Vinson Pressley/ Contributing Writer
Students who do not receive enough scholarships or grants to cover the cost of their education may qualify for tax credit by filling out a 1098-T form.
The 1098-T form allows students who cover their educational expenses out of pocket to claim tax credit for those expenses and receive extra funds when they file to receive their income taxes. This is made possible by the American Recovery and Reinvestment Act which allows more parents and students to qualify for the American Opportunity Tax Credit according to www.irs.gov.
Individuals who qualify for this tax credit can receive a maximum of $2,500 per student.
Although this information is available on the my.fiu.edu portal, knowledge of this tax credit is not common and students are paying out of pocket without realizing their college expenses are tax deductible.
Malynda Point Du Jour, junior nursing major has not heard of this tax credit and pays for school out of pocket. Du Jour mentioned that FIU stressed how to pay for her courses and about loans but has never mentioned the 1098-T form.
“They didn’t tell me what options I have,” said Du Jour.
Du Jour has one job that attempts to cover about “60 percent” of her college expenses and admits that most of her checks go toward her college bills. “I can’t do the things I want,” said Du Jour.
Some students receive financial aid but still have to come out of pocket for expenses.
“I have grants but it’s not enough sometimes. I have to work,” said Oscar Cifuentes, sophomore psychology major. Cifuentes, who pays 30-40 percent of his tuition bill out of pocket, believes that FIU should have “more work-study opportunities” to help students pay for their college expenses.
Some students have to accumulate debt in order to fund their education. Jennifer Rye, a sophomore English major whose parents used to pay for her education before a sudden change in income, said she had to accept an unsubsidized loan in order to fund her education. “I felt bad at first [about having a loan],” Rye said but mentioned later on that without her loan, she wouldn’t be able to earn her degree by paying out of pocket.
Rye also felt that FIU should post more educational material about the scholarships and grans they offer; she also mentioned that FIU has financial aid opportunities, one just has to look for it.
Some students have their tuition expenses fully covered by financial aid but still understand the impact it could have if they didn’t have it. ”If I didn’t have the scholarships, I wouldn’t be in school. I wouldn’t be able to afford it,” said Catherine Mieses, freshman mass communication journalism major. Despite having scholarships, Mieses still feels the need to have a job to prepare for any changes in the future. “I still have to keep working just in case scholarships don’t come through,” said Mieses.
The Financial Aid Office at Biscayne Bay Campus refused to comment.
About Post Author
