When paying for college, prioritize money you won’t have to pay back — like scholarships and grants — followed by income from work-study programs if you can work while enrolled.
After you’ve exhausted free financial aid, consider student loans to fill in remaining funding gaps. Try to borrow only what you need.
Here are eight ways to pay for college.
1. Submit the FAFSA
Start by submitting the Free Application for Federal Student Aid (FAFSA) to open the door to federal aid, like grants, work-study opportunities and federal student loans. The FAFSA can also qualify you for state-level and school-based aid.
Be as thorough as you can when filling out the form. The federal government uses this information to gauge what resources you and your family have to pay for college. For example, if you or your parents saved money in a 529 plan — a state-sponsored, tax-advantaged college investment account — this may be taken into consideration when you apply for aid.
Submit the FAFSA as soon as it opens each year (usually Oct. 1), because some colleges award both need- and merit-based money on a first-come, first-served basis. In addition to the FAFSA, some schools also require you to complete the CSS profile to be considered for aid.
2. Search for scholarships
You don’t have to wait until you’re a senior in high school to start your scholarship search. In fact, it could pay to start earlier. For example, the Evans Scholars Foundation awards full-ride scholarships to hundreds of golf caddies each year. But you have to be a caddie for at least two years to qualify, which means you’d have to start caddying during your sophomore year in high school at the latest to be eligible by the time you apply at the beginning of your senior year.
Scholarships, unlike student loans, don’t have to be paid back. Well over a million scholarships are available from private sources. To help get you started, the Department of Labor’s Scholarships Finder database lists more than 9,500 scholarships. While many scholarships require that you submit the FAFSA, most also have an additional application. Our sister site Scholarships360.org is also a great resource, as it provides students with hundreds of vetted scholarship opportunities.
» MORE: How to get a scholarship
3. Choose an affordable school, or transfer from one
A college degree can have a hefty price tag. According to the College Board, average yearly tuition at a four-year university ranged from $11,950 to $45,000 in 2025-26, depending on institution type.
Paying for college will be easier if you choose a school that’s reasonably priced for you. To avoid straining your bank account, consider starting at a community college, technical school or trade school, then transferring to a four-year institution.
If you opt for a traditional four-year university from the start, research the school's net price — the cost to you after grants and scholarships. This will show your out-of-pocket cost instead of just the sticker price.
For example, if a $28,000-a-year school doesn’t offer you any aid, and a $60,000-a-year college offers $40,000 in aid, the school with the higher sticker price could be a better option because of its lower net price. Just remember that aid isn’t guaranteed every year, so you’ll want to continue to be proactive with aid and scholarships to lower the cost.
Schools have net price calculators on their websites to help you estimate the amount you’ll have to pay out of pocket. Public universities in your state may be the cheapest option, since they offer discounted in-state tuition for residents.
4. Use grants if you qualify
Similar to scholarships, grants usually don’t need to be paid back. Grants are typically funded by individual schools or the government. The Pell Grant, for example, is a federal grant designed for students from low-income backgrounds, but eligibility is based on a number of factors rather than a specific income cutoff. Like other aid opportunities, you can qualify for a Pell Grant by filling out the FAFSA.
The high school class of 2024 forfeited $4.4 billion in federal Pell Grant money by not submitting the FAFSA, according to a 2025 study by the National College Attainment Network. Don’t make that mistake. As long as you submit the FAFSA and renew it each year you’re enrolled in school, you’ll receive Pell money if you’re eligible for it. For the 2026-27 school year, the maximum Pell award is $7,395.
In addition to the need-based Pell program, the federal government offers several other types of grants, which also don’t need to be paid back in most cases. For example, aspiring teachers may qualify for a federal TEACH grant. Many states have grant programs, too. Look up and apply to state financial aid programs for which you may qualify. The National Association of Student Financial Aid Administrators is a good place to start looking online to see what aid is available in each state.
» MORE: Guide to grants for college
5. Work while in school
A college job checks multiple boxes: It provides income, work experience and potentially valuable connections. The federal work-study program funds part-time jobs for college students with financial need.
To apply for work-study, submit the FAFSA. If you qualify, you’ll see “work-study” listed on your financial aid award. However, just because you’re eligible for work-study, doesn’t mean you automatically get that money. You have to find an eligible work-study job on your campus and work enough hours to earn all of the aid you qualify for.
If you don’t qualify for work-study, you can also look for a job on or off campus. Work-study positions tend to pay minimum wage, so finding a job outside of work-study may allow you to make more money. Be aware that if you get a non-work-study job, you’ll have to report that money on the following year’s FAFSA, which could potentially limit the financial aid you qualify for. Work-study wages aren’t included on your FAFSA and won’t count against you in the same way.
6. Work for an employer that pays for college
Some companies have programs where they cover a percentage of college costs, a flat amount, or even 100% of tuition. For example, both part- and full-time Target employees can access tuition-free degree programs and bootcamps at more than 40 institutions via a program called Guild.
Only certain schools and programs are granted 100% tuition coverage. For programs outside of Guild’s coverage students can earn up to $5,250 a year. Also, prospective students need to pick a degree that has to be related to something they could do at Target. For example, nursing degrees are not covered.
Employer tuition assistance programs can come in the form of tuition reimbursement — where you're reimbursed for tuition you already paid — or the company can pay the school directly.
When applying to jobs, research what educational benefits they offer. And if you're already employed, connect with your human resources department to see what is available for you.
7. Take out federal student loans if you have to
You don’t have to say yes to all the aid you’re offered — especially student loans. As a rule of thumb, aim for monthly student loan payments that don’t exceed 10% of projected after-tax monthly income your first year out of school. If you’re not sure how much you’ll be making in your field, you can look up average salaries through the U.S. Bureau of Labor Statistics to base your calculations on.
» CALCULATOR: Estimate your monthly student loan payments
If you need to borrow to pay for college, take out federal student loans before private ones. You must submit the FAFSA to qualify for federal student loans. These loans have benefits and protections that private loans don’t, including student loan forgiveness programs.
8. Borrow private student loans as a last resort
You should only consider private student loans after you max out your federal student loans, since private loans offer fewer borrower protections.
If you do need to use private student loans, compare your options before you choose a lender. Shop around to find the lender that offers the lowest interest rate and the most generous borrower protections, such as flexible repayment plans or the option to put your loans in forbearance if you’re struggling to make payments.
It is also harder to qualify for private loans. Unlike federal loans, most private loans take into account a potential borrower’s credit score and finances. Borrowers with strong finances or those who have a cosigner with strong finances stand to get lower interest rates and more favorable loan terms. There are also private student loans designed for borrowers with poor or no credit.
Remember: After you leave school, you’ll have to pay back any money you borrowed. Many student loans — with the exception of federal subsidized loans for undergraduates — typically accrue interest while you’re in school, which means you’ll have to pay back more than you originally borrowed.
