Most financial advisers know that higher education for children or grandchildren is a major goal and expense for most families. I find that too often parents do not do enough homework on college financial assistance in terms of loans or scholarships. That is a very big financial mistake as there is much available whether your kid is a genius or not. Be smart about planning for college expenses and do some research.

As most high school students begin to breathe a sigh of relief that they are finally finished with all their college applications, many parents are turning a laser focus on how they are going to pay for it all. This is especially true in light of the ravages of 2008 on investment portfolios. Those who had been saving and investing for children to attend college have seen much of that value erode in the past 12 months and are wondering how to make up the difference.

Added to the damage in the financial markets is the ever rising cost of higher level education. According to www.collegeboard.com, tuition and fees at the average four-year private university for 2008-09 run $25,143 and average $6,585 for a four-year public university (up 5.9 percent and 6.4 percent, respectively, from last year). That does not include costs for room, board, books and other typical college expenses.

Despite this gloomy news, there is hope. When you consider federal, state, institutional and private sources, there is more than $143 billion available to students and parents through various forms of financial aid. This includes grants and scholarships, work-study assistance and loans. The challenge is identifying what you qualify for and how to put together a mix of them.

The Minnie Stevens Piper Foundation here publishes a great booklet with much of this information in it. The “Compendium of Texas Colleges and Financial Aid Calendar” has been around for decades and is updated each year. For many people, this has become the bible for financial aid for higher education. High school counselors across the state should have copies available to students in their offices.

Additionally, there are great resources available on the Internet. The Piper Foundation's Compendium also is posted on the Web site www.everychanceeverytexan.com, which has many tools, tips and timelines for those both preparing to pay for college in the future or in the midst of that expense now. The College Board Web site (www.collegeboard.com) is also an excellent resource.

High school counselors keep current on what is available nationally, but they also can be very helpful on directing you to local aid. Many community organizations, as well as local unions and corporations, offer scholarships. With San Antonio's long and strong ties to the armed forces, there are also many aid programs offered through the various branches of the military. A high school counselor will be familiar with the selection criteria for many of these resources.

Always check with the college or university financial aid office where your child is applying. The financial aid officer controls the great majority (up to 90 percent) of all available student aid. Working closely with them will help you apply for the correct grants and loans, define your family contribution amount and see what sort of work-study program will be best given the demands of that particular school or chosen course of study.

Remember:

Save as much as you can ahead of time. Better to pay now than pay later, if at all possible.

All financial aid requires that you apply for it.

Start early. Most financial aid is awarded on a first-come, first-served basis.

Cast a wide net. Don't forget to look for small grants and scholarships based on your family heritage, field of interest, employment, religious affiliation, etc.

Never pay for scholarship information. This information and many online services are free.

Is college “worth it” from an economic perspective? Absolutely. A 2007 College Board study, “Education Pays,” suggests that those with a college degree earn 60 percent more than those who only finished high school. Over a lifetime of earnings, the potential earnings difference is more than $800,000, on average.

This is an investment in your future that won't need a bailout.