Tag: Affordable

  • America’s future depends on more first-generation students from underestimated communities earning an affordable bachelor’s degree

    America’s future depends on more first-generation students from underestimated communities earning an affordable bachelor’s degree

    I recently stood before hundreds of young people in California’s Central Valley; more than 60 percent were on that day becoming the first in their family to earn a bachelor’s degree.

    Their very presence at University of California, Merced’s spring commencement ceremony disrupted a major narrative in our nation about who college is for — and the value of a degree.

    Many of these young people arrived already balancing jobs, caregiving responsibilities and family obligations. Many were Pell Grant-eligible and came from communities that are constantly underestimated and where a higher education experience is a rarity.

    These students graduated college at a critical moment in American history: a time when the value of a bachelor’s degree is being called into question, when public trust in higher education is vulnerable and when supports for first-generation college students are eroding. Yet an affordable bachelor’s degree remains the No. 1 lever for financial, professional and social mobility in this country.

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    A recent Gallup poll showed that the number of Americans who have a great deal of confidence in higher education is dwindling, with a nearly equal amount responding that they have little to none. In 2015, when Gallup first asked this question, those expressing confidence outnumbered those without by nearly six to one.

    There is no doubt that higher education must continue to evolve — to be more accessible, more relevant and more affordable — but the impact of a bachelor’s degree remains undeniable.

    And the bigger truth is this: America’s long-term strength — its economic competitiveness, its innovation pipeline, its social fabric — depends on whether we invest in the education of the young people who reflect the future of this country.

    There are many challenges for today’s workforce, from a shrinking talent pipeline to growing demands in STEM, healthcare and the public sector. These challenges can’t be solved unless we ensure that more first-generation students and those from underserved communities earn their degrees in affordable ways and leverage their strengths in ways they feel have purpose.

    Those of us in education must create conditions in which students’ talent is met with opportunity and higher education institutions demonstrate that they believe in the potential of every student who comes to their campuses to learn.

    UC Merced is a fantastic example of what this can look like. The youngest institution in the University of California system, it was recently designated a top-tier “R1” research university. At the same time, it earned a spot on Carnegie’s list of “Opportunity Colleges and Universities,” a new classification that recognizes institutions based on the success of their students and alumni. It is one of only 21 institutions in the country to be nationally ranked for both elite research and student success and is proving that excellence and equity can — and must — go hand in hand.

    In too many cases, students who make it to college campuses are asked to navigate an educational experience that wasn’t built with their lived experiences and dreams in mind. In fact, only 24 percent of first-generation college students earn a bachelor’s degree in six years, compared to nearly 59 percent of students who have a parent with a bachelor’s. This results in not just a missed opportunity for individual first-generation students — it’s a collective loss for our country.

    Related: To better serve first-generation students, expand the definition

    The graduates I spoke to in the Central Valley that day will become future engineers, climate scientists, public health leaders, artists and educators. Their bachelor’s degrees equip them with critical thinking skills, confidence and the emotional intelligence needed to lead in an increasingly complex world.

    Their future success will be an equal reflection of their education and the qualities they already possess as first-generation college graduates: persistence, focus and unwavering drive. Because of this combination, they will be the greatest contributors to the future of work in our nation.

    This is a reality I know well. As the Brooklyn-born daughter of Dominican immigrants, I never planned to go away from home to a four-year college. My father drove a taxi, and my mother worked in a factory. I was the first in my family to earn a bachelor’s degree. I attended college as part of an experimental program to get kids from neighborhoods like mine into “top” schools. When it was time for me to leave for college, my mother and I boarded a bus with five other students and their moms for a 26-hour ride to Vanderbilt University in Nashville, Tennessee.

    Like so many first-generation college students, I carried with me the dreams and sacrifices of my family and community. I had one suitcase, a box of belongings and no idea what to expect at a place I’d never been to before. That trip — and the bachelor’s degree I earned — changed the course of my life.

    First-generation college students from underserved communities reflect the future of America. Their success is proof that the American Dream is not only alive but thriving. And right now, the stakes are national, and they are high.

    That is why we must collectively remove the obstacles to first-generation students’ individual success and our collective success as a nation. That’s the narrative that we need to keep writing — together.

    Shirley M. Collado is president emerita at Ithaca College and the president and CEO of College Track, a college completion program dedicated to democratizing potential among first-generation college students from underserved communities.

    Contact the opinion editor at [email protected].

    This story about first-generation students was produced by The Hechinger Report, a nonprofit, independent news organization focused on inequality and innovation in education. Sign up for Hechinger’s weekly newsletter.

    The Hechinger Report provides in-depth, fact-based, unbiased reporting on education that is free to all readers. But that doesn’t mean it’s free to produce. Our work keeps educators and the public informed about pressing issues at schools and on campuses throughout the country. We tell the whole story, even when the details are inconvenient. Help us keep doing that.

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  • Making Higher Education More Affordable: The Role of Financial Aid Strategies

    Making Higher Education More Affordable: The Role of Financial Aid Strategies

    Key Takeaways:

    • Financial aid optimization transforms financial resource allocation into a strategic enrollment tool, aligning affordability for students with institutional goals.



    • By leveraging real-time data and tools like Liaison Othot, institutions can craft tailored financial aid strategies that address individual student needs and enrollment strategies.



    • Optimization enables proactive adjustments to financial aid strategies, ensuring accessibility while supporting student retention and institutional sustainability.



    • Strategic financial aid leveraging balances affordability for students with long-term enrollment and revenue objectives.

     

    The rising costs of higher education and fear of long-term debt have left many prospective students and their families questioning whether they can afford to pursue their academic dreams. For institutions, this presents a dual challenge: attracting diverse students and ensuring enrollment goals align with their mission. An effective and aligned financial aid optimization strategy offers a powerful tool to meet a campus’s enrollment goals. By combining institutional funds with federal and state resources effectively, colleges and universities can increase access and affordability in higher education while achieving broader enrollment objectives.

    From offering enough aid to make tuition manageable to continuously refining financial aid strategies based on real-time information, optimizing plays a pivotal role in strategic enrollment management (SEM). It transforms financial aid awarding from a static process into a dynamic tool that not only attracts and enrolls students but also supports their retention by effectively meeting their financial needs.

     

    What Is Financial Aid Optimization?

    Financial aid optimization transforms the allocation of financial resources into a critical enrollment tool. By aligning the overall enrollment leveraging strategy—regularly and in real-time at the individual level—optimization allows campuses to address student affordability needs in a unique and tailored way.

    At its core, optimization is a dynamic, data-informed process. Institutions develop annual plans for allocating financial aid (leveraging), basing decisions on previous cycles’ successes and challenges. Unlike traditional static leveraging models, modern optimization approaches incorporate continuous adjustments informed by real-time data. This lets colleges and universities respond proactively to shifting enrollment trends and keeps their financial aid strategies effective throughout the year.

     

    How to Make Higher Education More Affordable and Accessible

    More accessible higher education starts with understanding the financial challenges students face. For many undergraduates, the cost of tuition, housing, books, and other expenses can make college seem out of reach, even with federal and state aid. For example, a student from a low-income household may find that even the maximum Pell Grant award leaves a significant financial gap. Similarly, a middle-income family might struggle to cover tuition despite not qualifying for significant need-based aid.

    Financial aid leveraging allows institutions to tackle these challenges head-on by creating tailored aid packages that remove financial barriers for students. This approach relies on a mix of need-based and merit-based strategies, often informed by tools like FAFSA data and predictive analytics.

    One of the key advantages of financial aid optimization is its flexibility. Institutions can use data to fine-tune aid offerings based on unique student needs and behaviors. For instance, Liaison’s Othot platform, a cloud-based predictive and prescriptive analytics tool designed specifically for higher ed, can analyze factors such as a student’s location, academic profile, and campus engagement to build aid packages thatneeds. This granularity ensures that the financial aid awarding strategy not only meets the affordability threshold for students also aligns with the overall enrollment strategy being employed on the campus. An aligned optimization approach ensures that the affordability component is integrated into the strategy for specifically targeted cohorts or students, maximizing the likelihood of their enrollment.

    Optimization also lets institutions adapt aid policies for entire cohorts or demographic groups. For example, schools can address rising inflation in high school GPAs by recalibrating merit-based awards to prioritize equity and maintain fairness in their financial aid distribution. This adaptability keeps aid plans relevant as the dynamics of higher education continue to shift. By relying on data and continuously streamlining their financial aid models, institutions can make higher education more attainable for all students while maximizing their impact.

     

    The Strategic Impact of Financial Aid Optimization

    Financial aid optimization goes beyond simply helping students cover tuition—it’s about achieving a delicate balance between affordability for students and sustainability for institutions. By carefully crafting aid packages that meet the financial needs of students without overextending institutional resources, colleges and universities can enhance their enrollment efforts while maintaining financial health.

    For example, reallocating funds for strategic distribution among students could result in higher net tuition revenue (NTR) without sacrificing enrollment numbers. This demonstrates how strategic adjustments can yield significant results when financial aid decisions are guided by data, tailored to meet institutional priorities, and aligned to overall enrollment strategies.

    Retention and persistence are critical factors to consider when determining how to optimize financial aid. An effective leveraging model doesn’t stop at enrollment and the conclusion of a successful first year—it considers the long-term success of students. By analyzing which cohorts are more likely to persist and graduate, institutions can refine their aid offerings to improve outcomes for all students. This approach ensures that financial aid strategies not only attract students but also support their success throughout their academic journey.

     

    Aligning Financial Aid With Student Success and Institutional Goals

    Financial aid optimization is a powerful way to make higher education more accessible while helping institutions achieve their objectives. By combining institutional, federal, and state resources with data-driven optimization tools, colleges and universities can craft aid strategies that address affordability, bolster student retention, and maximize their impact.

    Institutions looking to enhance their financial aid and enrollment can benefit from Liaison’s suite of solutions, including Othot. Whether your team is just beginning to explore financial aid leveraging or has years of experience, Liaison’s tools provide the flexibility and insights needed to meet your unique goals. From devising an initial plan to optimizing existing processes, our solutions are designed to assist schools at every stage of their journey. Contact us today to learn more.

     

     

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