This week NASFAA continues its celebration of Financial Literacy Month with a focus on responsible borrowing. Concerns about student debt repayments have led some to question whether borrowing for college has gotten out of hand. There is no doubt that taking on student debt isn't a decision to be made lightly, and a degree alone - without experience and hard work along the way - is not a magic bullet. Is it worth it to borrow for college? And if so, how much student debt is too much? This week our financial literacy series presents free resources to help students decide.

NASFAA also encourages you to share any effective practices you've used to increase student financial literacy by sending an email to news@nasfaa.org.

Responsible Borrowing

• Education Pays: The Benefits of Higher Education for Individuals and Society - Document

  This fact sheet from the College Board provides statistics and data about the economic, health and other benefits experienced by those who participate in higher education.

• Unemployment Rates by Educational Attainment - Graphic

  Education pays. This graphic from the Bureau of Labor Statistics, updated March 6, 2009, shows unemployment rates by type of degree received.

• Good Debt, Bad Debt - Web page

  When is it okay to borrow, and when are you better off paying cash? This article from Bankrate.com explains.

• Value of a College Education - Online Calculator

  This online calculator allows students to enter estimated earnings with and without a college degree, and calculates the difference in future earnings. It also provides a customized report in PDF format that students can save.

• Reasonable Educational Debt by Major - Online Calculator

  Based on academic major and repayment period, these calculators determine the average annual starting salary for the field and give the maximum manageable debt load and maximum manageable monthly payment.

  Undergraduate Calculator

  Master's Degree Calculator

  Doctoral Degree Calculator

• Should You Borrow to Replace Your EFC? - Online Calculator

  This calculator helps determine whether it is reasonable to finance part of the expected family contribution with student loans, vs. paying out of current income and assets.

• Student Loans - Podcast

  Student loans can be a great way to invest in education and advance professionally, but they are a financial commitment that shouldn't be taken lightly. In this episode, a CPA helps a young graduate manage her student loan after college. This podcast is part of the ‘Feed the Pig' national public service campaign, sponsored by the American Institute of Certified Public Accountants and the Ad Council.

• Education Tax Credits - Web page

  Don't forget to figure in the value of education tax credits for tuition and fees paid, as well as the deduction for student loan interest, which can partially offset the cost. NASFAA has prepared a Guide to 2008 Federal Education Tax Benefits.

Freebie of the Week

• Free Textbooks

  Textbook Revolt is a free textbook exchange program. Students offer used books and ask for the ones they want, free of charge.

Posted 04/08/09 to www.NASFAA.org. Redistribution to non-NASFAA institutions is prohibited. Please submit Web site questions or comments to Web@NASFAA.org.