Affording college as an adult: Adult learners share tips

Lori Stone was 36 years old with three kids under the age of 12 when she returned to school to get her bachelor’s. She wanted to be a role model for her kids and have better access to career opportunities. The number of nontraditional students like Stone is on the rise. In 2022, roughly 2.9 million undergraduate students were over the age of 25, according to BestColleges Data, comprising roughly a quarter of all enrolled undergraduate students.

But trying to afford a higher education as an adult can be intimidating, especially if you don’t plan on working while you attend. Luckily, older learners are eligible for the same types of financial aid as those who attend after college as teens. They may also have the advantage of savings and longer credit histories to help them qualify for lower student loan interest rates. Here’s how Stone and other adult learners made it work.

How to pay for college as an adult

Most older learners combine financial aid, student loans and tax breaks to manage college expenses.

Stone was no exception. Despite being awarded a research fellowship that provided a monthly stipend and waived tuition, she relied on Pell Grants, scholarships and low-interest federal loans to support both her and her family during her time in graduate school.

“I’m not sure I could have done it without the loans,” she says. “I had absolutely no money and no financial help, otherwise.”

Adult students who are beyond the traditional age of college enrollment may even find financial aid opportunities specifically tailored for them.

Fill out the FAFSA

The Free Application for Federal Student Aid is the official application to get government-provided financial assistance for college. This application covers work-study program eligibility, grants like the Pell Grant and federally-backed student loans. Note that the Pell Grant is only available to undergraduates, though graduate students may qualify for other grants.

Most schools require you to complete the FAFSA for scholarship eligibility, too. Some may also require you to fill out the CSS Profile, too.

Though parents often complete the FAFSA for their children, older adults should also fill out a FAFSA for themselves if returning to school. To complete the FAFSA, you must collect recent tax returns, bank statements and other financial documents.

Contact your school’s financial aid office

Your school’s financial aid office might have additional financial opportunities that you can apply for. Reach out to administrators to see whether you qualify for school-based aid.

If paying your tuition and fees in one lump sum is challenging, ask your institution whether it offers a more manageable payment plan or need-based financial aid.

Apply to scholarships and grants

In addition to submitting the FAFSA, consider independent scholarship and grant options, since these do not need to be repaid. Many local community organizations and professional groups offer scholarships and grants. Women, people of color and other minority groups may qualify for aid. Though some scholarships are limited by age to traditional students, many are open to anyone enrolled in higher education.

Your current employer may offer support for continuing education, including tuition reimbursement or financial assistance for textbooks and supplies. Even if they don’t contribute financially, your employer may allow you to complete a portion of your schoolwork on company time. This kind of investment in employees can be a win-win, both developing the workforce and helping with talent retention.

Consider student loans

Student loans can fund the gap between tuition costs and other financial aid you’ve received.

“Research your finance options early and often,” warns Steve Dashiell, a Bankrate credit cards editor who took out multiple student loans during his time in college. “Stay up on it each year. You don’t want your financial aid to fall off unexpectedly, or to not have the aid you need to complete the whole year.”

Dashiell relied on a combination of aid he qualified for through the FAFSA, private loans and part-time jobs to fund his education.

Be sure to check out federal student loans first. Federal loans have more borrower protections than private loans, like access to income-driven repayment.

However, all federal financial aid borrowers receive the same interest rate regardless of credit score. That can be a good thing if you have a weak credit history or lower credit score. But if, like many U.S. adults, you have good or excellent credit, you may well qualify for lower rates with private student loans. You may qualify for loyalty discounts if you get a student loan through a bank with which you already have an account.

Take advantage of tax breaks for continuing education

If you’re pursuing education as an adult, you might be eligible for education tax breaks through credits and deductions. Two credits that can reduce the amount of tax you owe are:

• American Opportunity Tax Credit (AOTC): Up to $2,500 credit per eligible student per tax return; available to undergraduate students enrolled at least half time.
• Lifetime learning credit (LLC): Up to $2,000 credit per per eligible student per tax return; available for most types of post-secondary education, including during less-than-half-time enrollment.

Each program has its own set of eligibility requirements and the two cannot be combined. You might also be eligible for the student loan interest deduction if you repaid interest on your federal or private loans.

Bankrate tip

The IRS has a free interactive tool to assess your eligibility for the interest payment deduction. Generally, your forgiveness eligibility will phase out or be eliminated if your household income exceeds $85,000 (if filing taxes individually) or $175,000 (if filing jointly with a spouse).

How can I get back into school as an adult?

Follow this step-by-step checklist to re-enroll in school.

1. Research programs and schools: Explore programs that align with your career goals.
2. Review admission requirements: Check the admission criteria for the programs you’re interested in.
3. Gather transcript and documents: Request your academic transcript from any previous academic programs and any other required papers for the application process.
4. Apply for financial aid: Beginning with federal aid, research and apply for financial aid, scholarships, grants and loans.
5. Register for classes: Enroll in courses but make sure to check the schedule if you are continuing to work.

Outside of school, make sure to seek support systems. Stone, who went on to get her Ph.D., credits her children for her success.

“My kids were my cheerleaders and encouraged me when I felt like quitting,” she says. “We were all studying together. People usually think that going to school for nine years while raising kids was the hard part, but I honestly do not know how people do it any other way.”

Is it worth it to go back to school as an older student?

If you’re going back to school as an older student, you’re not alone. More than 943,000 adults with some college re-enrolled in 2022-2023, according to the National Student Clearinghouse.

“It’s never a bad time to go back to school,” advises Brandon Mann, who returned to college in 2008 as a part-timer. Mann served in the armed forces, so his tuition was covered by the GI Bill.

“I had a great time going to college. There was no pressure to fit in, I felt like I could really be myself since I wasn’t trying to establish a social circle. Classes that scared me in high school, like public speaking, were much easier,” adds Mann.

Going to college doesn’t guarantee a high return on investment, but according to Dashiell, it’s still worth it.

“It’s totally worth going to network, have new experiences, and discover interests you may not have discovered otherwise.”

Returning to college just for the experience might not make financial sense to everyone, but other reasons to go back to school as an adult include:

• Earning your first degree to earn more money. Having a college degree opens up opportunities for higher income. The latest data from the BLS reveals a high school graduate with no college education earns $899 per week on average. By comparison, workers with a bachelor’s degree or higher earn median weekly earnings of $1,493.
• Educational training to progress your career. Some fields require advanced degrees to qualify for employment positions at higher pay. If you’re looking for a specific career opportunity, you may be looking to pursue a master’s degree or higher.
• Switching career fields. If your existing degree isn’t related to the profession you’d like to transition into, you might need to return to college to earn a new degree.

Despite the rising costs of college and the potential for lost income while you complete your degree, your intended career path may warrant the expense.

Bottom line

No matter why you’re returning to school, there are ways to lower the cost of your education. Fill out and submit the FAFSA as the first step to paying for school as an adult. Then explore scholarships, grant opportunities or student loans to fill higher-education funding gaps.

While it may take some work to pay for school, returning to college as an adult can pay off if it helps you into a more fulfilling and lucrative career.

BestColleges is owned by Bankrate’s parent company, Red Ventures.