How to Get "Pre-Qualified" For Your College of Choice

Parents and students often wait until the last minute to start preparing for college. It's understandable, it's a stressful decision! Just like how many individuals wait to start planning their retirement, they do the same for college planning!

The other problem with waiting so long to start planning for college is that parents and students handcuff themselves on where they can attend college. They put themselves in a bad position and often have zero leverage when negotiating price with the college of their choice. They make irrational financial decisions, and sometimes put the student and the parent in financial stress.

We propose a different way for shopping for college. When individuals want to go buy a car or a home, they have to get pre-approved. The same should happen for college. Why is such a big financial decision oftentimes done "willy-nilly" with no prior planning? People spend months, if not years, planning on buying their house. They look at what square footage they'll need, what color, what style house, backyard size, if there's a basement, how many rooms and bathrooms, is the roof new? If people will spend this much time on such a big financial decision, they should do the same on where they will get their education. After all, this decision could shape what job you get in the future and determine your earning potential as a working adult.

By determining what price you can afford for school, families can start to narrow down schools that work within their price range and find the best fit for them. Just like they do a house. If a family cannot afford a $400,000 house, they will not look at $400,000 houses. They will find the best house for their family in the $250,000-$300,000 range if that's what they qualify for. The same should be done for college! If you cannot afford a $50,000 a year school, you should not be shopping for them! Of course, there is more nuance to college planning than that, and sometimes need-based aid and scholarships can help a family afford the school outside their budget, but the first step is always to know what you can afford and work backward from their!