Could you afford to go back to school?

WE’VE probably all thought about it at some point. Going back to school. But could you actually do it and what would it cost?

Could you do school all over again?

HEADING back to study comes with financial challenges for most but doesn’t have to mean years of baked beans and penuary.

Redundancy, the search for a better work/life balance and dreams of a new career or a fatter pay packet will inspire thousands to return to the class this year.

For many it will require tightening budgets to accommodate costs that come with mature-age study including childcare, distance residential schools, and reduced working hours. And that’s aside from wider tertiary education outlays that run into tens of thousands of dollars such as enrolment fees, student services costs and loans, books and equipment.

But these constraints can be overcome and here are some ways to help you achieve your study goals.

A COURSE FOR ALL BUDGETS

Costs of courses vary dramatically depending on what, where and how long you study so the first step for prospective students is to compare what’s on offer and do the maths. Many education institutions have online fee estimators.

MoneysaverHQ found that an MBA at Sydney University will set you back $60,000 (internal study) compared to $18,000 (online) through Central Queensland University.

All Australian tertiary institutions charge fees but a one-year diploma will cost thousands of dollars less than a three-year degree and may provide the niche qualifications you need.

Some workplaces will pay for your study, and this should be your first avenue of inquiry, says MBA graduate Nicole Swaine.

Swaine undertook the course at Adelaide University and was promoted from general manager to CEO of her company.

TUITION REIMBURSEMENT THROUGH WORK

“Definitely have the conversation with your employer to see if they will offer any financial assistance for your study, as well as general support from your direct manager if you require flexibility with work hours,” Swaine says.

Swaine’s firm reimbursed most of her costs but she still did her financial homework to maximise all available benefits.

“I researched what was available in government assistance and then sought the advice of my accountant on whether that assistance would impact on other areas of my remuneration package such as salary sacrificing,” says Swaine, who now runs a consulting business.

“If the degree is directly related to your work, look into whether you can claim tax deductions on expenses such as the course fees, books, parking, travel and upgrades to your home software,” Swaine says.

Also ask your employer or HR representatives whether salary sacrifice arrangements are available on your course fees. This can bring down your taxable income.

MORE HELP WITH COURSE COSTS

Mature-age study is such big business for tertiary institutions that all offer a well-rounded suite of financial assistance including grants and short-term loans for study-related expenses. This can range from a $250 grant towards the cost of a laptop to interest-free loans for accommodation costs.

It is also worth inquiring whether you are eligible for a scholarship to cover costs, says Professor Kerri-Lee Krause, Victoria University’s senior academic administrator.

The university is just one of many tertiary outlets offering a wide range of scholarships for mature-age students.

“Additionally, we have a student-as-staff program where we employ students in roles around the university,” Krause says.

Nursing, teaching, accounting and an MBA are some of the university’s most popular courses with mature-age students.

“We offer these courses part-time, in blocks, or in the evenings so students can continue working while they study,” Krause says.

And students can also benefit from having a student concession card which offers discounts on a wide range of goods and services both in Australia and overseas.

GOVERNMENT ASSISTANCE

The federal government and many banks offer specific loans to assist students. A number of these programs allow deferred payments until after graduation. Some of the programs even defer the interest of loans until course completion.

Government assistance for mature age study is available to all Australian citizens but as this varies considerably depending on your circumstance, it is worth seeking advice. In general all Aussie citizens are eligible for Commonwealth Government-funded loans (FEE-HELP for Higher Education and VET-HELP for TAFE). That means you can defer your fees and pay them back through the ATO when your income reaches a certain amount.

To find out what is available visit the Study Assist website or call the Department of Industry student inquiry line on 1800 020 108.

Originally published as Could you afford to go back to school?