Financial Aid For Online Students - What is Possible and Where
Bryan Wong

Defined Tag: Tax and Finance.

In this day and age, going to college is virtually essential
if you want a well-paying occupation that can sustain a
quality way of life.  However, college is not cheap - it
can be very expensive, depending on the prestige and quality
of the university, the program you are interested in enrolling,
and how long it will take to earn your degree.

Therefore, it's essential to get as much financial aid as
you can.  And yes, even non-traditional (over age 25) students
that are taking online courses can receive financial aid.

First, you can file for the Free Application for Federal
Student Aid (FAFSA) at any age; the main requirements to
qualify are (taken from the FAFSA website):

"- You have to be a U.S. citizen or eligible non-citizen.
- You have to have a valid Social Security number (unless
you're from the Republic of the Marshall Islands, the Republic
of Palau, or the Federated States of Micronesia.)
- You comply with Selective Service registration, if
required.
- You have a high school diploma, General Education
Development (GED) Certificate, or pass an approved ability-
to-benefit (ATB) test.
- You have to be enrolled or accepted for enrollment as a
regular student working toward a degree or certificate in
an eligible program at a university that participates in the
federal student aid programs.
- You must NOT owe a refund on a federal grant or be in
default on a federal student loan.
- You must have financial need (except for unsubsidized
Stafford Loans.)
- You must NOT have certain drug convictions.
- Other requirements may apply, depending on the university
you apply to."

How much financial aid you can expect to receive from FAFSA
is dependent on your Expected Family Contribution (EFC,)
your year in school, your enrollment status, and the cost
of attendance at the school you will be attending.  You
should contact your university's financial aid office to
see how much you can receive at that school.

If you are attending an accredited university, your school
will send you a 1098-T form at the beginning of each year.
This form will include important tax information about
your education-related expenses that the school has to
send to both you and the IRS.  Once you receive this
information, you can then file for tax deductions that
can save you up to $2,000, including the following -

The Lifetime Learning Tax Credit - available to all students
who take at least one class from an accredited school. 
Qualifying students can get credit for 20% of the first
$10,000 they spend on educational expenses, up to a
maximum of $2,000.  To be eligible, single filers must
make an adjusted gross income of less than $52,000 and
joint filers must make less than $105,000.

The Hope Scholarship Tax Credit - offered to students who
are enrolled at least half-time and are in their first or
second year of undergraduate study.  Filers who meet
the income cap requirements (same as for the Lifetime
Learning Tax Credit) and who have no felony convictions
involving the possession or distribution of controlled
substances can receive up to $1,500 in credit.

Higher Education Tuition and Fees Deduction - the income
cap requirements are higher with this option, as singles
with adjusted gross incomes between $65,000-$80,000 and
families who make between $130,000-$160,000 are eligible
for a $2,000 deduction.

Other types of aid include government and private loans,
government, university, and private grants, and university
and private scholarships.  There are ones available for
non-traditional students as well.  There are online
resources that can help you locate ones that are specifically
for non-traditional students.  The Fastweb Scholarship Database
at http://www.fastweb.com lists more than 50 awards that have a
minimum age requirement of 30 or older and over 230 awards with
a minimum age requirement of 25 or older.  Over 1,800 awards
have no age restrictions at all.

Regarding loans, if at all possible, try to obtain
government loans - they usually offer the most reasonable
rates and terms compared to private loans from banks.

While many schools restrict eligibility for the school's own
financial aid programs to the first Bachelor's degree, some
schools will waive that restriction if an adult is returning
to school and working toward earning a second degree in
preparation for a career change.  Check with your university
to see if you're eligible for their financial aid programs.

Also check with your current employer to see if he/she is willing
to reimburse you for part or all of your tuition.  Of course,
this likely will only happen if you are taking courses to
further your current career and are likely to remain at the
company you are currently working at, but if you fall into this
category, you should seek out your employer to see if he/she can
help ease the financial burden of your courses.

Paying for college is never easy, especially for non-traditional
students who don't qualify for many forms of financial aid, but
by utilizing the Internet and other resources, you can find
loans, grants, and scholarships that you are eligible for to
help make your return to college a bit easier on your finances.