Navigating through the many federal financial aid options can seem like an interminable roadblock when they are thinking about going to college. Yet, there has never been a better time to consider completing a degree or pursuing a new one. And technology is the biggest reason why. The world once imagined by science fiction has become reality, driven largely by rapid advances in technology and automation.
This is the new normal. But just beneath the shiny surface of automated wonder and electronic convenience is a downshift in demand for jobs once performed by people. Change doesn’t always mean jobs disappear, but in some industries, roles and tasks are evolving to adjust to new technological advances. Bold and frequent upskilling, including AI skills, can expand earning opportunities according to Mckinsey Digital’s Preparing for tomorrow’s agentic workforce.
But the future isn’t bleak. If current trends follow historical patterns, productivity will rise and with it, opportunity.
Education Sticker Shock
There is hope. Federal financial aid programs can and do provide much-needed support. The Bill and Melinda Gates Foundation estimates that annually 2 million students don’t apply for financial aid they are eligible to receive. Non-traditional students, in particular, often incorrectly assume their age and annual income eliminates them from the pool of available funds. Further, the FAFSA form unlocks not only federal student loans, but also free aid that you don’t need to repay, like need-based Pell Grants (up to $7,395 per year).
The Payoff of a Degree
Despite the short-term obligations, the long-term benefits of higher education beg the question: Can you really afford not to go to college? The overwhelming majority of millennials with at least a college degree, about nine out of 10, say the cost of their education has already paid off or will pay off in terms of job security, satisfaction and higher earning potential, according to Pew Research. Higher wages aren’t just an assumption, college-educated millennials reportedly earn an average of $30,888 more a year than their peers with only a high school diploma, according to the Bureau of Labor Statistics. The typical wealth level of households headed by a college graduate was $120,200 in 2022, up from $46,600 in 2013.
Finish Faster
Adult learners come from a variety of backgrounds, from parents returning to school after raising a family, to active-duty or retired servicemembers, to career-changers or high-school graduates who delayed their pursuit of higher education. No matter the circumstances, a degree can be a pathway to a career and can help bolster soft skills, like team management and communication, that are relevant to any field. National University can help make the goal of a degree a more accessible reality.
Remote learning means adult learners can pursue their passion at any one of National University’s professional schools: the School of Business and Management, School of Engineering and Computing, School of Health and Human Services, and School of Professional Studies. Or, they may prefer to attend one of National University’s two colleges: the Sanford College of Education and College of Letters and Sciences. It’s possible to complete an associate’s, bachelor’s, or master’s degree with over 190 options available to earn online. The school also offers a variety of certificate programs in in-demand fields, including nursing, education, law, and business.
Students can work on their course programs on their own schedule from whatever location is convenient. Flexible monthly starts and accelerated four- and eight-week formats bring graduation and commencement even closer to reality, without sacrificing the high-quality academic rigor once reserved for the traditional campus experience.
Post-graduation, National University helps its students and alumni achieve their professional aspirations via career services including counseling, resume and cover letter critique, and practice job interviews.
But First, FAFSA
National University’s financial aid staff is ready to help navigate and identify the resources available through student loans and grants. To qualify for federal assistance, students must fill out the Free Application for Federal Student Aid, better known as FAFSA.
There is no fee to submit a FAFSA and it can be completed online. Every college student should plan to fill it out annually. The FAFSA deadline varies by state, but since some aid is awarded on a first-come, first served basis, it’s best not to procrastinate. The submission period is open from October to June annually.
The good news is that the as of the 2024–2025 academic year, the FAFSA form has been significantly simplified due to provisions from the FUTURE Act and the FAFSA Simplification Act. The number of questions has been reduced from over 100 to as few as 36 questions, depending on the applicant’s specific circumstances. The minimum number of questions is 18–36 for most applicants. The maximum number, (with all possible branches) is around 36–40 for independent students with complex financial situations.
Non-traditional students may wonder, “Do I even qualify for FAFSA?” The good news is there is no age limit associated with eligibility. If the basic requirements are met, there is no reason a non-traditional student cannot receive some form of aid.
But it is a critical first step in securing federal financial aid, and one that can be taken even before committing to a particular school or program.
Filling out the FAFSA form online will yield the fastest turnaround on results, and it also provides a help center for answering your questions.
What You Will Need
Gathering the necessary documents in advance will help ease the process of completing the FAFSA. Students should have handy:
- Their Social Security Number
- Their Alien Registration Number (if not a U.S. citizen)
- Federal income tax returns (from two years prior), W-2s, and records of money earned. (Note: It may be possible to transfer federal tax return info into the FAFSA using the IRS Direct Data Exchange)
- Bank statements and records of investments
- Records of untaxed income (if applicable)
- A Federal Student Aid ID (FSA ID) and one parent (if a dependent) to sign electronically
Once the FAFSA has been electronically signed and submitted online, a personalized FAFSA Submission Summary (formerly called a SAR), will arrive typically within a few days to a week. The Submission Summary will note the student’s expected family contribution toward tuition and preliminary estimates of federal student aid eligibility. It’s important to review this document to ensure everything has been summarized accurately and completely. Any mistakes on a FAFSA Submission summary can be corrected but requires resubmitting the FAFSA.
The U.S. Department of Education’s Office of Federal Student Aid (FSA) offers more than $114.1 billion to students every year. Financial assistance can help learners pay for tuition, housing, food, or the books and supplies needed.
National University offers eligible students access to grants and loan programs, and, for those who prefer to talk with staff, our financial aid advisors are ready to help. Financial assistance can take many forms, and it’s important to understand what each federal offering entails.
The FAFSA estimator can help calculate the estimated aids and costs associated with enrollment. Not every type of aid is created equal, however. There are several options available:
Federal Grants
Grants are essentially free money for education. Unlike scholarships, which are often awarded to honor achievement in academics, sports or other criteria, grants are usually made based on an applicant’s financial need. And, under most circumstances, they don’t need to be repaid. State and local governments may have their own grants to disburse. These may be based primarily on income but also may help encourage underrepresented or disadvantaged populations to enroll in college. Grants distributed by the federal government fall into one of four categories:
- Federal Pell Grants
For the 2024–25 school year, you can get up to $7,395. The Pell Grant is for students who haven’t earned a degree yet. Undergraduates are the most common recipients of these awards, although students enrolled in post-baccalaureate teacher certification programs may also be eligible. A number of factors are considered when determining the amount a student may receive, including the Expected Family Contribution, tuition, full or part-time enrollment status, and the length of the academic year in which the student is enrolled. Students may receive the Federal Pell Grant for up to the equivalent of 12 semesters or the equivalent. In some cases, an additional Pell Grant money can help offset the cost of the summer semester in an accelerated program. This is commonly referred to as a “year-round Pell.” One of the greatest advantages of receiving a Federal Pell Grant is that other sources of student aid do not affect the amount of the award. Institutions that participate in the program receive enough funds annually from the U.S. Department of Education to pay the Federal Pell Grant amounts for all its eligible students. - Federal Supplemental Educational Opportunity Grants (FSEOG)
Between $100 and $4,000. Undergraduate students with exceptional financial need may receive this award, which is determined by the college’s financial aid office. The amount of this award depends on the student’s financial need and the availability of college funds. - Teacher Education Assistance for College and Higher Education (TEACH) Grants
Up to $3,772 per year. These grants are awarded to students who intend to teach for at least four years in a public or private elementary or secondary school serving students from low-income schools. TEACH grants represent a case in which a federal grant may need to be repaid if the service requirement of teaching four years is not fulfilled. - Iraq and Afghanistan Service Grants
These awards go to students whose parents or guardians were members died as a result of performing military service in Iraq or Afghanistan after Sept. 11, 2001. A student must have been under 24 years of age or enrolled in college at the time of the parent’s or guardian’s death in order to be eligible for this grant. Beginning with the 2024–25 award year, due to the FAFSA Simplification Act, eligible students now receive the maximum Pell Grant award instead of a separate Iraq and Afghanistan Service Grant. This change means that qualifying students will receive $7,395 for the 2024–25 academic year, regardless of their calculated SAI.
Federal Loans
As with any loan, a federal student loan must be repaid with interest — regardless of whether the degree program has been completed. The amount that a student can borrow will be dependent on the information provided via the FAFSA, but in most cases, a credit check will not be required, and no co-signer will be needed.
Federal loans for college fall into one of three categories:
- Direct Subsidized Loans
Sometimes referred to as Direct Loans, these offer undergraduate students a low, fixed interest rate and flexible repayment options. Subsidized loans can end up saving a significant amount of money because the student will not be responsible for the interest that accrues while he or she is in college or while the loan is in deferment. The federal government picks up the tab on that interest. - Direct Unsubsidized Loans
For these types of loans, once the loan is taken out by a student, interest begins accruing on the amount borrowed, and that interest is the student’s responsibility. However, unsubsidized loans are available to both undergraduate and graduate students. Financial need is not a factor in determining the amount available. A student’s school determines the amount based on the cost of attendance and other financial aid he or she is receiving. - Direct PLUS Loans
The U.S. Department of Education is the lender of these loans, which do require a credit check. The limits are determined by subtracting other financial aid a student is receiving from the cost of attending his or her school. PLUS loans can provide coverage for tuition and expenses not covered by other means. Both graduate and professional students (and the parents of dependent undergraduates) are eligible for these loans.
Tax Credits
Once enrolled in school, tax credits can be an often-overlooked short-term benefit of making an investment in a degree. Currently, there are two options to reduce income on federal taxes:
- American Opportunity Credit
This is a credit of up to $2,500 for qualified college and post-secondary education expenses for an eligible tax-paying student or a taxpayer claiming the student as a dependent. To be eligible, the student must be enrolled at least half-time for one academic period beginning in the tax year and still be in his or her first four years of higher education. - Lifetime Learning Credit
This provides a tax credit of up to $2,000 per taxpayer per return for education expenses. It can help pay for undergraduate, graduate and professional degree courses, including courses to acquire or improve job skills. There is no limit on the number of years it can be claimed, but to qualify, the taxpayer’s modified adjusted gross income must be $80,000 or less – $160,000 or less if married and filing jointly. - Yellow Ribbon School
As a Yellow Ribbon approved university, National University offers additional financial aid, tuition discounts, and scholarships to Veterans and current military personnel and their dependents. For much more information about additional assistance that you may have access to as a member of the military community, please read our blog post, How Military Tuition Assistance Can Fund Your Education. - National University Financial Aid Staff
Thanks to its intensive one-course-per-month format, a college degree at National University is closer than it might appear. Students considering National University will find lifelong learning opportunities accessible, challenging and relevant, regardless of their background. You should not let the complexities of figuring out financial aid hold you back from achieving your goals. Despite all the resources online to help guide through the process of funding higher education costs, sometimes there is no substitute for talking to an actual human being. That’s where National University’s financial aid staff can make a real difference. Armed with compassion and expertise, the financial aid advisors can help prepare students for the strategies and options that will make the most sense now and after graduation, when loans come due. They are just an email or phone call away at [email protected] or 1-800-NAT-UNIV, ext. 8500.