Twenty years ago college was still expensive but not anything like it is now. Kids then would be able to graduate, get a job, and most likely be able to pay off the loan in the next 5 years or so. Of course it depended on how big the loan was which was determined by the college you went to. The point is though, that most graduating students could get a job and expect to pay the loan off in a reasonable amount of time.

As a college student today, or one that is going to be, you need to be careful not get yourself in too deep with a loan. Remember, a student loan is different from a grant: it needs to be paid back in full and it is never going to go away. You need to figure out what type of degree you are going to be getting, what kind of job that will help you get, and how much that type of job will pay.

For instance, if you are going to be majoring in history, you should have an idea of what types of jobs history majors can get and how much they pay. If you are only going to be able to get a job out of college that pays $30,000, then is it smart to be borrowing $20,000 per school year for a four year degree? That answer is NO! College graduates today are often graduating with so much debt that it will take them 10 to 20 years to pay off, and that is if they can get a job.

Prospective doctors, lawyers, and other high paying professions have no choice other than to pay a lot for their degrees as they can’t get a job without one. But their earning potential is such that with a little luck they will be able to get out of debt in a reasonable period of time.

Students today are wanting to go college and some of the colleges are outrageously priced. You have to be smart and not graduate with more debt than you can handle. Remember, right now many college graduates can’t even find jobs and yet they still have those student loans to pay in addition to figuring out how to pay for a place to live and food to eat.

College aged students in 2010 – 2011 have bigger financial decisions to make right from the start than most students in the past have had. College should be a great place to learn, mature, make friends, and figure out what you want to do with your life. Right now though, college kids are saddled with big loans and often credit card debt all the while trying to find a part time or full time job. Kids today have a lot on their plates so be careful not to pile up too much debt that will only get you into more trouble.

If you are looking for jobs for college students, the chances are you also have some sort of a financial aid package. Student financial aid usually consists of a package of one to three types of aid. The first part can be grant money. A grant is free money that you do not have to pay back. Because it is free money, it is the most difficult to get. For instance, back to school grants and grants for moms are in high demand right now.

Another part of your package can be student loans. Student financial aid loans differ from regular bank loans because you get to borrow the money at a discounted rate. Where a regular loan may cost you 5% to borrow a thousand dollars, a student load many cost you only 3% to borrow the same amount of money.

The lower percentage rate of the loan is one part of the student loan that is nice. The other part is that student financial aid loans through the government let you defer your payments as long as you are taking a full load in school. Unlike normal loans that you must begin paying back as soon as get them, these loans do not have to begin being paid back until you finish school. This is called deferment. Also if you are in school with this type of loan, you can have your payments deferred for up to a maximum of 6 months after graduation. This gives you time to find a job before your loan payments begin.

Most of a financial aid packet is comprised of a student loan. The last is work-study and that is neither a loan nor free money. It means you have the ability to earn up to a certain amount during the school year working in a work-study job. So, what is the benefit of this offering you may ask, because you could get a job anywhere?

Many jobs that are available at a college or university are only available for students who have a work study package. That means if you do not have work study, you can’t apply for the job or will not get the job unless no one else with work study applies for it. As many students do have work study, the chances are that that type of job will only go to someone with it.

This work study option gives you job opportunities that most other students will not have available to them and it gives you an advantage in the job hunt. So, a student financial aid package may look something like this: a student is awarded $7,000 in student aid which consists of $1,000 in grant money, $4000 in loans at a set percentage, and $2,000 in work study for a total of $7000 in financial aid. Remember just because you apply for student aid does not mean you will get it. It also does not mean you will get aid in all three areas. Good luck applying for student aid and getting a job.