If this is the first time going through the process, we feel you. You're getting that feeling of trepidation, wondering where your kids will be six months from now. Will they get into their school of choice? Will they be able to foot the bill on their own? Or with some help from you? If not, do you think they will still be able to attend that school of their choice, with financial aid, grants and scholarships?

It's hard to keep a calm facing all of it. Here are some things you need to know.

About the FAFSA

When your teen applies to the universities of his or her choice, they'll have to fill out a Federal Assistance for Student Aid, or FAFSA form. It's valid for United States citizens and permanent residents. It is a mandatory form and part of the process of determining how your kid (or you) will pay for college next year. The deadline for this year is June 30, 2025.

This form is really about you: your earnings, your savings, how much you pay in taxes and well, how much you can afford to help your kid. It will also examine any student-oriented savings plans that you have in place, and any trust funds in place to help your child through college.

They ask for a whole lot of information, and FAFSA will be the ones forwarding your kids (your) financial information to any school where your child applies. This way, universities, colleges and specialized schools can see whether the student can afford their education; and, if the application is approved, provide her/him with financial assistance if they qualify.

After that, you'll be informed of what kind of aid you can expect for each college listed as one of your child's choices.

Following is basic information about the different types of assistance available for higher education.

Grants

Grants are gifts to specific students for their education. They have specific requirements, which can vary widely: some are for students under financial hardship, others for specific familial situations, and some others even for intent or field of study. An example of these is the TEACH federal grant, which a student might receive in exchange for committing to a teaching position in a low-income area after graduating.

When your child's FAFSA is evaluated, he or she will qualify for a variety of federal grants, and you'll receive information soon after filing it.

Loans

Your child will qualify for a certain amount of student aid in the form of loans. While we don't advocate of teens mortgaging their lives away for their education, these federal loans have the lowest available rates around. It also helps that students need not start to pay them until after they've completed or stopped their studies. Plus, the federal government works with them after they finish studying and start working, to determine suitable payments that work for everyone.

Financial institutions, like the Credit Union, also offer student loans for U.S. citizens and residents intending to attend higher education institutions in the United States. The terms, fees and rates vary, and they can help cover some of the expenses.

Scholarships

Scholarships are also free gifts from many different kinds of organizations and governments. Some of them are merit-based (academic scholarships) while others help specific groups; for example, some scholarships are for seniors, or people going back to school later in life. Of course, the vast majority of scholarships are for young students.

FAFSA will not provide you any scholarship results, and you must find them on your own. In the days before internet, this was both a nightmare and a blessing; you had to either trust your child's high school advisor to suggest likely scholarships. Or you had to go to a college library and look through a huge book that listed all scholarships available in the United States. In those days, not so many people applied for each scholarship, and they were easier to get. Nowadays the blessing is backwards: every single scholarship is available online, but that means that they are available to you and everyone else, too.

International students

Finally, for those who are not United States citizens or residents. There are grant and scholarship programs for foreign students who want to come to the United States to study. Here's a comprehensive list of the main ones.