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Before You Spend $30k on ²ÝÁñÉçÇø School...

As I have often said on these pages, finding the right private school for your child is a process and a daunting process at that. There are a great many factors to consider. So, before you spend $30,000 or more on a year at a private school for your child, you need to ask five questions and be guided by the answers you receive:

1. Does it get the results you want?
2. Does what the school teaches comply with your requirements?
3. Will your child be happy there?
4. Is the school financially stable?
5. How will you pay for it?

There is a bit more to the process, of course, but asking these five questions will get you started on the extensive due diligence that you must do before you spend approximately $150,000 for four years of private day school or roughly $200,000 for four years of boarding school. Tuition varies from school to school. Some are much less. Some a great deal more. Also, we are only discussing high school and middle school. The primary grades will run you $8,000 - $15,000, depending on the school.

Another point to consider is that private schools in the United States are not subsidized by government funding. So they will charge whatever the market forces and their budgets determine can be charged and needs to be charged. Be aware that most private schools offer generous financial aid programs. Some schools will even pay for

One of my young employees was horrified to discover that a certain Los Angeles day school charges $30,000 tuition. "How do they pay for that?" was his shocked cry. It's difficult for a 24-year-old who's only making $40,000 to understand how families can afford college much less private school. So, exactly how does a family afford a private school education? Here are some ways they can make that special educational opportunity possible.

Scholarships

There are not many scholarships for K-12 private school students. Still, it is worth doing your research in this area to uncover the scholarships which do exist. Several states have programs set up which allow citizens to contribute to funding for private schools. Arizona and Washington offer special tax credits for gifts to private schools for scholarships.

This video offers an overview of Church Farm School.

Financial Aid

This is the most exciting part of the 'paying for private school' picture. Understand that each private school is independent. Each school stands on its own two feet financially speaking. That's why financial aid will vary from school to school. Older, established schools such as Andover and Exeter have substantial endowment funds. That's why they and a few other schools can offer virtually free education to students who come from families which make below a certain amount. $75,000, for example. But you will have to visit the schools' web sites to

It's certainly fun to navigate different private school sites and see what's out there. And you must do that, not only on your own but with your child. For all sorts of good reasons. Remember: your child needs to buy into this important decision. It mustn't be a unilateral decision unless the circumstances are exceptional such as your requiring a school for special needs or a therapeutic school. In those situations, obviously, you know best and will make the appropriate decision for your child.

There's another consideration we parents need to review carefully as we decide which private school is the best one for our children. And that's the cost. But don't just look at the price! Why? Because there are several factors in play when it comes to paying for a private school education.

1. Financial Aid

Depending on your financial situation the school may offer you a financial aid package. This could well have the effect of making that school that charges $25,000 a year as affordable, for example, as the school which charges $18,000 but offers no financial aid. So, ask questions and get the answers you need about financial aid. Financial aid programs vary from school to school. Assume nothing. Ask.

This video from the Parents' League of New York discusses financial aid for private school tuition.

2. Tuition-Free Education

The other factor to consider is that you may be able

Financial aid can be very confusing for many parents. You wonder whether you make too much to be eligible. Is there a specific time when you apply? Here are five facts most of us didn't know about private school financial aid.

1. You have to apply for it.

Applying for financial aid at most private schools is a separate process from applying for admission to the school. You also need to make sure that you apply early. This is particularly important if the school has no specific admissions deadline or rolling admissions.

2. You may be eligible for free tuition if your family income is below a certain amount.

Exeter, Andover, Groton, St. Paul's, and Deerfield all have financial aid programs that offer a tuition-free education to admitted students whose income is below a certain threshold. The threshold varies but is in the $60-75k range.

This video reports of free private school tuition.

" offers $25 million annually in need-based financial aid. Tuition-free attendance is available for families with incomes below $75,000."

3. There is a common application form.

Many private schools use a common financial aid form. This vastly simplifies the process of applying to several schools. You will have to fill out the Parents' Financial Statement (PFS) online at w. You can also complete a paper version of this application. This will

Money always talks. When you pay cash for something, no matter what that something is, you will get a better deal. Or the vendor will offer a cash discount. Or perhaps you can negotiate better terms. Nowadays the same thing applies to getting into private school. Assuming that your child offers everything the school is looking for, if the school knows that you do not need any financial assistance, you can be virtually assured of acceptance. Why is that? What's changed?

This video reports on the ways that the pandemic has affected schools.

The Perfect Storm

World events have a direct impact on private school endowments. They can shrink as much as 20-30%, even more, when the stock market becomes a bear market. You and I can see how a school's finances are impacted by reviewing their tax returns, the Form 990. Form 990 is the tax return not for profit organizations file each year. Most schools file at the end of their fiscal year which typically is June 30.

Added to the market conditions are the vast numbers of jobs that have been shed as companies have folded or downsized. That means there are fewer parents able to afford private school without at least some financial assistance. Another factor is that many parents who were counting on sending their children to private school are scaling back their spending. The result is that there are