If you’re an animal lover, a career as a veterinarian can be deeply rewarding. However, you may end up with significant student loan debt after earning your Doctor of Veterinary Medicine (DVM). According to the American Veterinary Medical Association (AVMA), veterinary school borrowers owe an average of $179,505 upon graduation.

Debt of this magnitude can take a long time to pay off, but there are programs to help make repayment more manageable. Here’s a closer look at the average vet school debt and costs, plus tips on how to manage your veterinary student loan debt.

Overview of Veterinary Education Costs

Veterinary school typically spans four years after an individual earns an undergraduate degree and costs an average of more than $200,000 for in-state residents and $275,000 for out-of-state students, according to the Veterinary Information Network Foundation.

The American Association of Veterinary Medical Colleges (AAVMA) found that resident four-year tuition ranges from $78,588 to $259,720. While these figures reflect tuition rates, there are additional costs involved with paying for vet school. These include room, board, transportation, books, and other living expenses.

Non-resident total cost can range anywhere from $235,345 to $480,571, according to the AAVMA.

Current Average Student Loan Debt for Veterinarians

Given the high cost of veterinary school tuition, it’s not surprising that vet school debt reaches well into six-figure territory.

National Average Student Debt Figures

The national average student debt among all veterinary school graduates is $147,258. Among veterinary school graduates who took out student loans, the average veterinary student debt is higher at $179,505.

For some of these graduates, student loan refinancing might be an option worth considering to help make repaying your vet school debt more manageable, especially if you can qualify for lower interest rates and better loan terms.

Comparison to Other Medical Professions

While the average veterinary student debt is high, it’s not the highest among medical professions. Here’s how veterinary debt compares to the average debt of a bachelor’s degree and other medical programs.

Recommended: Student Debt by Major

Factors Influencing Veterinary Student Loan Debt

The main factors influencing the average student debt for veterinarians are the high cost of veterinary school, the price of room and board, and in-state vs. out-of-state tuition rates.

Cost of Veterinary School

Four years of veterinary school can cost more than $200,000 for in-state residents and over $275,000 for out-of-state residents. The majority of veterinary students (about 82%) borrow student loans to cover costs.

Some factors that can influence how much you’ll pay to become a veterinarian include:

•   In-state vs. out-of-state tuition rates: Tuition rates are lower at public veterinary schools for in-state residents and higher for out-of-state residents. The highest costs are generally at private veterinary schools.

•   Cost of living in your location: Along with tuition and fees, you’ll have to factor in living expenses. These expenses could be a lot higher in an urban area than a rural one and can vary widely depending on where your school is located.

•   Room and board: Costs for housing and food are another major expense. You might save money by commuting or sharing an apartment with roommates, as well as by buying your own groceries over a university meal plan.

•   Grant and scholarship availability: Grants and scholarships can help defray the costs of veterinary school and don’t have to be repaid, but they can be competitive. Apply to as many opportunities as you can to try to access this gift aid for school. Don’t forget to submit the Free Application for Federal Student Aid (FAFSA), which gives you access to federal financial aid.

•   Personal savings: If you have savings you can put toward veterinary school, such as money in a 529 college savings plan, you may not have to borrow as much in student loans.

Trends in Veterinary Student Loan Debt

Although veterinary school debt is high, it’s lower than it was a few years ago. The average student debt for all graduates is down by more than 6% from 2020. Among student loan borrowers, it’s down 5% from 2020.

Debt-to-income (DTI) ratios have also improved somewhat, meaning that veterinary graduates are slightly better able now to pay off their student loans. The average debt-to-income ratio was 1.44 for 2022 graduates who started working full-time, a more manageable DTI than the 1.7 ratio among the 2021 cohort.

Impact of Student Loan Debt on Veterinarians

Although student loan debt can be a major financial burden for veterinarians, it’s not their top motivating factor when choosing an offer of employment. According to an AVMA survey, most new graduates (85%) said they chose the job they did for its mentorship opportunities.

After that, the top reasons for selecting an employment offer were location, people, and compensation.

Career Choices and Specializations

Veterinarians have good prospects for employment after graduation, with 95.7% receiving an offer for a job or position in advanced education after leaving school. Most graduates go into private practice, followed by internships and then public practice.

•   Private practice: 68.9%

•   Internships: 24.6%

•   Public practice: 2.4%

Among private practice veterinarians, most chose to work with companion animals (56%), followed by mixed animal practice (9%), food animal practice (2%), and equine practice (1%).
The average starting compensation was $124,295 among veterinary graduates who got a full-time job.

This is how much a veterinarian makes on average, broken down by job type:

•   Private practice: $125,416

•   Public practice: $87,417

•   Residencies: $46,186

•   Internships: $53,266

Some veterinarians also scored additional compensation in the form of signing bonuses and other benefits:

Strategies for Managing Veterinary Student Loan Debt

If you owe veterinary student loans, here are some techniques to make it easier to repay your debt.

•   Explore loan forgiveness and repayment assistance programs: You may qualify for student loan assistance from a federal or state program, depending on where you work. For instance, the Public Service Loan Forgiveness program is available to vets working at shelters, zoos, aquariums, as military vets, or in other public service jobs. The USDA’s Veterinary Medicine Loan Repayment Program offers up to $25,000 in student loan help each year for three years to vets working in shortage areas. This student loan forgiveness guide can help you discover other forgiveness opportunities that may be available to you.

Some states also have student loan repayment assistance programs (LRAPs) for veterinarians who work in a high-need area. Unlike federal programs, state LRAPs may offer assistance toward both federal and private student loans.

•   Compare repayment plan options: If you owe federal student loans, you have several repayment plans to choose from, including the standard 10-year plan, the extended 25-year plan, and income-driven repayment plans. Income-driven plans can be helpful if you need to adjust your monthly payments in accordance with your income. They can also end in loan forgiveness if you still owe a balance after 20 or 25 years.

•   Make extra loan payments to get out of debt faster: If you can afford it, making extra payments on your veterinary student loan debt can speed up repayment. It can also save you money on interest, which can be especially helpful now because federal student loan interest rates have increased over the past four years. The rates are higher for the 2024-2025 school year than they have been in previous years.

•   Look into student loan refinancing: Refinancing your student loans may help you get a better interest rate if you qualify, which could save you a significant amount of money on your loans. You’ll also get the chance to combine multiple loans into one loan and select new repayment terms. Keep in mind, though, that refinancing federal loans turns them private, meaning you’ll forfeit access to federal benefits and programs.

The Takeaway

Working as a veterinarian is an exciting career choice with solid employment prospects, but earning your degree comes with costly tuition and potentially high student loan debt. If you end up borrowing student loans, consider strategies for managing your debt, such as income-driven repayment, student loan assistance programs, or refinancing student loans for better rates or terms if you qualify for them.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQ

What is the current average student loan debt for veterinarians?

The current average student debt for veterinarians is $147,258 among all graduates and $179,505 among graduates who took out student loans.

How long does it typically take to repay student loans for veterinary school?

It can take a decade or longer to repay student loans for veterinary school. The standard repayment plan spans 10 years, and alternative repayment options may last 20 or 25 years. You can look into loan forgiveness programs and loan repayment programs for help repaying your loans if you’re eligible.

Are there loan forgiveness or repayment programs specifically for veterinarians?

There are loan repayment programs specifically for veterinarians. The USDA’s Veterinary Medicine Loan Repayment Program is a national program that offers up to $25,000 in student loan repayment each year to vets who work in a shortage area for at least three years. Some states also offer student loan repayment assistance programs to qualifying veterinarians. Check with your state to see what’s available.

Photo credit: iStock/Mr Vito

SoFi Student Loan Refinance
SoFi Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org). SoFi Student Loan Refinance Loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Public Service Loan Forgiveness, Income-Based Repayment, Income-Contingent Repayment, PAYE or SAVE. Additional terms and conditions apply. Lowest rates reserved for the most creditworthy borrowers. For additional product-specific legal and licensing information, see SoFi.com/legal.

SOSLR-Q324-029

There are approximately 53 million family caregivers in the U.S., according to the latest data. While caregiving is a labor of love, it can also involve some serious financial challenges. You might have to take time away from your job to care for your loved one, for instance, making it hard to pay your bills and student loans.

Fortunately, there are options that can help, including student loan forgiveness for caregivers. Read on to learn about ways to manage your student loans and get some debt relief.

Managing Student Loans as a Caregiver

Juggling student loan payments and other expenses with caregiving responsibilities can be difficult. Nearly two in 10 caregivers had to leave their job to care for a family member, and four in 10 had to reduce their hours, according to a survey from the Rosalynn Carter Institute for Caregivers. On top of a possible loss of income, many family caregivers are spending money to help their loved ones. Three-quarters of caregivers pay more than $7,200 in out-of-pocket expenses annually related to caregiving, according to a study by the AARP.

Caregivers who are struggling to make federal student loan payments can seek out help by contacting their loan servicer and exploring student loan repayment options and forgiveness programs to avoid missing payments and defaulting on their loans. Federal loan default occurs when you fail to make your scheduled loan payments for at least 270 days. If you go into default, you could suffer credit damage, wage garnishment, and have your tax refunds withheld.

For private student loans, you can contact your lender directly to see how they might be able to help. While private student loan forgiveness options are usually not available, there may be other types of loan modifications the lender might be willing to make.

Another option you may want to consider is to refinance your student loans. If you can qualify for more favorable rates and terms, that might make repayment easier.

Recommended: Student Debt Guide

Forgiveness Programs to Explore

Caregivers may be able to qualify for federal or state forgiveness programs that forgive or cancel the remaining balance of their student loans after a certain amount of time and other specific requirements are met. Here are some forgiveness programs to look into.

Public Service Loan Forgiveness (PSLF). PSLF forgives the remaining balance on your federal Direct loans if you’re employed full-time by the government or not-for-profit organization. To qualify, you need to repay your loans under an income-driven repayment plan or a 10-year standard repayment plan. You must make a total of 120 qualifying monthly payments.

In 2021, and again in 2023, a bill was introduced in Congress to make primary family caregivers for military veterans eligible for PSLF by expanding the definition of “public service job.” The bill is still working its way through Congress, but you may want to keep tabs on it if it applies to your caregiving situation.

Income-Driven Repayment (IDR). IDR offers a pathway to forgiveness. These plans base your monthly student loan payment amount on a percentage of your discretionary income and family size. If you repay your loans under an IDR plan, any remaining balance may be forgiven after 20 or 25 years.

State-specific forgiveness programs. A number of states offer student loan forgiveness programs, and yours may be one of them. For instance, your state may offer forgiveness programs to help certain individuals — particularly those in high-need locations and working in high-need occupations like health care and teaching — pay off some or all of their student loans. Some of these programs forgive both federal and private student loans. Check with your state department of education for more information about these opportunities.

Recommended: Student Loan Forgiveness Guide

Application Process and Documentation

To apply for Public Service Loan Forgiveness, you’ll need to submit a PSLF form by taking the following steps:

1. Make sure you qualify. To be eligible for PSLF, you must have federal Direct subsidized or unsubsidized loans, Direct PLUS loans, or Direct consolidated loans. You must also work full-time for a qualifying employer and be on an IDR plan.

2. Sign up for an IDR plan if you are not already on one. You can sign up at StudentAid.gov. You’ll need a Federal Student Aid (FSA) ID, as well as documentation such as financial information, tax forms, your mailing address, phone number, and email address.

3. Verify that your employer qualifies you for PSLF. The easiest way to do this is to use the PSLF Help Tool. This allows you to see if your employer is in the Department of Education’s database. If they aren’t, you can request that your employer’s eligibility be reviewed.

4. Send the PSLF form to your employer to sign and certify.

5. Sign and submit the fully completed PSLF form.

You’ll need to recertify your employment every year and any time you change jobs to continue to qualify for PSLF.

To apply for state-specific student loan forgiveness, follow the application steps outlined by each plan or program.

Alternatives to Forgiveness for Caregivers

Aside from caregiver student loan forgiveness, there are several other ways to get student loan debt relief. Here are three options to consider.

Deferment: In certain circumstances, including financial hardship, student loan deferment allows you to stop or reduce your payments on your federal student loans for up to three years if you qualify. If you have a subsidized federal loan, interest does not accrue during the deferment period. If you have an unsubsidized federal loan, interest will continue to accrue.

You need to apply for deferment. First, identify the type of deferment you’re requesting, such as economic hardship deferment. Next, fill out and submit a request form to your student loan servicer along with documentation to show that you’re eligible.

Private student loans may or may not offer deferment. Check with your lender.

Forbearance: Similar to deferment, student loan forbearance lets you temporarily stop or reduce your payments for your federal loans if you qualify. However, with forbearance, interest always accrues on your loans and forbearance periods are typically no longer than 12 months.

There are two types of federal forbearance, general and mandatory. To apply, you must identify which type you’re requesting. For family caregivers, general forbearance is likely the most applicable; you may be eligible for it due to financial difficulties, medical expenses, employment changes, or other reasons acceptable to your loan servicer. (Mandatory forbearance is for those serving in AmeriCorps or the National Guard, in a medical or dental internship or residency, or working as a teacher and qualifying for teacher loan forgiveness.) To apply for forbearance, fill out the form for the type of forbearance you’re requesting, and submit it along with documentation showing proof of your financial situation to your loan servicer.

Some private student loans may offer forbearance. Contact your lender to find out.

Student loan refinancing: Another option that might help some family caregivers with their student loans is refinancing. When you refinance, you take out a new loan from a private lender and use it to pay off your existing student loans. The new loan will have a new term and interest rate, which could help some borrowers if they can qualify for a lower rate. Keep in mind, however, that if you extend your loan term to help reduce your monthly payment, you may pay more interest over the life of the loan.

Another important consideration is that if you refinance federal loans, you will no longer qualify for federal benefits such as deferment, forbearance, or income-driven repayment programs. You’ll want to carefully weigh the pros and cons of refinancing.

The Takeaway

If you’re a family caregiver struggling to repay your student loans, there are options that may give you some relief. You might be eligible for Public Service Loan Forgiveness, a state-specific forgiveness program, or an income-driven repayment plan. You can also consider student loan deferment or forbearance to temporarily stop or reduce your payments, or refinance your student loans if you could qualify for more favorable rates or terms. Explore all the possibilities to determine which one can give you the help you need.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQ

How long does it take to qualify for loan forgiveness?

It typically takes 10 years to qualify for Public Service Loan Forgiveness (PSLF) because you must make 120 qualifying monthly payments under an income-driven repayment (IDR) plan or the standard repayment plan while working for a qualified employer. At that point, your remaining balance is forgiven. If you instead pursue student loan forgiveness under an IDR plan, it takes 20 to 25 years to qualify for forgiveness, depending on the plan.

Can part-time caregivers qualify?

If you are a part-time caregiver who has federal Direct student loans and works full-time for a qualifying employer, you may be eligible for Public Service Loan Forgiveness. Under PSLF, working “full-time” means at least 30 hours a week or whatever your employer’s definition of a full-time job is. You could also pursue forgiveness under an IDR plan as a part-time caregiver. These plans base your monthly payment amount on a percentage of your discretionary income and family size.

What types of student loans are eligible for forgiveness?

Federal Direct student loans are eligible for Public Service Loan Forgiveness through income-driven repayment plans or the standard repayment plan. Various types of student loans —including, in some cases, private student loans — may be eligible for forgiveness through state forgiveness programs. Check with your state to find out.

Photo credit: iStock/urbazon

SoFi Student Loan Refinance
SoFi Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891. (www.nmlsconsumeraccess.org). SoFi Student Loan Refinance Loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Public Service Loan Forgiveness, Income-Based Repayment, Income-Contingent Repayment, PAYE or SAVE. Additional terms and conditions apply. Lowest rates reserved for the most creditworthy borrowers. For additional product-specific legal and licensing information, see SoFi.com/legal.

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Finding Asian American Scholarships Online

Trying to find scholarships to apply for can be overwhelming. After all, there are more than 1.7 million scholarships awarded each year. The competition can also be fierce, since scholarships are a form of financial aid that doesn’t have to be paid back.

The good news is that when you’re part of a certain segment of the population, you can find specific scholarships created just for you. This includes scholarships created for Asian and Asian American students.

Read on for a sample list of some of the more prominent Asian American scholarships, a rundown of common eligibility requirements, and tips on how to find Asian American scholarships.

Eligibility Requirements

College scholarships for Asian Americans are created for students who are of Asian heritage. According to the U.S. Census Bureau, Asians are “individuals with origins in any of the original peoples of Central or East Asia, Southeast Asia, or South Asia, including, for example, Chinese, Asian Indian, Filipino, Vietnamese, Korean, and Japanese.”

Asian college scholarships exist because Asian and Asian American students, along with other racial and minority groups, are often underrepresented when it comes to college admissions. The Education Data Initiative reports more than 52% of college students are White or Caucasian, with only 7.38% of college students identifying as Asian or Asian American.

Although these scholarships cater to the Asian American community, in some cases, students don’t necessarily have to be born in the U.S. Instead, they may be able to apply for Asian scholarships if they are permanent residents of the U.S., meaning they have a green card and are allowed to live and work permanently in the country.

Before you apply, check the eligibility requirements carefully. Some common eligibility criteria may require you to have a certain GPA, show you’ve demonstrated leadership or personally served the Asian community, live or attend school in a certain geographical area, or need to show financial need, including submitting a FAFSA (Free Application for Federal Student Aid) form.

How to Find Asian American Scholarships

Finding scholarships for Asian students is easier thanks to a variety of search tools. One place to start accessing Asian scholarships is by using SoFi’s scholarship search tool. This tool allows you to look for and narrow your search for scholarships, fellowship programs, and grants for college by typing in the keywords Asian or Asian American.

SoFi also has a $2,500 scholarship sweepstakes you can enter every single month simply by registering with SoFi.

Other ways to access Asian American scholarships include using Sallie Mae’s Scholarship Search, the Department of Labor’s scholarship database known as CareerOneStop, contacting your college or university’s financial aid office, and talking to your academic advisor.

Scholarships are definitely worth the effort because they’re gifted awards that don’t have to be paid back. This free money for college can potentially decrease the amount of money you may have to borrow through private student loans and federal student loans.

Recommended: The Differences Between Grants, Scholarships, and Loans

Scholarships for Asian American Students

While there are many types of scholarships set up to serve underrepresented groups as a whole, as mentioned earlier, there are also some that cater to a specific demographic, including the Asian and Asian American population.

If you’re of Asian heritage, here are 12 scholarship programs and opportunities to consider to help fund your college education:

1. Against the Grain Groundbreaker Leadership Scholarship

Against the Grain Groundbreaker Leadership Scholarship is a merit-based award designed to promote Asian American college seniors and graduate students who have shown leadership, vision, and passion for bettering the lives of people in the Asian American community.

To be eligible for the $1,500 scholarship, to be used toward school tuition and fees, applicants must be at least 25% Asian and/or Pacific Islander ethnicity, a citizen, national, or legal permanent resident in the U.S., and be either a high school senior or full-time college student currently enrolled at an accredited U.S. vocational, junior college, or four-year college/university.

The expected deadline is the end of May 2025.

2. Asian and Pacific Islander American (APIA) Scholars

Asian and Pacific Islander American (APIA) Scholars are need-based scholarships for college and university students who identify as Asian American, Native Hawaiian, or Pacific Islander. Special attention is given to supporting those students who live at or below the poverty line and are first generation college students.

These awards are open to these undergraduate students attending U.S. accredited colleges or universities. APIA scholarship amounts range from $2,500 one-year awards to $20,000 multi-year awards. The expected deadline for next year is early winter.

3. Asian American Journalists Association

Asian American Journalists Association (AAJA) provides many scholarships, fellowships, and grants for budding journalists. Eligibility, criteria, the scholarship amount, and deadlines vary depending on the scholarship.

4. Asian Pacific Fund Scholarships

Asian Pacific Fund Scholarships offer five different scholarships for Asians and Asian Americans. These scholarship programs give financial support to both undergraduate and graduate students.

Each Asian Pacific Fund scholarship is customized to reflect the donor’s personal interests, whether targeted to particular ethnicities, backgrounds, or chosen career paths. Scholarship deadlines and prize amounts vary.

5. Chinese American Medical Society Scholarship

Chinese American Medical Society Scholarship is a need-based scholarship for Chinese American students who are in medical or dental school.

The Chinese American Medical Society (CAMS) awards three to five $5,000 scholarships each year to first, second, and third year medical and dental students. Applicants must be in good standing at an accredited U.S. medical or dental school, as well as being a current or pending student member of the CAMS. This scholarship’s expected deadline is March 2025.

Recommended: How to Pay for Medical School

6. Don H. Liu Scholars Program

Don H. Liu Scholars Program (DHL) is awarded to Asian American first-year law school students. Scholarship winners receive $5,000 a year over the course of their three years of law school for a total of $15,000.

To be eligible, students must be a U.S. citizen or permanent resident of Asian descent and be enrolled full-time as a first-year law student in a J.D. program at an ABA-accredited and approved law school in the U.S. They also must demonstrate financial need, exceptional academic achievement and leadership, and an intention to practice in the legal private sector after graduation.

Deadline is January 4, 2025.

Recommended: Law School Student Loans

7. Japanese American Citizen League

Japanese American Citizen League (JACL) scholarships offer over 30 scholarships to undergraduate, graduate, and law school students nationwide. There are also several scholarships offered through the JACL for those studying in the fields of creative or performing arts.

In order to apply for any of these scholarships, applicants must be an active national JACL member and must hold an individual or a student/youth membership. Award amounts and deadlines vary depending on the particular scholarship.

8. The Kimbo Foundation

The Kimbo Foundation offers a scholarship to recognize students, primarily Korean Americans, who show exceptional academic achievement and leadership potential for the Korean community. The organization’s scholarship also takes into account an applicant’s financial need. The Kimbo Foundation scholarship is also open to Black and Hispanic students to promote racial harmony, with a focus on their contribution and ties to the Korean community even though they are not of Korean descent.

In the summer of 2024, the organization awarded 212 students $2,500 each and is open to high school graduates and college students nationwide, including those attending a two-year college. The expected deadline for the next application is June 2025.

9. Korean American Scholarship Foundation

The Korean American Scholarship Foundation awards are for individuals who are of Korean heritage, meaning those with a parent, grandparent, or great-grandparent from Korea, or a student who was adopted from Korea. Applicants must be enrolled as a full-time student in an undergraduate, graduate, or post-graduate program.

These scholarships, which range from $500 to $5,000, are available to those who are attending school in certain states in the South, Northeast, and Eastern parts of the U.S. Deadlines vary.

10. Taiwanese American Scholarship Fund

The Taiwanese American Scholarship Fund helps economically challenged Taiwanese American students to fulfill their dreams of obtaining higher education. The scholarship is open to high school students planning to attend a college or university in the U.S. and first-year college students who plan to continue their education.

This $7,500 scholarship is renewable each year and awarded to 10 recipients. The deadline is April 21, 2025.

11. United States Pan Asian American Chamber of Commerce

United States Pan Asian American Chamber of Commerce (USPAACC) offers scholarships to Asian-American and Pacific Island American high school seniors. Each year, 15-20 high school seniors receive $3,000 to $5,000 for post-secondary education. The USPAACC features scholarships established by Asian American businesses, and some are also sponsored by large corporations such as Hilton, UPS, Apple, and Denny’s restaurants.

12. Upakar Foundation Indian-American Scholarships

Upakar Foundation Indian-American Scholarships provide Indian-American students with the opportunity to pursue their higher education goals. The merit and need-based scholarships include those for students attending community college ($1,000 per year for two years) or a university ($2,500 per year over two or four years).

Applicants have to either have been born or have one parent born in the Republic of India,
be either a U.S. citizen or a U.S. Permanent Resident, and must plan to enroll full-time in an accredited, not-for-profit, four-year university or two-year community college for the fall semester of that upcoming school year.

The expected application period for 2025 is from March 1st through April 30th.

Types of Scholarships Available for Asian Americans

Scholarships generally fall under two categories: need or merit-based, or in some cases, a combination of both. Here’s what distinguishes these two types of scholarships:

Need-Based Scholarships

These scholarships, as the name suggests, are awards based on financial need. Need-based scholarships help students who would otherwise not be able to afford college.

Many institutions and organizations give out these kinds of scholarships, including the government (both federal and individual states), colleges and universities, major corporations, foundations, and organizations.

The application process for need-based scholarships typically doesn’t go far beyond sharing relevant financial information, namely the student’s or their family’s income.

Merit-Based Scholarships

Merit-based scholarships are those awarded based on an applicant’s academic, athletic, artistic, or special-interest achievements. Awards based on merit may also be need-based, but these scholarships primarily focus on a student’s accomplishments and the areas where they excel.

Unlike a need-based scholarship, merit-based ones require more from applicants. For example, a student will be asked for more personal information, such as their academic records. Merit-based prizes will often ask applicants to submit an essay, letters of recommendation, a resume, or may want the student to make a video of themselves or sit for an interview.

5 Tips for Applying for Scholarships

•   Give yourself ample time for the application process: To avoid feeling rushed, you’ll want to start sooner rather than later compiling application materials. This can be especially helpful if you have an essay to write, allowing time for editing and revisions.

•   Keep track of deadlines: Make a list of what’s due when, and plan to submit as early as possible. This may significantly increase your chances, especially if scholarship committee members read the applications as they come in.

•   Read the application directions carefully: You want to make sure you meet the eligibility requirements, otherwise your application will most likely be disqualified.

•   Apply for as many scholarships as possible: Competition for scholarships is fierce, so cast a wide net instead of focusing on a handful. Don’t discount the smaller awards either, there may not be as many applicants for those since it’s for a lesser amount.

•   Try not to get discouraged: Putting all the effort into applying for a scholarship, only to get a rejection can be a major bummer. Though rejection can be tough, when it comes to scholarships, persistence is key.

The Takeaway

If you’re an Asian American student, there are many scholarships out there for you and there’s no limit to the number you can apply for. When it comes to scholarships for Asians, you can find opportunities online through various scholarship search tools and your college or university financial aid office.

In addition to scholarships, students can pay for college with cash savings, grants, and federal and private student loans.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

Are there scholarships for specific Asian ethnic groups?

Yes, being an Asian American means you can come from myriad Asian nations, including India, China, Korea, Japan, Taiwan, and Vietnam. Pacific Islanders, those whose origins are the Pacific Islands of Melanesia, Micronesia, and Polynesia (which includes Native Hawaiians) are also considered Asians. There are certain scholarships offered to Asian Americans who have ancestry linked to a particular country, while others are more inclusive.

Do I need to be a U.S. citizen for Asian American scholarships?

Not always. Depending on the scholarship, people who are permanent residents, meaning they have a green card allowing them to live and work in the U.S., may be eligible to apply. Individuals who are adoptees from an Asian country brought to the U.S. can qualify for some Asian scholarships, as well.

Can I apply for multiple Asian American scholarships?

Yes, you can apply for multiple Asian American scholarships. There’s no limit to how many scholarships you can apply for, and the more the better (every little bit counts!). The only caveat may be that some Asian-centered scholarships may be country, region, or culturally specific, while other Asian American scholarships may be more all-inclusive.

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.

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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.

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.

photocredits: iStock/Drazen_
SOISL-Q324-105

A college education is an investment in the future. But as with any investment, it’s important to consider what you’ll get in return — your ROI — to determine if the cost is worth it. And so college students and their parents are weighing the cost of college against future earning potential, as well as intangibles like friendships, network building, and soft skills.

This guide explores the “return on education” for bachelor’s degrees, and offers insights into how to maximize the value of your college education.

Average Cost of a Degree

Choosing the right college is a multifaceted decision. Considerations include where the school is located, whether it has programs that meet your interests, what student culture is like, and of course price.

The price tag for college can be jaw dropping. The average cost of college for an in-state student attending a four-year university is $27,146 per year (including living expenses). Students that attend private, nonprofit universities spend an average of $58,628 per year living on campus.

💡 Quick Tip: Fund your education with a low-rate, no-fee SoFi private student loan that covers all school-certified costs.

Return on Investment by Education Level

You can determine your ROI by education level by looking at the ratio of the cost of your degree to your expected income once you graduate. Your return on education is much like a traditional ROI calculation, which looks at the ratio between net profit and cost from investing resources.

In this case, time and money are the resources you’re investing, and your future income is the profit. The ROI for your education will depend largely on how much you spend on your schooling, what type of job you get after school, and to a certain extent what you major in.

Median 40-year ROI for a College Degree, per Education Data Initiative

Associate Degree Return on Investment

Associate degrees can typically be completed in one to two years and often at a community college, which can make them more affordable than four-year degrees. According to data from the Education Data Initiative, the ROI for an associate degree is 363.5% after 20 years.

Bachelor’s Degree Return on Investment

Bachelor’s degrees typically take students four years to complete. According to Education Data Initiative, the ROI for a bachelor’s degree is 38.1% after 20 years. Keep in mind, though, that this estimated return on investment can vary greatly based on the major you pursue. For example, computer science degrees offer an ROI of 716.6%.

Master’s Degree Return on Investment

A master’s degree can be completed after a student receives their bachelor’s degree. This degree allows the student to specialize in a specific area of interest, such as those who pursue a Master in Business Administration, or MBA. The ROI for a master’s degree is 90.1% after 20 years, according to Education Data Initiative.

Doctoral Degree Return on Investment

A doctoral degree is generally the most advanced degree one can get in a particular field. Doctorates can take up to eight years to complete, though the exact timing will vary depending on factors like the program type, structure, and research being completed by the doctoral candidate. The estimated ROI for doctorate degrees is 84.0% after 20 years, according to Education Data Initiative.

Professional Degree Return on Investment

Professional degrees are advanced degrees that prepare a student to work in a particular field, such as law or pharmacy. After 20 years, the ROI for a professional degree is 60.4%, according to Education Data Initiative.

Highest Earning Degrees

The return on education will vary depending on the degree program you choose. For example, a student with a computer science degree may earn more than an English major. There are exceptions, but it’s a good idea to understand the norm for particular fields. These are some of the highest-earning degree programs.

Associate Degree

As mentioned, an associate degree takes about two years to complete and can often be finished at a community college for significantly less than it may cost to get a four-year degree. Associate degrees often allow students to specialize in a specific trade or field, and in some cases, this specialization can lead to a high-earning career.

One of the top-earning post-associate degrees is air traffic controllers. According to the Bureau of Labor Statistics (BLS), air traffic controllers earn a median income of $137,380.

Dental hygienists, MRI technicians, and funeral service managers all earn an average salary of $70,000 or higher, making them top associate degrees based on earning potential, as well.

Bachelor’s Degree

According to Best Colleges, some of the bachelor’s degrees with the highest earning potential include chemical engineering, computer engineering, computer science, finance, and business analytics.

For example, in 2023, chemical engineers earned a median salary of $112,100. Financial analysts earned a median salary of $99,890 per year, according to the BLS.

Certifications

Some people may consider adding a certification to their resume in order to boost their earning potential. Professional organizations often award certifications for specific skill sets. Some top earning and in-demand certifications include those for project management and data engineering.

Recommended: Guide to Student Loans for Certificate Programs

Bachelor’s Degree ROI by Major

The ROI can vary quite a bit based on the type of bachelor degree pursued. As mentioned, computer science degrees have some of the best ROI for bachelor’s degrees — about 716.6% over 40 years, according to Education Data Initiative. Take a look below at a list of majors and their estimated ROI after 40 years, according to Education Data Initiative:

•     Business finance — 710.2%

•     Business accounting — 547.2%

•     Electrical engineering — 517.8%

•     Biology — 225.0%

•     Communications — 209.3%

•     Architecture — 188.6%

•     Fine Art — 70.5%

Consider What Can’t Be Measured by Money

Yes, going to college or pursuing other higher education opportunities can be expensive. But in addition to the cost and potential boost in earning potential, there are a variety of intangible benefits that can’t be measured by a dollar. For example, college students living on campus are gaining a newfound independence and developing life skills they’ll carry with them.

Plus, many colleges have strong alumni networks that can help when a student is looking for a job post-grad. Students have the chance to not only get to know themselves better, but in the process they may make lifelong friends.

Recommended: How to Budget as a College Student

Controlling Costs

One way to improve ROI is to lower the amount of money you are paying for school. This could be particularly useful if you already know you want to pursue a career in a relatively low paying field.

Scholarships

You can help offset the cost of tuition by looking for scholarship programs that help pay your tuition and other college expenses. Many schools offer need-based financial aid to families who might otherwise struggle to pay tuition costs. In some cases, you could even get a full ride.

You can find scholarships by looking at your school’s financial aid website, connecting with your guidance counselor, or reviewing databases or online scholarship search tools.

In some cases, you may be able to apply for unclaimed scholarships to help supplement the aid you have already received.

Grants

Students may qualify for grants directly from their school or through federal financial aid. Grants typically do not require repayment, so they can be an incredibly helpful addition to a student’s financial toolkit when it comes to paying for college. Pell Grants are one type of grant awarded by the federal government to students who demonstrate exceptional financial need.

Pell Grants are available to undergraduate students. In order to maintain eligibility for a Pell Grant, undergrads will also be required to meet satisfactory academic progress requirements.

Student Loan Forgiveness Programs

If you need to take out student loans to help pay for college, keep an eye on your terms and interest rates to help keep costs down. If you take out federal loans and plan to work for certain non-profits or government organizations, you may be eligible for loan forgiveness under the Public Service Loan Forgiveness (PSLF) program. After making 10 years’ worth of qualifying monthly payments, the remaining balance of your loan may be forgiven through this program.

Private Student Loans

Private student loans don’t qualify for federal benefits like PSLF, but they can be helpful tools for students who have exhausted their federal financial aid.

If you are interested in paying for college or another higher education degree with a private student loan, take the time to shop around and review interest rates, terms, and other fees or benefits offered by lenders. 

Employer Support After Graduation

Finally, some employers may also help you pay back your student loans as part of a benefits package. Consider working for an employer who offers these benefits.

Recommended: Finding Jobs That Pay Off Student Loans

The Takeaway

College students can estimate the return on their educational investment by looking at how much they’ll pay for their degree and comparing it to their lifetime earnings. Though important, the money you’ll eventually earn isn’t the only thing you should consider when choosing a college. Getting a bachelor’s degree can help you acquire skills and expand your horizons in ways that aren’t directly related to your degree or job prospects.

When you decide on the right school for you, take the time to consider all your options — including scholarships, grants, federal and private student loans, post-graduation repayment programs, and other sources of public and private funding — to help you achieve your education and career goals.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

What is the average return on investment for a college degree?

The average return on investment (ROI) for a college degree varies by field, but generally, bachelor’s degree holders earn significantly more over their lifetime than those with only a high school diploma. On average, the ROI for a college degree ranges from 9% to 10%, but can be higher depending on the major and institution.

Which degree has the highest return on investment?

Degrees in fields like engineering, computer science, and technology typically have the highest return on investment (ROI). These degrees often lead to high-paying jobs with strong job security and growth prospects, resulting in a significant lifetime earning advantage compared to the cost of education, making them highly valuable investments.

Is a bachelor’s degree a good investment?

A bachelor’s degree is generally a good investment as it can lead to higher lifetime earnings, greater job stability, and more career opportunities compared to having only a high school diploma. However, the return on investment depends on the chosen field, the cost of education, and individual career goals and outcomes.

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.

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.

SOISL-Q324-052

If you’re heading off to grad school, you’re probably not a newbie at the financial aid process after your years as an undergraduate. You might even have a few things to say about the increase in graduate student loan borrowing.

Out of the over $1.74 trillion in student loan debt in the United States, dollars borrowed by graduate school students are rising more quickly than undergraduate debt.

However, it’s a mistake to assume that graduate student loans are the same as undergraduate loans. There are actually significant differences between the two, and knowing those differences can be the key to saving money on your grad school debt in the long run. 

Keep reading to learn key differences between undergraduate and graduate student loans.

What Does Undergraduate Mean?

In the context of student loans, an undergraduate refers to someone who has not yet completed their bachelor’s degree.

An undergraduate student is someone who is pursuing their associate or bachelor’s degree.

Associate degrees are generally offered at two-year community colleges. A bachelor’s degree generally takes about four years to complete and is often completed at four-year colleges or universities. There is a wide variety of bachelor degree programs including history, English, engineering, math, chemistry, and more. 

Three of the most common types of bachelor’s degrees include Bachelor of Arts, Bachelor of Fine Arts, and Bachelor of Science. Program requirements for undergraduate degrees will vary by institution.

Recommended: A Guide to Choosing the Right College Major

What Does Graduate Mean?

A graduate is someone who has successfully completed a specified course of work. In terms of a graduate student, it’s any student who has completed their bachelor’s program and is working toward a more advanced degree. 

Graduate degrees include master’s, doctorates, PhD’s, MBA’s, and JD’s. Depending on the program coursework, a graduate degree can take anywhere from one to six years to complete. Law students, medical students, and PhD candidates are all examples of graduate students.

Recommended: Applying to Graduate School: Smart Tips & Strategies 

Differences Between Undergraduate and Graduate Programs

Beyond differences in coursework, there are differences when it comes to student loans and financial aid options for undergraduate and graduate students.

1. Dependency Status

As a graduate student, you’ll still need to complete the Free Application for Federal Student Aid (FAFSA®) to qualify for federal student aid. However, you no longer need to include financial information about your parents on the form.

That’s because students who are pursuing either a master’s or doctorate degree are considered to be independent students.

There are a couple of key benefits associated with being an independent student. First, it helps streamline filling out the FAFSA. Second, as an independent student, you’ll likely report much less income because your family’s earnings generally are no longer considered when financial aid eligibility is calculated, which could potentially give you access to additional aid options.

There are circumstances where undergraduate students can also be considered independent, but it’s usually more common with graduate students.

2. Interest Rates on Federal Student Loans

The 2024-25 federal student loan interest rates for graduate and professional students are 8.08% for Direct Unsubsidized Loans for graduate or professional students and 9.08% for Direct PLUS Loans — much higher than the 6.53% interest rate on federal undergraduate student loans.

Graduate students can use federal student loans to pay for qualifying education expenses, including tuition, fees, college textbooks, and living expenses.

PLUS Loans are funded by the U.S. Department of Education and require a credit check, although the credit requirements are not as stringent as they would be with a private lender. At 9.08%, they have the highest interest rate of all the federal student loans.

Federal loans also have fees that should be factored into the total cost of borrowing. For Direct Subsidized and Unsubsidized Loans, the loan fee is 1.057%. For Direct PLUS Loans, the fee is 4.228%.

3. Loan Type

Grad school federal loans start accruing interest while you’re a full-time student, unlike subsidized loans for undergraduates.

For example, say you borrowed $20,000 in Direct Unsubsidized Loans (for graduates) to cover the cost of tuition when you started the program. When you factor in the current disbursement fee of 1.057%, you would have received approximately $19,789.

Since this loan type is unsubsidized, it will accrue interest while you attend school. And even though you received $19,789, interest will accrue based on the loan total of $20,000. If the program is two years long and you made no payments during that time, the loan would have accrued approximately $3,233 (assuming the interest rate stays the same 8.08% for those two years). For undergrads with subsidized loans, the interest clock doesn’t start until after graduation.

4. Borrowing Limits

Typically, graduate students can borrow $20,500 annually in Direct Unsubsidized Loans, although there is currently a lifetime cap of $138,500 when undergrad loans and graduate school Direct Loans are combined. If you’re in a qualifying health field, you may have a higher lifetime limit, potentially up to $224,000.

Compare that to annual limits for undergraduates, and they’re typically capped at $5,500 during year one; $6,500 for year two; and $7,500 for subsequent years, with a total availability of $31,000.

Having said that, although graduate students have more flexibility in how much can be borrowed, it can be challenging to pay back those higher amounts of debt.

Recommended: 6 Strategies to Pay Off Student Loans Quickly

5. Interest Rates on Private Student Loans

Private student loans aren’t backed by the federal government; they’re issued by private lenders or banks.

If you’ve already established a solid credit history and/or have steady income coming in, those are important cornerstones that may help you qualify for more competitive rates on private student loans. This is in contrast to the typical undergrad, who may be new to credit and lending entirely, and doesn’t usually have a well-paying, full-time job.

Keep in mind, though, that private student loans don’t necessarily offer the same borrower protections as federal student loans — things like income-driven repayment plans or loan forgiveness options. Because of this, federal loans are usually prioritized over private student loans.

Recommended: Private Student Loan Guide

6. Student Loan Refinancing

While anyone with higher education debt can apply to refinance student loans, there are a couple reasons why this option tends to be more popular with grad students.

First, in order to qualify to refinance loans at a lower interest rate than what a borrower may currently have, a strong credit history that includes a positive track record of paying debts is important — and proof that you make enough money to pay back the loan (among other factors that will vary by lender). Depending on a graduate student’s background, there is a chance that they might be viewed as a more stable lending choice than an undergraduate.

Additionally, some graduate programs offer the potential for students to increase their earning potential after graduation, which also could be appealing to private lenders.

Student loan refinancing won’t be the right option for everyone. Federal loans come with a variety of protections and benefits, like income-driven repayment plans and loan deferment. When you refinance a federal loan, it becomes a private loan, and will no longer qualify for any federal benefits.

7. Federal Grants

Even if you were eligible for a federal Pell Grant the last time around, you can’t count on that for graduate school. A Pell Grant is a need-based grant that does not need to be repaid, and is typically awarded only to undergraduate students.

There are a variety of other opportunities available to grad students to help them finance their education, including some grad school scholarships, other grants, and fellowships. Grants are generally offered based on financial need, while fellowships are awarded based on a student’s academic performance and research.

Recommended: Grants for College

Thinking Outside the Box: Paying for Graduate School

When you think about paying for graduate school, it’s natural to consider student loans, but there are additional avenues likely worth pursuing. For example, your school of choice may offer scholarships, fellowships, and grants.

Typically, the college will use the information in the FAFSA to decide what funding, if any, they can offer you. Other times, though, there may be separate applications unique to your school; you can ask for specifics at the financial aid office. Sometimes, the award might be small; other times, it might be full tuition reimbursement.

Becoming a Teaching or Research Assistant

Some graduate students work on campus as teaching or research assistants. These opportunities could offer the opportunity for students to expand their skill set while earning some income.

Working Full-Time as a Grad Student

If you’re pursuing a graduate degree while working full time, you can check with your employer to see if they offer a tuition reimbursement plan. If they do, the program will have its own parameters and processes.

Sometimes, if you accept funds from this program, you’ll need to stay at the company for a predetermined amount of time; other times, they might fund only certain degrees.

Finding Scholarships

You can also use databases like FastWeb or SoFi’s scholarship search tool to see if there are private scholarships available that you might qualify for.

Want access to more student loan resources? Explore our student loan help center to help guide you in your debt repayment!

The Takeaway

Graduate students are those who have completed some type of bachelor’s program and are pursuing an additional degree, such as an MBA, master’s, PhD, or doctorate. Graduate students may be eligible for different types of federal loans and financial aid than they were as an undergraduate. However, federal student loans for graduate students typically have a higher interest rate and fees than options for undergraduate students.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

Do graduate students borrow more money than undergraduate students?

Yes, graduate students typically borrow more money than undergraduate students due to higher tuition costs and increased borrowing limits. Federal Direct PLUS Loans allow graduate students to borrow up to the full cost of attendance, leading to larger loan balances compared to undergraduates who face stricter borrowing caps. The current lifetime cap for graduate student loans is $138,500 (this includes loans from undergrad, too), but may be higher for those in a qualifying health field.

Do graduate student loans have higher interest rates?

Yes, graduate student loans generally have higher interest rates than undergraduate loans. For the 2024-25 school year, federal undergraduate student loans have an interest rate of 6.53%. For graduate students, that rate is 8.08%. Direct PLUS Loans have a rate of 9.08%.

What is considered an undergraduate loan?

An undergraduate loan is a type of student loan specifically designed for students pursuing a bachelor’s degree or associate degree. These loans, which include Federal Direct Subsidized and Unsubsidized Loans, typically have lower interest rates and borrowing limits compared to graduate loans, and are often the first type of loan students encounter.

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.

Disclaimer: Many factors affect your credit scores and the interest rates you may receive. SoFi is not a Credit Repair Organization as defined under federal or state law, including the Credit Repair Organizations Act. SoFi does not provide “credit repair” services or advice or assistance regarding “rebuilding” or “improving” your credit record, credit history, or credit rating. For details, see the FTC’s website .

SOISL-Q324-051