Funding Your Post Secondary Education

Planning

Information from:theglobeandmail.com

Stats CanadaGovernment of BC

LearnNowBCUniversity of BC

Canlearn.ca

Updated September 2013

• How Much Does It Cost?• $5,772 is the average tuition undergraduate students paid at

Canada’s public institutions in 2013-14. This is a 4.2% increase from the year before. BC has an average of $5,029.

• Link to Post-Secondary tuition fee costs across Canada• Average tuition fees by program across Canada.• International Post-Secondary student fees across Canada• Books are not included in this amount• Living expenses are not included in this amount.• Check out this calculator from UBC. Pretty interesting stuff,

eh? This calculator is even better. Unfortunately, it is for Graduate students but it has information on potential expenses you may incur.

• How can you pay for your education?

• There are several methods you can use to pay for your post-secondary education.

• Chances are pretty good that it is going to take two or more of these methods.

• Think about which method[s] are most appropriate in your case as I explain them.

• Every family is different.

• Method 1: Begging• I know it sounds unappealing, but what I’m actually referring to is looking for free

money wherever it might be available. • Specifically, I’m talking about scholarships, awards, bursaries, and grants. • Is this method of paying for education appropriate for you? • Well, “begging” does assume you are qualified for certain scholarships or awards,

and that you have the persistence to pursue this free money. • If this is going to be part of the strategy, you need to start looking for this money at

least one year ahead of time.• Have you checked out the programs offered by the government of BC?• There is money out there! You just have to look for it!• Think of it as the ultimate Easter Egg Hunt!

• Method 2: Borrowing • Borrowing money is one of the most popular methods of paying for an

education. • If you look at a post-secondary education as an investment that will result in

higher income later, borrowing can make sense. • But always ask: What level of income can I expect to earn after graduation? • Borrowing assumes you will have the means to pay off the loan. • Apply the rule of tens here: For every $10,000 in student loans, you should

earn about $10,000 annually over a base income of $10,000 in order to repay the loan in 10 years.

• If, for example, you graduate with $30,000 in loans, you will need to earn $30,000 a year, plus a base of $10,000, for a total of $40,000 annually in order to pay off that loan in 10 years.

• Method 3: Sweating

• This method involves you working to pay for an education. • Holding down a part-time job during the school year, and

working full time in the summer makes good sense for a number of reasons, not the least being that it can provide some funds to cover education costs.

• Keep in mind, a student working more than 15 hours or so a week during the school year may find it a challenge to keep up in school.

• This method assumes you will have the time and skill to work at an appropriate job.

• Method 4: Saving

• This is the surest way to pay for an education, but it assumes you have sufficient time to save, and the income to set aside money regularly.

• A registered education savings plan [RESP] makes good sense since contributions can be supplemented with government grants as well.

• Research your options• Check out scholarships:

– http://www.bcscholarships.ca/– Spectrum’s web site: click on the Student Information tab and choose

the Scholarship option.– Ask your parents if their place of employment has a scholarship for

dependents.– Look into Passport to Education grants, Provincial Scholarships, Dogwood

Scholarships, and Secondary School Apprenticeship Scholarships at http://www.learnnowbc.ca/services/advising/scholarship_info.aspx

– My website has several links to sources of funding for you!

• Who Gives Out Scholarships?

• Post Secondary Institutions• Private Employers• Parents’ Employers• Governments• Religious Groups• Cultural Groups• Social Groups [Big Brothers, Junior

Achievement]

• canlearn.ca

• Check out:– Saving– Scholarships– Student loans – Other loans

• Network• Ask parents, teachers and friends how they

paid for their post-secondary education.• Always be on the look out for incentives like

entrance scholarships. UVic offers entrance scholarships based a self-reporting of grades in the fall. Check out their web site for more information.

• Tuition Fee Example

• $ 337.20/unit x 7.5 units* [5 courses] = $2529.00• There are two terms or semesters at university so

multiple this amount by 2 = $5058.00• PLUS fees! UVic has a cost breakdown to show

you your annual costs.

* one course=1.5 units

• The Last Word

• School is extremely expensive; take it seriously.

• It’s one of the largest and most valuable investments you will ever make.