<p>Any thoughts about what is a reasonable amount of debt for an art student to assume, given the sort of money a commercial artist can expect to earn post-college?</p>
<p>My son has been accepted as an illustration major at RIT and we just got the financial aid package. Along with some merit aid, a need-based grant and work study, theyre offering a $2,625 Direct Student Loan (the maximum allowed for a freshman) and a $4,000 Perkins loan. Assuming those loan amounts stay steady for four years, he would come out with $26,500 in debt. </p>
<p>If he takes that much in loans, the money that leaves for my husband and me to pay is within our comfort zone. But Im leery of letting him go for the full amount, since theres no assurance that hell be able to earn a decent salary when he starts out. We could pay more and let him borrow less say, have him take the Direct Loan but not the Perkins. But Im not comfortable with paying a whole lot more. </p>
<p>Also, are they likely to ask him to borrow even more in subsequent years? Ill be calling the financial aid office tomorrow to ask this, but its Sunday and Im fretting, so I thought Id throw these questions out to you. </p>
<p>Were also waiting for a financial aid package from MICA, which, unfortunately, they dont mail until mid-April. Im guessing it will be harder to make MICA work than RIT, since the tuition there is higher. MICA is his first choice, but RIT is fine with him, too. Our fallback is a SUNY college that offers an illustration major, where we wouldnt need to rely on loans at all. But Im sure its worth incurring SOME debt to gain the kinds advantages he would at MICA or RIT.</p>
<p>Thanks very much for any insights you can offer.</p>
<p>I think most schools will offer students a Stafford loan. In general, the loan amount increases each yr (3,500 sophomore, 5,500 junior & senior). The max is set by the gov't and I've heard it's going up for next yr so I expect all colleges to increase the amt of loan offered. Hopefully your son got a subsidized Stafford loan (which I assume he did if he was also offered a Perkins loan). You might have your son take the Perkins loan (which is subsidized) and then help him pay it off when he graduates (if you're in a position to do so). The Perkins is a fixed 5% and the gov't pays the interest until after he graduates. You'd pay more for a parent loan. </p>
<p>I don't think these are large amounts - most schools will expect him to chip in that amount. By any chance, did he receive any merit $? My d goes to RIT and she got the School of Design Achievement award and a large RIT grant - she was also offered an $8000 RIT loan (which she declined and replaced with a smaller Perkins loan which we said we'd pay if she passed her classes). Unfortunately, we don't expect to qualify for these loans next yr so our/her costs will be much higher (all because of a small increase in salary). My d's roommate, who is an illustration major, received a Presidential award - I think it's worth $10,000 maybe.</p>
<p>My d was offered a better package (higher merit & higher FA) from Syracuse but the total cost was much more so it came out to about the same price.</p>
<p>I think the answer to your first big question is encapsulated by your reference to your own "comfort zone." You can reduce that expected debt if you go to the edge and perhaps beyond your comfort zone. Can you come up with ca. $3K more per year, and cut that total loan debt in half? If so, it's likely not to be that burdensome to your son.</p>
<p>While I think it generally "pays" off in one's career to get the best education one can get, there is also a huge amount of variation in career outcomes even among students who graduate from the same schools because of individual differences in talent, willingness to work, connections, and luck. So while I think it's helpful (on average) to go to the most credible program you can get into, there are no guarantees.</p>
<p>It's not unusual for BFA graduates in design/applied arts to take a while to find sources of income that allow them to be self-supporting -- this also depends on what their expenditures are, where they live, and so on. So your son might not generate much of a surplus, to so speak, to pay off loans. Of course, it's at that time, too, that you can come to his aid by covering his loan debt over the years (perhaps instead of upping your contribution to his expenses while in college -- i.e., let him get into $26K of debt with low interest loans, but you help to pay them off later).</p>
<p>We were fortunate not to have our kids end up with any college debt. #1 became financially independent immediately after graduation. #2 (our "artist," who graduated from RISD in industrial design) still gets a monthly stipend from us to augment her earnings (while living in uber-expensive NYC), and will continue to get one for another year or so, but she has no loans to worry about. So she can see the light at the end of the financial tunnel.</p>
<p>Jerzgrlmom and mackinaw, thank you both for your advice. Letting him borrow more money than wed expected and then helping him pay it off is something to consider. The interest would be lower than if we borrowed that money ourselves. </p>
<p>Jerzgrlmom, Ive enjoyed reading your various posts about your daughters experience at RIT. My son did get an achievement award, along with an RIT grant and, since were New York residents, a state grant. </p>
<p>When I spoke to a financial aid counselor today, I was glad to hear that they try to keep the grants and loans at the same level throughout the students time at the school. That is, as students becomes eligible for more Stafford money in later years, they dont reduce the grant and expect them to borrow more. </p>
<p>The picture may get better for us, anyway. The school calculated this offer based on the estimated figures we used in our FAFSA application. Now that the accountant is done with our taxes, I just updated our FAFSA with the real figures last Friday. Our EFC has gone down enough that I hope it will make a difference when they recalculate the financial aid within the next couple of weeks.</p>
<p>"When I spoke to a financial aid counselor today, I was glad to hear that they try to keep the grants and loans at the same level throughout the students time at the school. That is, as students becomes eligible for more Stafford money in later years, they dont reduce the grant and expect them to borrow more. "</p>
<p>Jdsmom,
That's good to hear. I assumed they would decrease the grant as the Stafford amount increased... if your son goes to RIT and wants to do work study, he might want to look into being a notetaker. My d just started doing it this qtr in one of her GD classes. You simply go to class and take notes. After class, you turn in a copy of your notes. You get paid for your time (taking the notes). RIT provides this service for deaf students enrolled in the class since they're busy watching the person signing and can't take their own notes.</p>
<p>//My son has been accepted as an illustration major at RIT and we just got the financial aid package. Along with some merit aid, a need-based grant and work study, theyre offering a $2,625 Direct Student Loan (the maximum allowed for a freshman) and a $4,000 Perkins loan. Assuming those loan amounts stay steady for four years, he would come out with $26,500 in debt.//</p>
<p>Honestly, $26.5K is chump change these days. </p>
<p>Why not have your son attend a community college to take a years worth of liberal arts courses that can transfer into RIT. You can probably work with the RIT admissions counselors to determine the right courses. You'll save considerable money this way. There is no reason to pay full tuition for an English Comp class at a private college when you can receive equal instruction at a state school of community college for a much nicer price.</p>