Working Your Way Through College: Myth or Reality?

How many times have you heard someone complain that there wouldn’t be a student loan crisis if youngsters had a decent work ethic?

Well, we’re here to tell you that things are most definitely not that simple. According to new research from The Education Trust, “the idea that one can work one’s way through college with a minimum-wage job is, in most cases, a myth.” 

The research shows that on average, low-income students need to work 26 hours per week (50 weeks per year) – on top of their full-time studies –  to make up the gap between their college costs and their expected college aid.

The study looked at first-time, full-time students at public universities who received Title IV aid, meaning their families earned less than $30,000. If anything, the numbers are on the conservative side, as they don’t take into account taxes, middle-to-high income families, or private universities.

In 47 out of 50 states, low-income students need to work more than 15 hours a week, making the Lumina Foundation’s “Rule of 10” Affordability Benchmark out of reach for the vast majority of low-income students. The Rule of 10 is a framework for defining college affordability and states that in order to be affordable, a family’s contribution should be capped at savings from 10% of their discretionary income over 10 years, with students working 10 hours a week while in school. 

For public community and technical colleges, the situation is only slightly better, with the average hours need to work at 16 and 12 states requiring 20 or more hours.

At Funding U we believe in both hard work and the value of a college education. However, there is a limit to the time and effort a student can give to work outside the classroom while still achieving their education goals. That’s why we provide ‘gap loans’ to students without the need for a co-signer, to help close the affordability gap without undermining a student’s education.

Disclaimers
General Disclaimer
Funding U creates informational content that is of interest to prospective borrowers and our applicants. The information included in this blog post could include technical or other inaccuracies or typographical errors. It is solely your responsibility to evaluate the accuracy, completeness and usefulness of all opinions, advice, services, merchandise and other information provided herein. FUNDING U IS NOT RESPONSIBLE FOR, AND EXPRESSLY DISCLAIMS ALL LIABILITY FOR, DAMAGES OF ANY KIND ARISING OUT OF USE, REFERENCE TO, OR RELIANCE ON ANY INFORMATION CONTAINED WITHIN THESE BLOG POSTS (INCLUDING THIRD-PARTY SITES).
Third Party Brands

No brands or products mentioned are affiliated with Funding U, nor do they endorse or sponsor this article. Third party trademarks referenced herein are property of their respective owners.

External Websites
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by Funding U. Links are provided for informational purposes and should not be viewed as an endorsement.
Funding U Loan Products
Loans are made by Funding U which is a for-profit enterprise. None of the information contained in Funding U’s website constitutes a recommendation, solicitation or offer by Funding U or its affiliates to buy or sell any securities or other financial instruments or other assets or provide any investment advice or service.
0 Shares: