Can I Afford Graduate School?
Financial Costs of Graduate Study
![]() |
When exploring the financial aspects of graduate study, the best places for cost and funding information are the financial aid office at the institution to which you are applying and/or the department offering the program. Of course, you’ll want to consider the cost of tuition and fees as well as living expense estimates. |
Budgeting
Make a budget to consider what you will need for income while attending graduate school (for example: income from a job, loans, or other funding). Don’t forget to consider the cost of living for the communities where institutions of interest are.
Existing Student Loans
If you have student loans from undergrad that will follow you to graduate school, you’ll want to explore your options for repayment. Certain federal loans can be placed in deferment where interest does not accrue while you are in grad school, but other loans don’t have this option. Forbearance is when you enter a period of non-payment, but interest still accrues, thus increasing the cost of the loan over time. There are other repayment plan options that could be available to you, depending on the lender, that you could choose to use if you’re able to pay on loans while attending grad school. | ![]() |
Retirement and Other Goals
![]() |
Don’t lose sight of other long-term financial goals as you consider investing in graduate education. Do you want to buy a house or car or have another major expense in the near future? How will you save for other expenses? Don’t touch retirement savings to pay for grad school, and if you don’t have a retirement account, start one before grad school if possible. Putting a little into retirement savings early almost always pays off more in the long run than large late investments. Check out this Beginner’s Guide to Saving for Retirement. |
Return on Investment
Especially if you are unsure about whether an advanced degree will open doors to higher earnings and be worth the cost, explore the return on investment of graduate school with the “Is Graduate School Worth the Cost?” tool. It can help show you when you will have paid for graduate school and outearned what you could have earned without the degree. Not sure about potential salaries for occupations of interest? Check out CareerOneStop.org and ONetOnline.org to search salary ranges by jobs and locations. | ![]() |
Other “Costs” of Graduate Study
It is also important to consider the impact on other aspects of your life when making the decision about whether to pursue graduate study. What are your expectations and goals for managing your time while in school? What are other responsibilities/obligations you must balance with continuing your education? Who else is impacted or involved in your decision making? Often, we think of pursuing graduate school as a way to more deeply dive into passion areas, and we want to be cautious of work/school-is-life culture.
Application Fees
Application fees for graduate programs can cost a lot. Many programs do offer fee waivers for students with limited resources. Reach out to the program to inquire about a waiver if information isn’t on their website.
For other strategies to financially prepare for graduate school, check out these resources: MoneyUnder30 / OnlineMastersDegrees