Steps on how to pay for grad school

You've got options to make grad school happen

Thinking of going to grad school? Congrats! It can give your career a big boost by helping you find better jobs, earn more money, grow your skills, and build strong connections in your field.

But no matter why you’re going, you'll be left with one question: how are you going to pay for it? I’m going to focus on the not-so-obvious steps you should consider before signing any loan documents.

Be honest with yourself

Money stress is real, and if you’re planning to take on something big like grad school, your lifestyle might need to shift a bit. Money doesn’t just affect your budget, it impacts your mindset, too. So start thinking about how your spending, saving, and earning habits might need to adjust. For example:

• If you’re employed, you may have to reduce your hours at work or quit altogether
• If you are applying locally, you may have to pay for transportation to class
• If you are applying out-of-state, you should think through relocation costs and if the move makes sense (especially if you’re bringing family with you)

Next, have a talk with your family

This investment may affect more than just you. Aside from being upfront  about how you’ll be spending your time (studying, studying, and more studying), it’s worth talking through how much you’re comfortable borrowing to finish your degree. Share what you expect to earn after graduation, and walk through the interest of your loans (and how it works). Loan calculators are helpful for understanding the financial side of things, and what it could mean for you and your family.

Paying for grad school

Paying for grad school looks different from undergrad, especially when it comes to financial aid. There are tons of scholarships and resources for college students, but for grad or professional school, funding options are more limited and can depend on your field, program, or even where you're going. That’s where private student loans—graduate loan options—can help fill in the gaps. Here are a few tips to help you get started: 

• Create a scholarship spreadsheet. It’ll help you keep track of the scholarships you’ve applied for and their requirements. They can be specific to your industry, type of degree, location, or school. Looking for a scholarship to start with? Sallie Mae’s Bridging the Dream Scholarship for Graduate Students is a $10,000 scholarship awarded to students in any field of study. However, there are some scholarships out there that don’t have any guidelines. There are also scholarship resources to help make the search a little easier. Be sure to carve out time to thoroughly explore all your options.
• Unique to grad school, fellowships are short-term programs that can help fund a portion of your studies and provide a stipend. Reach out to alumni to learn about internal fellowships offered by your school or department. You can also find some through foundations, non-profits, corporations, or government agencies.   Fellowships are competitive, so start looking into them early. Make sure you know what’s required before applying.
• If you’re employed, your company might help cover some of your tuition. Many employers offer programs that pay for part or all of your degree, so check this before looking into other options. Just make sure you understand how it works. Some employers may require you to stay for a certain time after getting your degree.

File the FAFSA^®

The Free Application for Federal Student Aid (FAFSA^®) isn’t just for undergrads. Since you’ve probably been filling it out since your first year of college, it should be pretty easy, especially if you’re no longer listed as a dependent on your parents' tax returns. Even if you don’t think you’ll qualify, file the FAFSA^®. You can use the results to talk to your school’s financial aid office about possible extra help.

Get to know your repayment options

After filing the FAFSA^® and exploring scholarships and fellowships, look into federal loans before considering private ones. Compare repayment plans, interest rates, and forgiveness programs, especially those tied to your field. And before borrowing, think about how grad school could impact your lifestyle and talk it through with those close to you.