Is Grad School Right for You?

If you're unhappy with your current job or feel you could progress more with a master's degree, you may think grad school is a good choice. But there are many factors to consider before making that leap, financing only being one of them.

First and foremost, ask yourself the most important question: why? Why do you want to go to grad school? Your reasoning needs to be sound when answering the question, or you're going to end up wasting valuable years of your life. Do you want to use grad school as a stepping stone to bigger and better job opportunities, or are you seeking a lifeboat to escape your current situation? If you're just going to grad school to buy yourself time while you figure out what to do with your life, you could end up with student loans for a degree you don't even want. If you find that your reasons are questionable at best, save yourself the time and anxiety and look for a different job instead; you can always go to grad school later, when your life and perspectives have changed.

Some experts even suggest you enter the workforce after college and try your hand at something for a few years to see what your strengths and weaknesses are, and many colleges (such as business schools) actually require it before they'll let you enroll.

Okay, so you've read all that and determined that you want to go to grad school for the right reasons. Next, figure out if you can afford the time and energy it takes to be a student. Would you need to work part-time? Can you afford to work part-time and still meet the bills every month? Can you go to school near your home, or will you need to move?

Once you've decided you can live without a job (or work a part-time job) while going to grad school, you need to figure out what impact the cost of learning will have on the lives of you and your family. If your earning potential isn't very high at the moment, grad school might be able to help you attain a career with a healthier financial outlook. But grad school is costlier than its undergraduate counterpart, to which you need to add the loss of income from your job. And did I mention student loans?

One myth about grad school is that the bigger the name of the school you attend, the better your job prospects will be when you graduate. The truth is, by the time you get to grad schools, the difference is relatively small. Why go to a big-name grad school when you can go to a smaller, more local grad school at half the cost and still get the job or promotion you want? (I must note, however, that - particularly with professional institutions like law school and medical school - this doesn't always hold true. Research your area of study to determine which schools will benefit you more.)

Not only is attending grad school costly, but these days the application process itself can take a chunk out of your wallet. Application fees alone can set you back hundreds of dollars, depending how many schools you plan on applying to. The sooner you start seeking financial aid, the better your chances will be of attaining it. Luckily, there are ways for the future grad student to get the money they need:

1. The first and most obvious choice is scholarships. With the rising popularity of master's degrees and beyond, they aren't just for undergrads anymore. Check out fastweb.com for information regarding graduate loans or go to your local library. As your undergraduate financial advisors warned, stay away from scams that offer to help you find scholarships for a fee: they only give you information you could easily find for yourself anyway, plus money you could have spent on applications.

2. If you're employed, look into reimbursements your company may offer for tuition, especially if the degree you're seeking is to help promote your position in that company. Just make sure you understand the stipulations given when you receive the money, as reimbursements from your company often come with strings attached.

3. Next, look into fellowships. They can cover part (or all) of your tuition and may even give you a stipend for monthly expenses. This is an attractive option if you had an impeccable academic record in college, since fellowships are usually reserved for such individuals. Be prepared for some stiff competition when going after a fellowship.

4. The last financial aid choice lies with assistantships. Institutions and companies often look for grad students as research or teaching assistants and pay them a stipend for their work. Some grad schools will reduce your tuition (or, in rare instances, eliminate it entirely) when you're an assistant, and you gain valuable field experience in your chosen specialty. While usually reserved for students with outstanding performance, some schools will extend an assistantship to everyone.

5. When all is said and done, if you still need money after these avenues, you can always apply for a loan. The federal government offers up to $18,500 a year in subsidized and unsubsidized loans. The problem is, if you still owe money for your undergrad loans you can only borrow a combined total of $138,500 for undergrad and grad school. Check out studentaid.ed.gov for more information about federal loans.