Financial Aid 101
Financial aid can help make college affordable for all students, even those with no income at all.
Financial aid is any type of assistance used to pay college costs including tuition as well as living expenses like rent, food and transportation.
There are four main types of financial aid:
- Government grants are funds from the federal or state government that students do not have to repay. These can also include grants that waive tuition costs, such as the California College Promise Grant, available at California Community Colleges.
- Scholarships, often offered by private entities, tend to be targeted towards a specific group of students and also do not have to be repaid.
- Work-study is part-time employment where students earn funds while enrolled in school. The jobs can be on- or off-campus.
- Student loans are borrowed funds that must be repaid-with interest. Some loans are subsidized, which means that the government pays the interest from the time students get the loan money until up to six months after they leave school.
Students must reapply for most forms of financial aid each year. The amount of aid available will depend on the student’s income, how many classes they are taking and what type of living situation they are in (on-campus, off-campus or with parents). The financial aid office will calculate the amount of aid that is available and this will be offered to the student as an overall “financial aid package.”
