salary. The employment rate in this sector is expected to grow 8% “from now until 2030.

While jobs in the financial realm are competitive, there is an expanding need for more accountants, strategists, and market analysts. Most of these ground-floor opportunities require at least a bachelor’s degree in finance. Another big bonus of a business finance degree program is connections—the alumni and internship possibilities that could lead to employment.

What Kinds of Finance Degrees Are There?

Educational institutions can offer a Bachelor’s in finance, Associate’s Degrees, Master’s Degrees (including MBAs), and Doctorate programs. Wondering what to do with a finance degree? Popular subfields within a finance program include financial planning, management, and accounting, which could help steer you in a career direction.

Financial Management

A student pursuing a degree in financial management learns how to make informed financial discussions for nonprofit businesses and corporations. Students can take classes in business economics, data analysis, financial reporting, and business law.

Financial Planning

A degree in financial planning prepares you to assist businesses, individuals, and families in creating monetary plans for the future. Course topics can be in retirement strategies, investment portfolios, tax planning, healthcare, estate planning, and risk management.

Accounting

While a degree in accounting offers a more specific focus than a general finance degree, the employment opportunities are far from limited. There are an estimated 135,000 job opportunities projected each year. Students take courses in auditing, tax preparation, and qualitative analysis.

What Can I Do With a Finance Degree?

From analysts to money managers, to a think tank researcher or top government economist, a degree in finance can pave the way to a world of job opportunities.

Loan Officer

Loan officers work for banks, mortgage companies, and credit unions. They are instrumental in helping businesses and individuals acquire a home, a business loan, or new car. A loan officer usually holds a bachelor’s degree in finance, accounting, or business.

Personal Financial Advisor

Personal financial advisors work with individuals and families to reach their economic goals. They assist with investment portfolios, navigating tax laws, and can help make retirement dreams come true. Financial advisors may be required to complete certifications, acquire licenses, or complete ongoing education requirements. Requirements may be dictated by your specific career path, employer, or state.

Financial Examiner

Banks and other institutions rely on financial examiners to help keep them out of trouble. A financial examiner helps businesses comply with current laws and regulations, making sure all their transactions follow mandated guidelines. They can specialize in risk assessment, keeping companies fiscally secure, or in consumer compliance to protect customers.

Financial Analyst

A financial analyst works for banks and investment companies assessing market trends to inform investment choices and strategical direction. They help create financial forecast models, fiscal reports, and then recommend a course of action.

Financial Manager

A financial manager oversees the financial well-being of a business. Responsibilities include supervising company cash flow, keeping tabs on expenses, submitting financial reports, and developing long-term fiscal goals for investment institutions, banks, or insurance companies.

How to Pay for a Finance Degree

A degree in finance can help put you on a career path to success, but the journey usually isn’t free. In 2020, 64% of college grads took out loans for school. An undergrad program can cost you, and a graduate degree only adds to the educational price tag.

Fortunately, there is federal aid, private student loans, scholarships, and other options that can help alleviate the fiscal burden of higher education.

Federal Student Loan

Applying for a federal student loan is usually the first stop on the quest for college funds. With a current interest rate of 3.73% for undergraduates, federal loan rates are fixed and lower than most private loans. They also don’t require a credit check or cosigner. You don’t have to start repayment until after college, so you can worry about your coursework vs. a monthly bill.

The first step is to fill out the Free Application for Federal Student Aid “Free Application for Federal Student Aid (FAFSA®) to determine how much financial aid you can receive. This application is used to determine student eligibility for federal financial aid including scholarships, grants, and work-study, in addition to federal student loans.

Private Student Loan

When federal loans and things like scholarships aren’t enough to cover the cost of a finance degree program, a private loan for students can be one option to fill in the gaps. These loans are issued by banks, online lenders, or credit unions. The lender will check your credit score and financial records to determine the loan amount and terms for which you qualify.

Younger applicants who don’t have a credit score or have limited employment history may consider applying with a cosigner, typically a parent or legal guardian, to pledge responsibility for your loan. Rates for undergrad and graduate student loans can vary, so be sure to do your homework and shop around at various lenders to find the best loan for your situation.

It’s a good idea to research the pros and cons of federal vs. private student loans to determine how they can work best for you.

Credit Card

Most colleges and universities accept credit cards for tuition payments. But while it may be tempting to rack up those travel points and cash back rewards, be careful. Many schools will charge you a convenience fee. And even if you have a 0% interest card, that rate can jump up to 12.99% to 24.99% after 18 to 21 months. Might be wise to check out other ways to get that finance degree before paying with plastic.

Borrow from Loved Ones

Borrowing from a loved one for your finance degree may allow for lower interest rates (if any) and generous repayment arrangements. But be sure to spell the terms of the loan on paper to legally protect you and the lender, and to avoid potential confusion, argument, or future resentment.

If a parent or guardian is unable to loan you money directly, they could consider borrowing a Direct PLUS Loan from the government or a private parent student loan.

Pay Cash

“Cash is king!” as the saying goes. No educational institution will turn it down. By working as much as you can during school and summer vacations to help pay for college, you can avoid borrowing interest-accruing loans.

Scholarships

College scholarships mean free money gifted from numerous organizations. They can be based on financial need or merit — awarded for grades, test scores, talent, ancestry, or special interests.

Scholarship money does not generally have to be paid back. You can find information from government resources, a college financial aid office, a high school counselor, or this state-by-state scholarship guide. Pay attention to the submission deadlines and application requirements so you don’t miss your chance to qualify.

Grants

One difference between grants and scholarships is that grant money is typically awarded solely based on financial need, and often by government agencies. For example, the Federal Pell Grant is gifted to undergraduate students from low-income households. Like scholarships, grants do not have to be repaid.

The Takeaway

The job rate in the finance sector is growing, with higher than average entry-level salaries. There’s an optimistic chance a degree in finance could yield good returns in the future. With all the potential funds from federal and private student loans, scholarships, and grant money, pursuing a degree in finance doesn’t have to be a high-risk investment.

SoFi private student loans offer competitive interest rates for qualifying borrowers, flexible repayment plans, and no fees.

3 Student Loan Tips

1. Need a private student loan to cover your school bills? Because approval for a private student loan is based on creditworthiness, a cosigner may help a student get loan approval and a lower rate.

2. Even if you don’t think you qualify for financial aid, you should fill out the FAFSA form. Many schools require it for merit-based scholarships, too. You can submit it as early as Oct. 1.

FAQ

What does a finance degree do?

A finance degree can prepare you for employment in the financial sector—as an analyst, accountant, manager, financial planner, or loan officer.

What is the best degree for finance?

Any kind of degree from a finance program could set you up to succeed in your desired field. Some of the higher paying finance jobs are in financial management and analysis.

How can I pay for a finance degree?
Investigate federal and private student loans, grant money, and scholarship opportunities.

Photo credit: iStock/Nuthawut Somsuk

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SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student Loans are not a substitute for federal loans, grants, and work-study programs. You should exhaust all your federal student aid options before you consider any private loans, including ours. Read our FAQs. SoFi Private Student Loans are subject to program terms and restrictions, and applicants must meet SoFi’s eligibility and underwriting requirements. See SoFi.com/eligibility-criteria for more information. To view payment examples, click here. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change.

Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.

External Websites: The information and analysis provided through hyperlinks to third-party websites, while believed to be accurate, cannot be guaranteed by SoFi. Links are provided for informational purposes and should not be viewed as an endorsement.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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Oct

2023

Math Degree: How You Can Use It & How to Pay For It

Math Degree: Is It Worth the Cost?

By Bob Haegele | Building Your Career, Life & Career, student_loan | Comments Off

College is more expensive than ever, making it more important for college students to determine ahead of time whether their degree is worth the cost. Math degrees are often worth the cost as they allow alumni to pursue many lucrative careers.

Math majors can be mathematicians, but they can also pursue analytical professions. Many of those career paths lead to high-paying jobs, but some pay more than others. Salaries depend in large part on the type of math degree you have and the career path you choose.

What Is a Degree in Math?

A degree in math is one that students earn by studying various mathematical disciplines, such as algebra, calculus, statistics, set theory, and stochastics. Math majors might also study applied mathematics, which is more theoretical in nature.

Those who earn math degrees develop the analytical skills necessary to solve real-world problems. The problem-solving skills that math students learn is one of the reasons they do well in fields beyond mathematics itself.

There are many types of math degrees that can lead to an even greater number of career paths. This has led to a slate of fast-growing fields for math program graduates, some of which make a math degree well worth it.

What Kinds of Math Degrees Are There?

Students who want to pursue a math degree have options throughout the post-secondary education system, ranging from associate’s degrees to doctoral degrees.

Associate Degree in Math

An associate degree in math is one that students can often complete in two years or less. These degrees are often earned at community colleges and usually require about 60 credit hours.

Associate degrees in mathematics are a great way for math majors to start their academic journey. Those who earn associate degrees in math often enroll in four-year colleges; credit hours from associate degree programs can be transferable to four-year math degree programs.

Bachelor’s Degree in Math

A bachelor’s degree in math is an undergraduate degree that provides training in both applied and core mathematics. These are generally four-year degrees requiring 120 credit hours.

Students will be expected to analyze and solve problems, construct mathematical solutions, and apply mathematical solutions to real-world problems. Students can pay for these degrees with undergraduate loans.

Master’s Degree in Math

A master’s degree in math is a graduate-level degree that may offer more specialized training in mathematics. These degrees usually take about two years to complete and prepare you for a career in either a teaching position or an industry job.

It may involve basic courses in real analysis and linear algebra. Later, you may complete fundamental courses such as probability, scientific computing, and differential equations. Students can pay for these degrees with graduate loans.

Doctoral Degree in Math

A doctoral degree in mathematics is typically a Ph.D. program that takes five to six years to complete. There might also be graduate school requirements that students must complete, plus a residency.

The curriculum for a doctoral degree might involve courses in the areas of algebra, analysis, and topology. There are also exams, a dissertation, and a thesis to complete.

Are Finance and Math Degrees the Same?

Math and finance degrees are both analytical in nature, and both math and finance majors are likely to engage in quantitative analysis as a part of their professions. Despite the overlap in skills, though, the two degrees are not the same.

Both math and finance majors might enroll in introductory mathematics courses, such as calculus I. But beyond the basic courses, the two majors usually diverge. Math majors will learn more complex mathematical theory, while finance majors’ curricula will be more focused on business.

What Jobs Can You Get With a Mathematics Degree?

One of the best things about mathematics degrees is the number of career paths that may follow. Mathematics majors can be math teachers or mathematicians, but they can also have several other types of roles.

Computer and Information Research Scientists

Computer and information research scientists find ways to use new and existing technology. They study and solve complex problems in business, science, medicine, and other fields.

Physicists

Physicists study the interactions of matter and energy. They might design and perform experiments with sophisticated equipment such as particle accelerators, lasers, or electron microscopes.

Actuaries

Actuaries analyze the financial costs of risk and uncertainty. This makes them essential to the insurance industry. They use mathematics, financial theory, and statistics to assess the risk of potential events.

Mathematicians and Statisticians

Mathematicians and statisticians analyze data, applying computational methods to solve practical problems in the areas of business, engineering, science, and other fields. They develop mathematical or statistical models to analyze data.

Mathematics College Professors

Mathematics college professors teach courses around mathematical concepts, statistics, and actuarial science. They also teach courses on the application of mathematical techniques in solving specific problems.

Mathematics High School Teachers

Mathematics high school teachers plan and teach math lessons to students in secondary education. Their primary responsibilities include grading assignments and quizzes and tracking students’ progress.

What Is the Average Salary if You Have a Math Degree?

Math occupations had a median annual wage of $98,680 in May 2021, according to the Bureau of Labor Statistics. However, some math majors earn more than others.

For example, actuaries have a median pay of $105,900, while mathematicians and statisticians have a median of $96,280. Not only that, but actuaries also need just a bachelor’s degree for entry-level positions, while mathematicians and statisticians need at least a master’s degree.

Ways to Pay for a Math Degree

Much like other types of degrees, there are multiple ways to pay for a math degree. That includes financial aid, merit-based scholarships, 529 plans, and more.

Financial Aid

Financial aid is one of the most common ways to pay for college. Grants vs. scholarships vs. loans are three large umbrellas of federal financial aid. Grants and scholarships are both considered gift aid which students are typically not required to repay. Federal student loans do require repayment.

Federal student loans have many benefits for borrowers, such as income-based repayment (IBR) plans and public student loan forgiveness (PSLF). To apply for financial aid, students will need to fill out the Free Application for Federal Student Aid (FAFSA®) yearly.

Merit-Based Scholarships and Grants

There are thousands of scholarships and grants that may be available to students pursuing a math degree. These scholarships range from amounts of just a few dollars up to covering the entire cost of college.

One of the biggest benefits of scholarships and grants is that unlike student loans, they usually don’t have to be repaid. While “merit-based” often refers to academic merit, it can be based on other criteria, such as athletics or leadership.

With so many scholarships available, you may want to leverage a combination of resources to find relevant opportunities. For example, you contact your school’s financial aid office and check with federal and state agencies. The U.S. Department of Labor also has a scholarship search tool available.

529 Plans

529 plans are college savings plans sponsored by a state or state agency. These plans are investment accounts that offer tax benefits and can cover qualifying education expenses such as tuition and textbooks.

529 plans are often opened by parents to save for their children’s future college education, but anyone 18 and over can open an account. You can even open an account for yourself and still take advantage of the tax benefits they offer.

Personal Savings

Personal savings is always an option when paying for your math degree. While it isn’t “free money” like a scholarship or grant, personal savings can help in some situations.

For example, certain expenses don’t qualify for the tax benefits of a 529 plan, such as entrance exams and test prep. You might decide to use your personal savings for non-qualified expenses and reserve your 529 for qualified expenses.

Private Student Loan

Private student loans are available from private financial institutions. You can qualify as long as you meet certain requirements, such as being enrolled in an eligible school and meeting credit and income criteria. Private student loans may offer lower interest rates for qualifying borrowers than federal student loans but may also lack some of the protections that federal student loans offer.

The Takeaway

Math degrees remain an excellent choice for anyone starting college as they are highly valued in sectors such as finance and tech, in addition to mathematics. Those pursuing a math degree can earn degrees ranging from associate degrees up to doctoral degrees.

However, college is expensive and most of us need help covering the costs. SoFi private student loans are one option. There are rate discounts, a six-month grace period, and absolutely no fees. You can even repay your student loans using rewards points.

Find out if you qualify for a no fee student loan from SoFi in just a few minutes.

FAQ

What can you do with a mathematics degree?

Math degrees allow people to pursue careers not only as mathematicians and teachers but also as actuaries, physicists, and computer scientists.

What are degrees in math?

Math degrees allow students to study and apply concepts learned in mathematical disciplines such as algebra, calculus, and statistics. In doing so, students learn analytical skills they can apply in solving real-world problems.

How can I pay for a math degree?

There are many ways to pay for a math degree, including scholarships and grants, federal and private student loans, and 529 plans.

Photo credit: iStock/bob_bosewell
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SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student Loans are not a substitute for federal loans, grants, and work-study programs. You should exhaust all your federal student aid options before you consider any private loans, including ours. Read our FAQs. SoFi Private Student Loans are subject to program terms and restrictions, and applicants must meet SoFi’s eligibility and underwriting requirements. See SoFi.com/eligibility-criteria for more information. To view payment examples, click here. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

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Oct

2023

Trade School vs Community College: Pros and Cons

Community College vs Trade School: How They Compare

By Jacqueline DeMarco | Going to College, Life & Career, Student Loans, student_loan | Comments Off

There is no one right path to take in life and that includes how someone decides to pursue an education after high school. Attending a four year university isn’t necessarily the best option for some and they may want to consider other options that can help them prepare for a fruitful career.

Let’s examine how trade school vs community college works for prospective students considering those options.

What Is Community College?

Community colleges serve their local community by offering affordable higher education options that can either lead to transferring to a four year university, obtaining an Associate of Arts (AA) or Associate of Science (AS) degree, learning a trade, or finding personal fulfillment by taking a class or two for fun.

Students may also choose to attend community college before transferring to a university to pursue a Bachelor of Science (BS) or Bachelor of Arts (BA) degree because doing so can save them a lot of money on tuition by transferring course credits from their community college to a university.

How It Works

Students who attend community college can choose from a wide variety of classes to take. Some may focus on academic courses so they can earn lower division credits that can transfer to a four year university. Others may decide to pursue technical certificates that prepare them for specific career paths. Or a student can take a mix of both styles of classes. One major benefit of community college is that the classes are affordable, so students can test out different areas of interest.

What You Learn and How You Learn It

What a student learns and how they learn it at a community college depends on the types of classes they choose to take. For example, a student pursuing lower division credits that transfer to a university may take a math or English class in a traditional classroom setting that involves lectures, homework, and exams. A student pursuing a career as an auto mechanic would instead take classes that combine lectures and homework with hands-on learning opportunities in an auto mechanic workshop setting.

What Is Trade School?

Trade schools are a type of school that students can attend if they are interested in focused training programs that can prepare them for a specific skilled trade or industry. Students work towards developing technical abilities such as operating, building, fixing, and maintaining mechanical systems.

Some examples of careers that can follow trade school include:

• Welder

• Construction worker

• Auto mechanic

• HVAC technician

• Blacksmith

• Electrician

It’s worth noting that some community colleges offer training in similar subjects to trade schools.

How It Works

Some trade schools focus on a specific training program, such as plumbing, whereas other trade schools may offer multiple training programs like HVAC and welding training. Even if a trade school offers multiple areas of study, they generally don’t overlap and each program has its own curriculum and teachers.

What You Learn and How You Learn It

At trade schools, students learn specialized trade skills that prepare them for mechanical careers, such as working as a construction worker or blacksmith. This type of education requires attending lectures and studying course materials, but also more hands-on demonstrations and training.

Trade School vs Community College

To better understand how a trade school vs. community college works, it helps to understand the similarities and differences of these two options.

Similarities

When it comes to trade schools vs. community colleges, these are some of the similarities these two types of schools can have.

• Learning environment. Because community colleges offer similar courses to trade schools, both take a hybrid approach when it comes to trade subjects like HVAC repair. Students tend to learn these skills in both a classroom and workshop setting.

• Timeframe. While some community college degrees can take as long as two years to earn (such as with an AA), the technical training programs at a community college are still more in line with how long it takes to graduate from a trade or technical school (usually a year) whereas a university takes four years to complete.

Differences

Of course, there are also some community college vs. trade school differences worth being aware of.

• Course options. Even though community colleges do offer trade courses, they also offer academic courses — with instruction taking place entirely in a classroom — with the aim of helping students transfer to a four year university.

• Cost. Usually, trade schools cost more to attend than a community college. Though, this may vary based on factors like the type and length of the program.

Pros and Cons of Trade School

Now let’s examine the pros and cons of attending trade school.

Pros of Trade School	Cons of Trade School
Specific career training	Training is usually limited to one career path
Many programs only take a year	May be more expensive than community college
Less expensive than a four year degree	Students don’t earn academic credits that can transfer to a university
Flexible schedules that accommodate students with families and who work

Pros and Cons of Community College

Before attending community college, some students may want to consider the benefits and disadvantages of doing so.

Pros of Community College	Cons of Community College
More affordable than attending a four-year college	Credits don’t always transfer
Students can live at home	Lack of socializing opportunities
Easier acceptance than at four-year schools

Choosing for Yourself

After comparing the trade school vs community college pros and cons, prospective students can make a decision about which path forward seems like the best fit for them based on their personal and professional goals, financial situation, and lifestyle. Thinking about what career they want to pursue and which education option can prepare them for that career is a great place to start.

The Takeaway

Again — there is no one right education path to pursue. While some may be set on earning a Bachelor’s degree and may find that community college is a great stepping stone for them, others may feel that a trade school can adequately prepare them for the career of their choice. In some cases, community college can prepare a student to further their academic career or to work in a trade, but trade schools also offer specialized training programs that some prospective students may find appealing.

Community college students may be able to qualify for federal student aid to help them pay for their education. Students who face funding gaps, might consider private student loans. Though, keep in mind these loans don’t offer the same protections as federal student loans.

If private student loans seem like a fit for your financial situation, consider SoFi. While SoFi’s private student loans aren’t available to community college students, they could be an option for those transferring to a four year program.

3 Student Loan Tips

2. Even if you don’t think you qualify for financial aid, you should fill out the FAFSA® form. Many schools require it for merit-based scholarships, too. You can submit it as early as Oct. 1.

Private student loans from SoFi loans have zero-fees and qualifying borrowers can secure competitive interest rates.

FAQ

Do community college or trade school graduates make more?

Because community college and trade schools both offer degrees and certificates that lead to mechanical jobs, graduates of both types of schools stand to earn the same income. Some students who pursue a higher education after community college, such as a bachelor’s, master’s, or doctorate degree can have increased earning potential.

Which trades that you learn at trade school pay the best?

There are many trades that pay well, but a few of the best paying trade jobs include working as a transportation, storage and distribution manager (median annual salary of $98,230), an elevator/escalator installer and repairer (median annual salary of $97,860), and a nuclear power reactor operator (median annual salary of $94,970).

Is trade school or community college cheaper?

When it comes to the cost of community college vs trade school, generally community college costs less to attend on an annual basis ($3,800 per year for tuition and fees) than trade school ($5,000 to $15,000 for three to 18 months), but students may need to attend community college longer than trade school, which can make the costs rise.

Photo credit: iStock/andresr
SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student Loans are not a substitute for federal loans, grants, and work-study programs. You should exhaust all your federal student aid options before you consider any private loans, including ours. Read our FAQs. SoFi Private Student Loans are subject to program terms and restrictions, and applicants must meet SoFi’s eligibility and underwriting requirements. See SoFi.com/eligibility-criteria for more information. To view payment examples, click here. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

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