Teacher Guide

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My College Plan

This booklet will help guide you through some of the big decisions you will be making in the next few years as you plan for your postsecondary education. In this booklet, college is defined as any post-secondary educational institution or accredited program (after high school completion) including: technical, vocational, community college, 4-year colleges and universities and beyond.

Note to Teacher: This booklet is intended to be interactive for the student. Space is provided for the student to record reflections and plans. In this teacher guide, notes are provided for the teacher to help guide the student.

Printing Instructions My College Plan Booklet1. Print a one-sided copy of each page.2. Keeping both pages face up, rotate the every other page 180

degrees.3. Place the pages on the copier and print two-sided.4. Fold each page in half to create a booklet.

Objectives Students will develop a plan for a postsecondary program of

study. Students will compare colleges based on individual criteria. Students will understand how to use the FAFSA4caster and the

Net Price Calculator to calculate the cost of college. Students will compare cost of colleges.

Materials

My College Plan booklet for each student Laptop or tablet with Internet

Part 1: Occupational Goal

1. Describe your occupational goals below. Not sure? Go to Appendix A to explore occupations. Tell students that choosing an occupation now will help them develop a postsecondary plan and choose a program of study. Although it is possible to change your program of study while in college, there are costs involved. For

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example, there may be courses you have taken that are not needed for the new program of study. This can result in extended time at the college and increase the total cost of your education.

2. Will this occupation provide you with enough money to buy the things you need and want? Not sure? Go to Appendix B to take a Reality Check.

Part 2: Program of Study

3. What type of postsecondary education is needed to achieve your occupational goal? Use the Texas Workforce or Big Future tool below to explore your options.a. Go to: http://www.texascaresonline.com/wowmenu.asp b. Choose: Occupational Infoc. Type in your occupation and click Career Searchd. Click on your occupation from the generated liste. Click on the Training tab to see education/training required and

programs of study.f. (Alternative) Go to: https://bigfuture.collegeboard.org/explore-

careers/careers/matching-careers-to-degrees

Degree(s) or Certification(s) _____________________

Program of Study ______________________________

Record below why you choose this program of study and how it will affect your long term plan?

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4. What factors affect the cost of college? Direct students to list these factors in their booklet. Next, have students explain the factors to a neighbor. Finally, have a few students share one item on their list with the class. The teacher should write these factors on the board. (Sample responses: the length of time a student is in college, the number of classes a student takes, the amount of aid a student receives, the type of college a student attends, where the student lives during his or her college years)

5. What can a student do to minimize each of these factors? Sample responses: To reduce the length of time a student is in college, do well in school now. Be prepared for college by taking the recommended high school program and to avoid developmental courses while in college. Earn college hours while in high school by taking duel credit or AP courses. For more information, go to http://www.collegeforalltexans.com/index.cfm?objectid=63191384-AA4B-80EB-1DE27FED58BF444D)

Part 3: Type of Postsecondary College

1. Go to https://collegescorecard.ed.gov/.2. Find and compare colleges based on the criteria that is important to

you: Programs/Degrees, Location of College, Size of College, Name of College, Public or Private, Type of College STOP. Your teacher will model how to best use this tool. Model the tool by choosing a degree, program, a state, and a type such as Public. The number of colleges will greatly be diminish if too many criteria is chosen. From the generated list, choose a school and explain important information about the school. Show students how to use the tools on the right column before preceding to step 3. Then demonstrate how to explore Types of Financial Aid offerings and how to calculate aid.

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3. Choose a school, then use the tools on the right to investigate types of financial aid offered at the college and to calculate your aid. Repeat this process for at least 3 colleges of your choosing. Use the space below to record your top choices, the average annual cost for the college, the forecasted aid you could receive and why this college meets your criteria. Tell students to not let the cost discourage them from applying to the colleges that fit their criteria. Depending on the federal, state, or institutional grant aid available, the desired college(s) may offer qualifying individuals a larger financial aid package than a less expensive college. Low-income backgrounds typically qualify for a larger package than their more affluent peers.

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Part 4: The Cost of a College Education

Notice of Privacy

This next activity is designed to show how to estimate the cost of college and devise a savings plan. You will not be asked to enter any personal information during this activity.

A. Understand Types of Aid

Grants and scholarships are often called “gift aid” because they are free money—financial aid that doesn’t have to be repaid. Grants are often need-based, while scholarships are usually merit-based. [Source: http://studentaid.ed.gov/types/grants-scholarships]

Loan is borrowed money for college or career school; you must repay your loans, with interest. [Source: http://studentaid.ed.gov/types]

Work study a work program through which you earn money to help you pay for school. [Source: http://studentaid.ed.gov/types]

During your senior year, complete the Free Application for Federal Student Aid by going to http://www.fafsa.ed.gov/. The office of Federal Student Aid provides grants, loans, and work-study funds for college or career school. A few weeks after completing the FAFSA, you’ll receive your Student Aid Report. This report includes your Expected Family Contribution. This is how much the government believes you and your family should contribute toward your education.

For the 2016–17 applicants must report 2015 income information. Starting with the 2017–18 application, the FAFSA will be available

to students and families October 1 of the previous year. For more information, go to at financialAidToolkit.ed.gov/fafsa-changes. 

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B. Calculate the cost of college

You will use the fictional character below to practice calculating the cost of college.

Johnny lives in Alvin, Texas and is a senior at Alvin High School. He plans to get a Bachelor’s degree at the University of Houston. To better plan for college, he would like to know the following. What is the cost to attend 4 years at University of Houston? What is the cost to attend Alvin Community College for the

first 2 years of college then transfer to the University of Houston?

Is it more affordable to live at home, on campus or off campus?

Help Johnny examine his options by following the steps below.1. Go to http://www.collegeforalltexans.com. 2. Click on Students.3. Select State's Net Price Calculator (NPC) on the right column by

clicking on the Calculate option.4. Read the Disclaimer then select I agree.5. Answer questions 1-14 using Johnny’s personal information below.

a. Select at least one school you may attend: University of Houston Alvin Community College (In-district tuition - yes)

b. For each school above, where will you live? i. On campus

ii. Live at homec. What is your age? 18d. Are you married? noe. Do you have eligible dependents? nof. Are you a U.S. citizen (or eligible non-citizen) and a resident

of the state of Texas? Yesg. What is your parents' marital status? Single, Divorced,

Separated, or Widowed - Single

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h. What was your parents' income in 20__ (use previous year)? $38,000

i. Was your parents' income (from the previous question) earned by one or two parents? One Parent

j. How much did your parents pay in income taxes in 20__(or previous year)? $935

k. What was your income in 20__ (use previous year)? $1700l. How much did you pay in income taxes in 2012: $0m. Including yourself and your parents, how many people will be

considered part of your parents' household for 20__-20__ (use upcoming school year)? 4

n. Excluding your parents, how many people in your parents' household will be in college during 20__-20__ (use upcoming school year)? 1

6. Click on Submit.Teachers: Use the descriptions below to help students understand the results.Row 1 is the selected colleges.Row 2 is where Johnny plans to live based on which college he chooses.Row 3 shows the estimated cost for attending each college. The bold print on row 3 is the total cost. This includes the cost of tuition and fees, room and board, books and other expenses. Direct students to record total cost for each college on number 7.Row 4 is the median grant that is awarded to students at each college. Row 5 is the estimated financial assistance that Johnny may receive. This estimate is based on his family’s income, family’s size, and number of family members that will be enrolled in college for the upcoming school year. Row 6 is the estimated net cost. Ask students to explain net cost. (It is the total cost minus the financial assistance.) The maximum assistance is subtracted from the total cost to get the lowest value for the range. For the upper range, the minimum assistance is subtracted from the total cost. Direct students to record the net cost on number 8.Row 7 is the estimated student loans and/or works earnings. Explain that college students often get student loans to help pay the cost of college. The Federal Student Aid program provides the following information about loans:

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Remember, federal student loans are real loans, just like car loans or mortgages. You must repay a student loan even if your financial circumstances become difficult. Your student loans cannot be canceled because you didn’t get the education or job you expected, or because you didn’t complete your education (unless you couldn’t complete your education because your school closed). [Source: Federal Student Aid, http://studentaid.ed.gov/repay-loans] Row 8 is the estimated net cost with self-help. This is the estimated net cost minus student loans and student work earnings.

7. What is the total cost for each option?

University of Houston ___________

Alvin Community College _________

8. What is the estimated net cost for each option?

University of Houston ___________

Alvin Community College _________

9. What would be the most affordable option for Johnny? Instruct students to discuss this question with a neighbor and write a plan for Johnny. Have a few students share their thoughts with the class. (Sample response: Johnny will most likely receive more grant money annually if he attends the University of Houston. If Johnny receives a large grant and/or scholarship from the university, this could be a more affordable option. If he doesn’t, the university could cost him much more than the community college. Johnny should apply to both colleges and apply for financial aid to both colleges. He can then compare his financial responsibility for each college.)

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C. Devise a Periodic Savings Plan

Students who have a savings account are 4 times more likely to go to college. If the savings account is in their name, they are 7 times more likely to go to college. [Source: Elliott and Beverly in the paper The Role of Savings and Wealth in Reducing “Wilt” Between Expectations And College Attendance (2010), http://csd.wustl.edu/Publications/Documents/WP10-01.pdf

10. What are ways a high school student can start saving for college? Sample responses: work a summer job at the pizza parlor, babysit on weekends, wash cars, mow lawns, put saved money in a saving account to earn interest, don’t make impulsive purchases, I can sell old toys or other items I no longer use, be a smart shopper, etc.

11. What tradeoffs can you make to save additional money? Sample responses: I can save on gas money if I walk or ride a bike. I can cut down on food money by eating at home or taking a lunch to school. I can reduce frivolous spending by examining my wants vs. my needs. When I need to buy something like shoes, I can compare prices to get the most for money. I can do well in school now to avoid taking developmental classes in college. I can take duel college credit classes while in high school. This means I will have to study more and play less. I can save part of all gift money I receive. I can trade my smart phone in for a basic phone. I can use my spare time to research scholarships.

12. How much will you save each month?

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13. What are safe avenues for saving money that will also earn money? Students can open a savings account, money market or Certificate of Deposit at a bank or credit union. These savings plans are insured by the U.S. government and earn interest. Other options can be found at http://smartertexas.org/?page_id=1231.

14. Once you start college, what can you do to continue earning money?

For more ideas on how to save and make financially responsible decisions to avoid “throwing away” money, distribute Responsible Financial Behavior.

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*Save early and save often. The more you save now, the more you will have for your long term goals.

D. Plan with Your Parents

Read the following statement to students: The cost of college can seem daunting. However, in reality, few students pay the full price. According to the National Center for Education Statistics, in 2010, young adults ages 25–34 with a bachelor's degree earned 114 percent more than young adults without a high school diploma or its equivalent, 50 percent more than young adult High school completers, and 22 percent more than young adults with an associate's degree. [Source: National Center for Education Statistics, http://www.bls.gov/emp/ep_chart_001.htm] Investing hard work, time and money in a college education can result in a higher paycheck. Be smart about how you pay for college or career school and know the cost of loans associated with post-secondary education.

Savings accounts are not the only avenue for saving for college. Explore the websites below with your parents to find other opportunities to save and pay for college.

1. Learn what you can do now to prepare for college. Learn the tax advantages of saving and find a link to a clearinghouse of state college savings plans. https://studentaid.ed.gov/sa/prepare-for-college/checklists

2. Use the FAFSA4caster to estimate your eligibility for financial assistance. http://studentaid.ed.gov/fafsa/estimate

3. Learn what financial aid is available. - http://studentaid.ed.gov/

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4. Learn how to find a college, pay for college, and make a plan at bigfuture by The College Board. https://bigfuture.collegeboard.org/

5. Learn about the cost of college and understand the WHY to save, WHEN to save, and HOW to save for college. – http://smartertexas.org/?page_id=1231

6. Read about other ways to pay for college as well as how to plan for college - http://studentaid.ed.gov/sites/default/files/my-future-my-way.pdf

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Appendix A: Investigate Occupations

Investigate occupations in Texas:

Go to http://www.texascaresonline.com/wowmenu.asp to explore careers in Texas.

To investigate by interest, choose Self Assessment If you know a general area of your occupation, choose Career

Cluster

Record below occupation(s) that you would like to pursue. Then list the type of postsecondary education required, the median annual salary, the projected growth rate and the projected demand for the occupation in 10 years, physical demand, mental demand and any other factors that are important to you.

Ask students: Why should someone look at the projected demand when choosing an occupation? (Sample responses: This feature will reveal if there are any jobs available. Someone might spend valuable time and money pursuing an occupation that job availability is declining.)

To investigate fastest-growing occupations in Texas:

Go to http://www.careerinfonet.org/. Click on State Information Click on State Profile Choose Texas In the SEARCH option for occupation rankings in Texas, choose

Fastest-growing occupations. For average worker education level, choose Overall.

Investigate occupations nationwide:

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Occupational Outlook Handbook (US Bureau of Labor and Statistics) - http://www.bls.gov/ooh/

Exploring Career Information from the Bureau of Labor Statistics - http://www.bls.gov/k12/

Appendix B: Cost of Living

a. Go to http://www.texasrealitycheck.com/ ; choose Occupation Direct.

b. Choose an occupation.c. Record your results under Occupation 1 in the table on the next

page.d. Click on the arrow (How much can you purchase with this Monthly

Income?).e. Choose where you would like to live after graduation. f. Then choose your expenses (savings, housing, utilities, food,

transportation, clothing, health care, personal, entertainment, miscellaneous, student loan debt).

g. Determine if this occupation will provide for all of your expenses. Record the answer (yes or no) in the space on the table below.

h. Go back to http://www.texasrealitycheck.com/ and repeat the above steps for Occupation 2.

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Occupation Occupation 1: Occupation 2:

Annual Salary (Income earned each

year)

Taxes(Federal income taxes based on annual salary)

Remaining Annual Income

(Annual salary, decreased by taxes)

Monthly Income(Remaining Annual

Income divided by 12 months)

Will this occupation provide for all of my

expenses?

What was the most important thing you learned by using this tool?

What surprises, if any, did you encounter by using this tool?

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