How to Compare Financial Aid Packages: A Side-by-Side Guide

Not All Aid Packages Are Created Equal

A school offering $40,000 in "aid" might actually cost you more than a school offering $20,000. The difference comes down to what's in the package: grants (free money), loans (debt), and work-study (a job).

Step 1: Find Your Net Price

Net price = total cost of attendance minus grants and scholarships only. Don't subtract loans — you have to pay those back. Don't subtract work-study — that's income you'll earn, not a discount.

Total Cost of Attendance includes: tuition, fees, room and board, books, transportation, and personal expenses. If a school doesn't list all of these, ask.

Step 2: Compare Loan Amounts

Some schools front-load grants freshman year and increase loans in later years. Ask each financial aid office: "Will my aid package look similar in years 2, 3, and 4?" Get it in writing if possible.

Step 3: Calculate Your Total 4-Year Cost

Multiply your annual net price by 4 (or 5 if the average time to degree is longer). Add estimated loan interest. This is your true cost of attendance — the number that actually matters.

Step 4: Factor in Earnings Potential

A $200,000 degree that leads to $85,000 starting salary might be a better investment than a $100,000 degree leading to $35,000. Use the Value Score to see which combination of school and major gives you the best return on investment.

Step 5: Appeal If Needed

If your top-choice school gave you less aid than a comparable school, call the financial aid office and ask for a review. Bring the competing offer. Many schools will match or improve their package — but only if you ask.