Paying for higher education, trade schools, and apprenticeships
Follow this guide to help manage the high costs of education.
Getting a college degree
If you plan to go to college, start your financial planning early. Set a budget and savings plan and stick to it.
Savings plans – ScholarShare 529 is a California tax-advantaged savings plan for educational expenses. Anyone can open an account at any time with contributions of any amount.
Financial aid – Awarded through Federal Student Aid (FAFSA) and is not paid back. It’s important to understand your FAFSA package. Access all available free financial aid before taking on student loans. Apply here:
- Federal Student Aid Application (FAFSA form)
- California Dream Act Application (for undocumented/dreamer students)
You must attend a Title IV accredited school to receive federal financial aid. Check your school’s accreditation here:
- Department of Education
- National Center for Education Statistics College Navigator
- Bureau of Private Postsecondary Education
Types of free financial aid:
- Grants – Aid awarded on the basis of a family’s financial need.
- Work Study – Earnings from a job to help pay for school expenses.
- Scholarships – Aid awarded on the basis of academic merit, talent, or a particular area of study by a college, company, or organization. You can apply as early as ninth grade and for as many as you want.
Student Loans – Student loans must be paid back with interest. Borrowers can have both federal and private loans.
- Federal student loans – Money borrowed from the Department of Education to pay tuition and educational expenses. They are only available if you attend a Title IV accredited school.
- Private loans – Money borrowed from a bank, credit union, state agency, or school. How much you can borrow is based on your available credit. They have varied or market-driven interest rates.
Before borrowing, determine the return on investment of your education – how much you expect to earn versus the cost of the degree. For example, the average starting salary of a bachelor’s degree is $58,862. Never borrow more than you expect to earn in your first year after graduation.
If you need help managing your student loans, contact the Student Loan Empowerment Network or call (888) 774-2227.
Pathways to College Dashboard – Launched by Governor Newsom in April 2025, the Cradle-to-Career (C2C) Data System links datasets from the K-12 and higher education, social service, and workforce sectors. Students and families often make decisions about education and career pathways with limited and disconnected information about outcomes. This dashboard can help navigate this information gap to make more informed decisions.
College degree alternatives
Not every student thrives at a college or university. Consider these alternatives:
- Trade schools – A post-secondary educational institution, also known as a vocational or technical school, that provides hands-on training necessary for skilled trades, such as automotive repair, welding, healthcare, and technology. They often have lower tuition costs and faster graduation timelines than colleges. Shop around for the program that best fits your needs and budget. Before paying or taking out a loan, check the school’s accreditation, job placement rate, reputation, and reviews.
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Apprenticeships – On-the-job training programs aimed at skilled technical careers, particularly in the trades. They pay a progressive salary, allowing apprentices to earn a living while working toward their chosen professions. Some apprenticeship programs offered in California include:
Registered Apprenticeship Program – This California Division of Apprenticeship Standards (DAS) program offers participants on-the-job training, educational instruction, and paid employment while they learn a trade.
Apprenticeship Innovation Funding (AIF) – The Interagency Advisory Committee on Apprenticeships (IACA) offers apprenticeships in nontraditional industries like the building and firefighting trades.
High Road Training Partnerships – The California Workforce Development Board (CWDB) provides funding for specialized training in healthcare careers.
California Opportunity Youth Apprenticeship (COYA) Grant – Helps young people ages 16 to 24 who are out of school or unemployed. This funding supports pre-apprenticeship and apprenticeship programs that provide hands-on, real-world job training, helping to remove barriers to employment.
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