New York University

College Budget

Edith Ordonez
How can HS students and parents begin
understanding how to pay for college?
★ Start researching the school of interest.
○ This will allow you to gain knowledge on how much the
tuition would be, dorming, and food plans.
★ Get on a budget
○ Getting on a budget allows you to create a spending plan
and ensures you that you will have enough money for what
you will be needing.
○ Gain knowledge on loans (subsidized, unsubsidized, and
direct)
 Benchmark 1:
● I went onto the NYU page
○ I found information the
tuition, cost of books, and
supplies
● Living expenses
● Personal expenses
● Loans
● Grants
Tuition and living expenses
Tuition: $51,828
● According to the office of financial
aid of NYU this would be the cost of
tuition for both on campus and off
campus students.
○ This does not include books,
personal/living expenses, and
transportation.
● Books: $824
○ This is not included in $51,828.
Living Expenses: $17,400
● I chose to live off campus because
every year i’d be saving about $800
compared to living on campus.
○ The $17,400 includes rent,
utilities such as water and
power etc, and groceries.
○ Living on campus would cost
me $18,156 which would only
consist of dorming and a food
plan.
Grants & Loans
● Went on the NYU Net Calculator ● Grants: $40,678
page ● Loans: $28,200
○ Put in your information ● Then we add our contributions
○ Put in parents annual
earnings.

The main idea of this benchmark was to do research on our school of choice
and for our net price to be $0 after getting all the info needed. I accomplished this by
adding the academic and personal expenses and then subtracting that number from
our income.
Benchmark 2:
Federal Student Aid website

● Subsidized Loan: do not accrue

interest while you are in school.
● Unsubsidized and Direct
Loans: accrue interests as soon
as the loan is taken out
● Work study: college program
that enables students to work
part-time while attending
school
 ● Interest rate
Loans and interest ○ Sub/Unsub: 5.05%
● For Subsidized and Unsubsidized ○ DirectPlus: 7.6%
loans there is a maximum amount
that you can borrowed. ● Grace Period: all 3 loans
○ It changes throughout the 4 have a grace period of 6
years
months.
○ Subsidized
■ Year 1: 3,500 Year 2: 4,500 ● Work study: up to 1,500
Year 3: 5,500 Year 4: 5,500 per year.
○ Unsubsidized:
The amount you can borrow
Direct PLUS Loans: no limit you
stays the same all 4 years at
can get whatever is needed.
$2,000.
Benchmark 3:
● “amount paid” formula

● compound interest formula

A: amount paid B: balance

P: principal T: time R: interest rate
M: months N: compound period
Takeaways:
While working on this presentation I got very used to working with both the

● “amount paid” formula

○ A=P x r/n (1+r/n)^m (1+r/n)^m - 1
● compound interest formula
○ B=P(1+rn)^nt.

I learned that getting on a budget can be very beneficial for not only the student but
the family that will be supporting us. The less loans you take out the better. Although
subsidized, unsubsidized, and direct loans all have a 6 month grace period, the best loan
to take out is definitely subsidized because you won't be paying back interest while
you're in school.