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A pass/fail grading system allows a student to receive either a grade of “P” (pass) or “F” (fail) for a particular class instead of the usual letter grading system. Many colleges offer this option in order to encourage students to explore new academic areas without having to worry about it affecting their transcripts.

However, the pass/fail grading system comes with some limitations, including restrictions on which and how many classes you can take pass/fail each year. And, in some cases, taking a class pass/fail can still have an impact on your academic record.

Read on to learn exactly what pass/fail means, what a passing (and failing) grade is, and when to consider a pass/fail option.

How Pass/Fail Grading Works

The traditional grading system was initially established centuries ago by English universities like Oxford and Cambridge as a way of encouraging students to work harder. While letter grades may still be the dominant system in American universities, some schools have deviated from this structure, establishing their own ways of evaluating students largely based on the pass/fail system.

Reed College in Portland, Oregon has a unique style of grading that encourages students to “focus on learning, not on grades.” While students are still assigned grades for each course, these grades are not distributed to students. Instead, students are given lengthy comments and reports on their academic performance. Reed does not have a dean’s list or honor roll either.

At Brown University, students can take an unlimited number of classes “satisfactory/no credit (S/NC),” and GPAs are not calculated. They also do not name students to a dean’s list.

Some schools, including Swarthmore College and MIT, have students take all classes pass/fail in the first semester of their freshman years. Swarthmore’s policy is meant to encourage students to stretch themselves and take risks, and is aligned with their policy of collaboration as opposed to competition with classmates. MIT’s policy is designed to help students adjust to increased workloads and variations in academic preparation and teaching methods.

In both cases, taking the emphasis off grades is meant to improve students’ experiences of higher education, helping them to take full advantage of their time on campus.

Of course, most schools emphasize letter grades more than Brown and Reed, as it allows them to distinguish high achievers and highlight specific areas where students excel or may need to improve.

It’s common, however, for colleges to allow students to take one class pass/fail per semester. Typically, this is only offered for elective (not core) classes. Often, a grade of “P” is equal to a grade of D- or higher, but has no impact on the student’s overall grade point average. A grade of “F,” however, will usually have the same effect on the grade point average as a traditional failure.


💡 Quick Tip: Private student loans offer fixed or variable interest rates. So you can get a loan that fits your budget.

What Are the Benefits of Pass/Fail?

While college can be a rewarding and stimulating time for students, it also has its challenges, including constant pressure to keep up your grades. The beauty of taking a class pass/fail is the sense of freedom it gives you — once the stress of getting a perfect grade is removed, you are at liberty to fully embrace the kind of intellectual curiosity that should be at the heart of a college experience.

Maybe you’re a pre-med student and want to take a painting class, or perhaps you’re majoring in sociology and want to dabble in art history. These options can lead you down unexpected paths, opening creative doors you might have avoided if you were solely focusing on your GPA.

Recommended: How Grades Affect Your Student Loans

The Limits to Pass/Fail

The pass/fail system also has some potential downsides. One is that should you end up doing really well in the class, you generally can’t change your mind and ask to take the class for a grade rather than pass/fail. By the same token, if you do poorly in a class, you can’t make a belated request for a pass/fail.

In addition, pass/fail grades generally don’t count toward a major or minor, which limits your options when deciding whether or not to go this route.

While it’s hard to know for sure, some students feel that taking a higher number of pass/fail classes could reflect poorly on their college academic record and be a strike against them when applying for a job or to graduate school. However, it’s also possible that a potential employer or an admissions officer might be impressed by a student’s breadth of study and sense of initiative in studying “outside the box.”


💡 Quick Tip: Master’s degree or graduate certificate? Private or federal student loans can smooth the path to either goal.

The Takeaway

Taking a few of your classes pass/fail can be a great way to explore new academic areas of interest during college, and is unlikely to adversely impact your post-grad opportunities, including summer internships, employment, and graduate school.

Whether you take a class pass/fail or for a letter grade won’t have any impact on how many credits you get from the course — or the cost of tuition. If you’re concerned about how you’ll cover the cost of your education, keep in mind that you have a range of options — including savings, scholarships, grants, work-study programs, and federal or private student loans.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

How does pass/fail grading work?

Pass/fail grading simplifies academic evaluation by assigning a “pass” for satisfactory performance and a “fail” for unsatisfactory performance, typically without letter grades. It reduces pressure and allows students to explore subjects without impacting their GPA.

Does pass/fail hurt your GPA?

Pass/fail courses generally do not affect your GPA. A “pass” does not add points, and a “fail” may or may not lower it, depending on the institution’s policy. Check your school’s guidelines for specific details.

Does a pass/fail class look bad?

Pass/fail courses typically don’t impact your GPA. A “pass” doesn’t add points, while a “fail” might or might not lower it, depending on your school’s policy. Always check your institution’s guidelines for clarity.

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SOISL-Q325-045

After paying for tuition, fees, and housing, you may think you’ve got the cost of college covered. Not so fast. There is a hidden additional expense students face soon after they arrive on campus — the textbooks, online access codes, and supplies required for each class.

Despite increased use of e-books, the cost of course materials — necessary to be students in class — remains steep. According to Best Colleges, the average annual cost of textbooks at a four-year public college is $1,370. If you complete your degree in four years, textbooks can add more than $5,000 to your overall education expenses.

Fortunately, there are ways to pay for college books, including grants, scholarships, and student loans. You may also be able to get some of your textbooks on the cheap — even free. Here’s what you need to know.

How Much Do College Textbooks Cost?

If you’re wondering how much college books cost, here’s a closer look. Hard copy college textbooks can run as much as $400, with an average price falling somewhere between $80 and $150. You may need more than one book for each class, plus other supplies and materials, which can all add up.

The average college student spends more than $1,300 annually on textbooks and supplies for classes each year. That’s about 39% of tuition in a community college or 14% in a public four-year college.

According to the Education Data Initiative, prices for college textbooks increase by 6% each year, which is faster than tuition inflation (which is 4.8% per year).

Why Are Textbooks So Pricey?

One reason textbooks are so expensive is that only a few publishers control the industry. Almost 80% of the textbooks industry in the U.S. is dominated by five publishers. This lack of competition allows publishers to command steep prices. Publishers also know they have a captive audience — textbooks are a college essential, so students are forced to pay whatever price the market serves up.

While digital books typically cost less than hardcovers, that’s not always the case with college textbooks. Some schools have online access agreements or contracts with publishers. This means that students must purchase a code to access all of their course materials online, typically at full price. Digital textbooks also eliminate some of the ways students can save money on print versions, like sharing, borrowing, or buying used materials.


💡 Quick Tip: You can fund your education with a low-rate, no-fee private student loan that covers all school-certified costs.

Grants and Scholarships That Pay for College Textbooks

There are a number of private scholarships and grants designed specifically to help pay for college books. You can search for book scholarships using online tools like FastWeb, Scholarships.com, and SoFi’s scholarship search tool. You may also want to check out these book-specific scholarship opportunities:

•   BookScouter: Every quarter, BookScouter awards $500 to a student to be used towards purchasing their textbooks. To apply, you need to fill out a questionnaire and record a short video.

•   Book Lover’s Scholarship: Bold.org offers $500 to support students who love reading books and believe in the power of reading to transform their lives. To apply, you need to tell them: If you could have everyone in the world read one book, what book would you choose and why?

•   Wilhelmina Foundation: The Wilhelmina Foundation’s Textbook Scholarship offers $500 to qualifying students throughout the state of Florida to help them pay for college books.

•   Carl A. Scott Book Scholarship: Every year, the Carl A. Scott Memorial Fund awards two $500 scholarships — one to a student pursuing a bachelor’s in social work, and the other to a student obtaining a master’s in social work degree.

Recommended: Finding Free Money for College

11 Tips to Spend Less on College Textbooks

These tips can help you keep up with your studies without breaking the bank.

1. Split the Cost with a Classmate

When thinking about how to pay for college textbooks, you might consider splitting the cost of books with a classmate to cut down on textbook expenses. While it may seem inconvenient, it could pay off.

There are a few ways to make sharing a textbook work. Try alternating study days so you each have the time you need to get your work done. Or, alternate highlighter colors to keep your notes straight. And as an added bonus, you have a built-in study buddy.

2. Buy Used Books

Sometimes on- and off-campus books stores will sell used copies of textbooks. You can also find used textbooks online at popular sites like Chegg, Abebooks, and Amazon. While you can’t examine the book before you buy online, you can often select the book’s condition.

When searching for used books, it’s important to make sure the book is the correct edition. The easiest way to confirm this is by using the book’s ISBN (a code that identifies specific book editions) to search.

Recommended: College Freshman Checklist for the Upcoming School Year

3. Rent Instead of Buy

In some cases, you may not need a particular text book after the semester ends. In those instances, you might consider renting. On average, renting textbooks can save you 50% compared to buying a new, printed textbook.

Some campus bookstores now offer the option of renting textbooks for a semester. Typically, you rent the book at the start of the semester and return it the first business day after finals. You can also rent textbooks through a number of online companies, including Chegg, CampusBooks, eCampus.com, and ValoreBooks. It can be a good idea to shop around and compare rental costs.

4. Get the E-Book

Printing costs are one reason for expensive textbooks. However, if you don’t need to have a physical copy and you’re not required to buy an access code through the school, you could save on college books by going with the e-book version. You can read it anywhere — your computer, tablet, or phone. Going digital can be particularly advantageous for textbooks you will refer to in the future, since the electronic version will typically include free updates.

You can buy e-textbooks from a number of online outlets, including Amazon, BooksRun, and Chegg.

Recommended: How to Save Money in College — 20 Ways

5. Find a Book Swap

Some schools have clubs or organizations that run book swaps. This is where you turn in a book you’re not using to get one you need in return. While not all campuses and colleges have this available, it could be worth looking into.

You might also check with upperclassmen to see if they might be willing to sell you a textbook or even let you borrow it for the semester.

6. Settle for an Older Version

Many textbooks have new versions released every year or every few years. Sometimes professors request you have the newest version available, but not always. Check with your professor to see if an older issue is acceptable for the course.

Recommended: 10 Money Management Tips for College Students

7. Try the Library

Some classes don’t rely on books as much as others. If you know that a class will be light on the required reading, you can save on college textbooks by heading to the library. Be mindful that other students in the class might already have the same idea as you. In that case, it’s a gamble to see if you can take out a book that may not be available.

Some schools have reserve copies of textbooks in the library that you can borrow for a specific amount of time. This could mean you can get your assigned reading done without purchasing the book. But know that these library textbooks usually have some borrowing restrictions, so you may need to plan ahead.

Recommended: The Ultimate Guide to Studying in College

8. Tap into Student Loans

When you take out student loans, you can typically use that money to cover the cost of attendance, which includes not only tuition and fees but also other expenses necessary to earn your degree, like textbooks. If you have scholarships and grants, they can typically also go toward your textbooks.

If you aren’t eligible for federal financial aid or have reached the borrowing maximum for federal loans, an in-school private student loan can be a useful alternative.

With private loans, you can borrow up to 100% of the school-certified cost of attendance, and the loans can be used for textbooks, supplies, and other college expenses. Just keep in mind that private student loans may not offer the borrower protections — like income-driven repayment plans and deferment or forbearance — that come with federal student loans.


💡 Quick Tip: Would-be borrowers will want to understand the different types of student loans that are available: private student loans, Federal Direct Subsidized and Unsubsidized Loans, Direct PLUS Loans, and more.

9. Sell Old Textbooks

The cost of college textbooks is an unavoidable expense, but that doesn’t mean you can’t get some of your money back.

You may be able to sell textbooks you’re finished with back to the bookstore where you bought them for immediate cash. Or, you might be able to sell them online at sites like Amazon, BooksRun, CheapestTextbooks, BookScouter, or Chegg. When you sell online, the process is often as simple as entering your book information, accepting an offer, sending it in, and getting paid.

If you know students who are going to take the same class you just took, you might offer to sell your textbooks to them for less than they would pay for a used book at the bookstore, but more than you would get in a buyback, for a win-win.

10. Use Open Educational Resources (OERs)

Open educational resources (OERs) are course materials available for free online that can be downloaded and shared. A growing number of universities are allowing their faculty to adopt OER course materials to help reduce costs for students. You can find these free educational materials at OERCommons .

There are also other sites that offer free access to textbooks, including Project Gutenberg and OpenStax from Rice University.

11. Use Textbook Price Comparison Sites

These days, it’s fairly easy to compare textbook prices before you buy to make sure you’re getting the best deal. Some comparison sites to check out:

•   Amazon Offering one of the largest selections of college textbooks, you can access a large number of sellers on Amazon.

•   AbeBooks This website has a deep database of textbook sellers (including local sellers) to help you find the lowest available price.

•   BigWords This is a search engine designed to help you find the best prices and shipping costs on college textbooks.

•   Bookscouter This site compares a large number of textbook websites to help you find the best price to both buy and sell your textbooks.

•   CheapestTextbooks This is a free price comparison page for buying, renting and selling textbooks. They also price-compare e-books for rent or purchase.

•   SlugBooks Here, you can search by author and title or ISBN to find the best online deal for textbooks.

The Takeaway

Depending on your class needs and personal preference, you may be able to significantly cut the cost of college textbooks by heading to the library or opting for an e-book, a textbook rental, or a used copy of the book.

In addition, you might seek out and apply for a book scholarship to help cover some of your textbook expenses. If you have any type of student loan and can use it to make your textbook purchases, those funds can also be a big help.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

What percent of college students can’t afford textbooks?

Around one in four college students decide not to acquire at least one course material, according to a 2023 survey from the National Association of College Stores. According to the Education Data Initiative:

•   25% of students say they have worked extra hours to pay for their books and materials

•   11% of students report skipping meals in order to afford books and course materials

•   One in five students say that the cost of books and materials directly influences their decision on what classes to take

How much should I budget for textbooks?

The average full-time college student pays $1,370 for books and supplies in one academic year.

How do I use my financial aid to pay for textbooks?

Typically, financial aid money is sent directly to the school. If you have money leftover after covering tuition, fees, and other school charges, the school will make the money available to you to pay for textbooks no later than the seventh day of the term.

About the author

Julia Califano

Julia Califano is an award-winning journalist who covers banking, small business, personal loans, student loans, and other money issues for SoFi. She has over 20 years of experience writing about personal finance and lifestyle topics. Read full bio.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SOISL-Q325-035

If your parents are high earners, you might assume you won’t get any financial aid to help pay for college. But that’s not necessarily the case. The Department of Education doesn’t have an official income cutoff to qualify for federal financial aid. So, even if you think your parents’ income is too high, it’s still worth applying (it’s also free to do so).

Read on to learn how to get financial aid for college when you think your parents make too much money, as well as how to pay for college costs if you don’t qualify for financial aid.

It All Starts With the FAFSA®

The first step to knowing whether or not you qualify for any financial aid is to fill out the Free Application for Federal Student Aid (FAFSA®). Even if you think your parents make too much to qualify for financial aid, it’s a smart idea to fill out and submit this form.

For one reason, there’s no income cutoff for federal student aid, so you may be surprised by what you are able to qualify for. For another, the FAFSA gives you access to non-need-based aid, such as Direct Unsubsidized Loans and institutional merit aid.

Who Determines Aid Amount and Type?

The financial aid office at your chosen college or career school will determine how much financial aid you are eligible to receive. Here’s a look at what goes into the decision.

1. The first factor considered is the cost of attendance (COA), or what it costs a typical student to attend a particular college or university for one academic year. Cost of attendance includes tuition and fees, as well as books, lodging, food, transportation, loan fees, and eligible study-abroad programs.

2. Then the school considers your Student Aid Index, or SAI (formerly called Expected Family Contribution, or EFC). Your SAI is an eligibility index number that results from the information that you provide in your FAFSA.

3. To determine how much need-based aid you can get, the school will subtract your SAI from the COA. Need-based aid includes Pell Grants, Direct Subsidized Loans, and Federal Work-Study.

4. To determine how much non-need-based aid you qualify for, the school takes the COA and subtracts any financial aid you’ve already been awarded. Federal non-need-based aid includes Direct Unsubsidized Loans, Direct PLUS Loans, and TEACH Grants.

One big difference between subsidized and unsubsidized loans is when interest accrual starts. Because subsidized loans are need-based, the government covers any interest that accrues until loan repayment starts (typically six months after graduation). With unsubsidized loans, the interest starts to accrue from day one (though you don’t need to start making loan payments until six months after graduation).

You can estimate your eligibility for federal student aid by using either the Federal Student Aid Estimator or your school’s net price calculator (which you can find using the Department of Education’s search tool).

What Are Rules on Dependency, Divorce?

A student’s dependency status can make a big difference on their SAI. To be considered independent for federal financial aid, a student must be at least 24 years of age, married, on active duty in the U.S. Armed Forces, financially supporting dependent children, an orphan (both parents deceased), a ward of the court, or an emancipated minor.

The rules regarding financial aid and divorce changed for the 2024-25 school year. The new FAFSA rules require the parent who provided the most financial support in the “prior-prior” tax year to complete the FAFSA application instead of the custodial parent. Prior-prior refers to the tax year two years ago from the beginning of the college semester. For the 2025–26 award year, FAFSA would be looking at the 2023 tax year for this determination.

Other Routes to Meeting All Needs

The government isn’t the only path to pay for college. Here are several other options you may want to consider.

Scholarships

The best thing about scholarships? You don’t need to pay them back. The second best thing is that they’re most often based on merit, not need.

So even if your parents make a good living, you may still be eligible. While many are awarded solely on academics, others are given for athletic talent, specific interests, or being a member of a specific group.

There are numerous college scholarships out there, offered by schools, employers, individuals, private companies, nonprofits, communities, religious groups, and professional and social organizations. To suss out scholarship opportunities you might be eligible for, talk to your high school guidance counselor, your college’s financial aid office, and/or check out one of the many online scholarships search tools.

An Appeal of Your SAI

If your financial aid offer is less than you need to be able to afford college, you are within your rights to appeal to the school’s financial aid director.

You might want to be prepared to back up your request with detailed information such as your SAI, the amount you’ll need to successfully attend school, or a change in circumstances that will affect your family’s actual ability to pay, such as a parent’s job loss.

Recommended: How to Write a Financial Aid Appeal Letter

Parent Loans

Parents can apply for a Parent Plus Loan through the Department of Education. These loans are available to parents regardless of income, provided they do not have an adverse credit history. For loans disbursed on or after July 1, 2025, and before July 1, 2026, the interest rate is 8.94%. This is a fixed interest rate for the life of the loan. There is also an origination fee of 4.228%, which is deducted from each loan disbursement.

Some private lenders also offer parent student loans. You can apply for a private parent student loan directly with the lender. Before signing up for a private parent loan, it’s a good idea to shop around to find the lowest student loan interest rate you qualify for. Some lenders have a pre-qualification process that allows you to see a personalized rate before the lender does a hard credit pull.

Both federal and private parent loans can be used to cover any gaps left over after scholarships, grants, and other financial aid have been applied, up to the full cost of attendance.

Private Student Loans

Private student loans are also available to students to help them cover the costs of higher education, and they could be a good Plan B if there’s a gap between the aid you received (including federal student loans) and the cost of attendance.

Private student loans don’t have federal benefits like income-driven repayment plans and forgiveness programs, and interest rates are typically higher than undergraduate federal student loans. However, unlike federal student loans, you can apply for them at any time of the year. Plus, you can typically borrow up the full cost of attendance, which gives you more borrowing power than you get with federal student loans.

Private student loans can have either a fixed or variable interest rate, and rates are determined by the lender. Qualifying for a private student loan is based on the borrower’s creditworthiness rather than need.

Recommended: A Complete Guide to Private Student Loans

The Takeaway

If your parents make too much money to qualify for financial aid, you may have to shift course a little bit, but there are other ways to get help paying for all of the expenses of college. These include merit-based scholarships, non-need-based federal student loans, and private student loans.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

Will I get financial aid if my parents make over $100,000?

Financial aid eligibility isn’t solely based on parental income. While a higher income can affect need-based aid, you may still qualify for merit-based scholarships, grants, or other forms of assistance. Completing the FAFSA and exploring options from your school and external sources can help you find available aid.

What salary is too high for financial aid?

There’s no fixed salary threshold for financial aid, but higher incomes can reduce eligibility for need-based assistance. The FAFSA considers various factors, including family size, assets, and expenses. Even with a high income, you might still qualify for some aid or merit-based scholarships. Always apply to explore your options.

At what point does FAFSA stop using parents’ income?

FAFSA typically stops using parents’ income when you are considered an independent student, which can happen if you are 24 years old, married, a graduate student, have dependents, are a veteran, or meet other specific criteria. Always check the latest FAFSA guidelines for the most accurate information.

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SOISL-Q325-033

A degree in finance can open doors to a wide range of exciting career opportunities. Whether you’re looking to work as a financial analyst in a private business, an accountant for a nonprofit, or help individuals achieve their retirement goals, enrolling in a collegiate finance program can give you the tools you need to succeed.

But the tools of higher education don’t come cheap. The average cost of in-state tuition is $9,750 per year, and out-of-state tuition averages $28,386. Fortunately, there are many available avenues in the way of loans, grants, and scholarships that can support your dreams and ease financial anxiety.

Keep reading to learn more on what a finance degree is, what careers you can get with a finance degree, how to pay for a finance degree, and more.

What Is a Finance Degree?

A finance degree program focuses on the study of money management, investing, and market trends. It can prepare you for a job in the economic sector, or lay the groundwork for graduate studies in business or law.

Undergraduates enrolled in an accredited four-year program typically obtain either a Bachelor of Science or a Bachelor of Arts, depending on the area of focus. Introductory coursework can include the fundamentals of economics, statistics, business law, and accounting. Some people interested in working in finance may also consider pursuing a math degree.

Is a Degree in Finance Worth It?

Entry-level compensation in the field of finance tends to top the national median salary. The employment rate in this sector is expected to grow faster than average through 2033, according to the Bureau of Labor Statistics.

While jobs in the financial realm are competitive, there is an expanding need for more accountants, strategists, and market analysts. Most of these ground-floor opportunities require at least a bachelor’s degree in finance. Another big bonus of a business finance degree program is connections — the alumni and internship possibilities that could lead to employment.

What Kinds of Finance Degrees Are There?

Educational institutions can offer a bachelor’s in finance, associate degrees, master’s degrees (including MBAs), and doctorate programs. Popular subfields within a finance program include financial planning, management, and accounting, which could help steer you in a career direction.

Financial Management

A student pursuing a degree in financial management learns how to make informed financial discussions for nonprofit businesses and corporations. Students can take classes in business economics, data analysis, financial reporting, and business law.

Financial Planning

A degree in financial planning prepares you to assist businesses, individuals, and families in creating monetary plans for the future. Course topics can be in retirement strategies, investment portfolios, tax planning, healthcare, estate planning, and risk management.

Accounting

While a degree in accounting offers a more specific focus than a general finance degree, the employment opportunities are far from limited. There are an estimated 130,000 job opportunities projected each year. Students take courses in auditing, tax preparation, and qualitative analysis.

What Can I Do With a Finance Degree?

From analysts to money managers to a think tank researcher or top government economist, a degree in finance can pave the way to a world of job opportunities.

Loan Officer

Loan officers work for banks, mortgage companies, and credit unions. They are instrumental in helping businesses and individuals acquire a home, a business loan, or new car. A loan officer usually holds a bachelor’s degree in finance, accounting, or business.

Median salary: $74,180

Personal Financial Advisor

Personal financial advisors work with individuals and families to reach their economic goals. They assist with investment portfolios, navigating tax laws, and can help make retirement dreams come true. Financial advisors may be required to complete certifications, acquire licenses, or complete ongoing education requirements. Requirements may be dictated by your specific career path, employer, or state.

Median salary: $102,140

Financial Examiner

Banks and other institutions rely on financial examiners to help keep them out of trouble. A financial examiner helps businesses comply with current laws and regulations, making sure all their transactions follow mandated guidelines. They can specialize in risk assessment, keeping companies fiscally secure, or in consumer compliance to protect customers.

Median salary: $98,140

Financial Analyst

A financial analyst works for banks and investment companies assessing market trends to inform investment choices and strategic direction. They help create financial forecast models, fiscal reports, and then recommend a course of action.

Median salary: $101,910

Financial Manager

A financial manager oversees the financial well-being of a business. Responsibilities include supervising company cash flow, keeping tabs on expenses, submitting financial reports, and developing long-term fiscal goals for investment institutions, banks, or insurance companies.

Median salary: $161,700

How to Pay for a Finance Degree

A degree in finance can help put you on a career path to success, but the journey usually isn’t free. In 2023, 59% of college grads took out loans for school. An undergrad program can cost you, and a graduate degree only adds to the educational price tag.

Fortunately, there are federal student loans, private student loans, scholarships, and other options that can help alleviate the fiscal burden of higher education.

Federal Student Loans

Federal student loan debt represents more than 92% of total student loan debt in the United States. The 2025-26 interest rate for subsidized and unsubsidized loans is 6.39% for undergraduates. Typically, federal loan rates are fixed and lower than most private loans, and they also don’t require a credit check or cosigner.

The first step is to fill out the Free Application for Federal Student Aid (FAFSA®) to determine how much financial aid you can receive. This application is used to determine student eligibility for federal financial aid including scholarships, grants, and work-study, in addition to federal student loans.

Private Student Loan

When federal financial aid isn’t enough to cover the cost of a finance degree program, a private student loan can be one option to fill in the gaps. These loans are issued by banks, online lenders, or credit unions. The lender will check your credit score and financial records to determine the loan amount and terms for which you qualify.

Younger applicants who don’t have a credit score or have limited employment history may consider applying with a cosigner, typically a parent or legal guardian, to pledge responsibility for your loan. Rates for private student loans can vary, so be sure to do your homework and shop around at various lenders to find the best loan for your situation.

It’s a good idea to research the pros and cons of federal vs. private student loans to determine how they can work best for you.

Recommended: A Complete Guide to Private Student Loans

Borrow from Loved Ones

Borrowing from a loved one for your finance degree may allow for lower interest rates (if any) and generous repayment arrangements. But be sure to spell the terms of the loan on paper to legally protect you and the lender, and to avoid potential confusion, argument, or future resentment.

If a parent or guardian is unable to loan you money directly, they could consider borrowing a Direct PLUS Loan from the government or a private parent student loan.

Pay Cash

“Cash is king!” as the saying goes. No educational institution will turn it down. By working as much as you can during school and summer vacations to help pay for college, you can avoid borrowing interest-accruing loans.

Scholarships

College scholarships are free money gifted from numerous organizations. They can be based on financial need or merit — awarded for grades, test scores, talent, ancestry, or special interests.

Scholarship money does not generally have to be paid back. You can find information from government resources, a college financial aid office, a high school counselor, or this state-by-state scholarship guide. Pay attention to the submission deadlines and application requirements so you don’t miss your chance to qualify.

Grants

Grant money is typically awarded solely based on financial need, and often by government agencies. For example, the Federal Pell Grant is gifted to undergraduate students from low-income households. Like scholarships, grants do not have to be repaid.

The Takeaway

A finance degree can unlock a wide range of rewarding career paths — from financial analyst or planner to management roles — while offering strong earning potential and projected job growth.

While the investment may be worth it, a finance degree (and the cost of college in general) is not cheap. Luckily, there are many options when it comes to paying for college, including cash savings, scholarships, grants, federal student loans, and private student loans.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

What does a finance degree do?

A finance degree equips you with the skills to manage and analyze financial data, make investment decisions, and understand economic trends. It prepares you for careers in banking, investment, corporate finance, and more, providing a strong foundation in financial theory and practical applications.

What types of jobs can you get with a finance degree?

A finance degree can lead to diverse roles such as financial analyst, investment banker, financial advisor, accountant, and risk manager. These positions are available in various sectors including banking, corporate finance, consulting, and government. Each job offers unique opportunities for growth and specialization.

How can I pay for a finance degree?

To pay for a finance degree, consider a mix of scholarships, grants, work-study programs, and part-time jobs. Explore federal and private loans, but be mindful of interest rates and repayment terms. Financial aid offices and online resources can offer valuable guidance and opportunities to reduce costs.

Photo credit: iStock/Nuthawut Somsuk

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

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Earning straight A’s in college is a goal that many students aspire to, but it can seem daunting and overwhelming. However, with the right strategies, time management, and a bit of perseverance, it’s entirely achievable.

With the cost of college still rising (counting room and board, a private college can run up to $80,000 per year, and a public college, up to $30,000 or more), getting straight A’s can help you in key financial ways. It can put you on track for a lucrative career or give you an edge in a competitive internship field.

Keep reading for tips on how to get all A’s in college, what it means for future employers, financial benefits of getting straight A’s in college, and more.

What Is a 4.0 GPA in College?

Your GPA (Grade Point Average) is a number that reflects your academic standing based on the grades you receive in all classes. The scale starts at the top with 4 (for an A), 3 (B), 2 (C), 1 (D), and O (for F, or failing). A 4.0 GPA means you aced every class and got straight A’s in college.

Do Colleges Care About Straight A’s?

To get in the college door, the answer is often yes. Many college admissions teams do notice straight A’s in a quest to enroll the best and brightest high school students.

Once you are on campus, your college may not expect all A’s, but some colleges and universities may require a minimum GPA in introductory courses before allowing students to declare a popular major that typically brings lucrative returns later. The list may include mechanical engineering, computer science, nursing, finance, and economics. These universities want students of the highest academic caliber for the highest-earning majors.

Another reason colleges care about your grades is because you need to maintain a certain GPA to continue to qualify for federal student aid. In order to maintain eligibility for federal student aid, including federal loans and grants, students need to meet their school’s standards for Satisfactory Academic Progress (SAP). Each college is allowed to set its own minimum GPA.

Merit scholarships may also have minimum GPA requirements, so maintaining a high academic standard may be important for maintaining eligibility for merit awards as well.

Recommended: A Complete Guide to Private Student Loans

Do Employers Look at Your GPA?

GPA, a benchmark once widely used by employers, is now considered by just 37%, according to a 2023 survey by the National Association of Colleges and Employers (NACE). That’s a dip from 2019, when, according to NACE, nearly three-quarters of respondents said they used GPA to identify promising candidates.

According to NACE, the trend away from using GPA appears to reflect awareness that GPA screening may not build an inclusive workforce and can be a disadvantage to students who balance school with work and other responsibilities. Also, as employers compete for talent, they are reevaluating long-used screening tools.

How Hard Is It to Get a 4.0 in College?

Whether you’re getting all A’s often depends on your major, the courses you take (organic chemistry, anyone?), and even the college you attend. But chasing a 4.0 can be hard on your life balance. If all you do is study, with no sleep, social life, or campus activities, your health and mental well-being may suffer.

Instead of overemphasizing your GPA, it may help to also focus on how you’re challenging yourself. A GPA is just one measure of your coursework.

Tips for Getting All A’s in College

If you are after all A’s, this action plan could help you achieve your goal.

Select a Major That You Are Passionate About

College is the time to immerse yourself in subjects that enthrall, inspire, and move us, whether that means microbiology or British literature. But if your mind is in the art world and your nose is in a sociology book, your interest can wane and you may be far less likely to excel. Choose a major that ignites your brain power and A’s will be more attainable.

Time Your Classes Well

When are you most alert? Are you wide awake in the morning and dragging by the evening? Schedule classes accordingly. Can you focus on a weekly 3-hour seminar or would you do better with a shorter class that meets more often? Know yourself and how you learn and work most productively.

Take Advantage of Professors’ Office Hours

If a calculus formula is not crystal-clear or you want to talk a little more about that short story structure, stop by your professor’s office during posted hours or pop in virtually if that’s an option. Professors post hours so students can get the help they need.

Practice Good Time Management

Make an organized schedule. Use Google Calendar on your phone or get an actual planner with paper pages. Don’t double-book time slots, whether for a study/coffee date with a classmate or your shift at the campus newspaper.

Closely Track Grades

Don’t wait until the end of the semester to see what your average is in your classes. Keep up to date on every grade and pump up your study efforts if necessary.

Set Study Time Blocks

Build in study blocks wherever and whenever possible. Several short sessions can be as productive as one long one. Review and study notes from day one to start building a bank of knowledge. When studying, turn off your phone and leave it in your backpack. Avoid looking at emails or other digital distractions. Take notes on relevant readings and review and organize class notes each week so you don’t have to cram come exam time.

Plan your study location based on the lowest possible risk of distractions, such as the school library. Adjust times and places as needed, and be flexible. Maybe 30 minutes at a coffee shop between classes is all you have one day, but if you block out two hours to study, stick to it. Consider enlisting a study buddy.

Benefits of Getting Straight A’s in College

Excelling in your classes can bring perks like these.

Dean’s List Recognition

The dean’s list, a term dating to the early 14th century, comes from the Latin decanus (“head of a group of 10 monks in a monastery”). You, of course, are at college, not a monastery, but you are at the head of the class when you make the dean’s list.

The distinction is usually reserved for full-time students at a specific GPA. Being on the dean’s list could help you stand out in a field of applicants for internships and seasonal jobs. Consecutive semesters on the list show you can achieve and maintain high standards.

Scholarships and Grants

Straight A’s can potentially translate into money to help pay for college. Unlike loans, which must be repaid, scholarships and grants are free money that can be used to cover tuition, books, and other educational expenses. These awards are often merit-based, meaning they are given to students who demonstrate exceptional academic performance, leadership, or other achievements.

To apply for scholarships and grants, start by researching available opportunities through your college’s financial aid office, online databases, and local organizations. Once you identify potential scholarships and grants, carefully review the eligibility criteria and application requirements. Tailor each application to highlight how you meet the specific criteria and stand out as a candidate. Submit your applications well before the deadlines to avoid last-minute stress and ensure they are complete and polished.

The Takeaway

Getting all A’s in college can bring big benefits, from helping you secure a place in a crowded major with lucrative career returns (such as engineering or computer science) to earning you a place on the dean’s list, a marker that helps you stand out in a competitive internship field. With the right study skills, you can seriously up the odds of acing your classes.

Hopefully, good grades will award you scholarships, but if not, there are other ways to help pay for college. You can use cash savings, grants, federal student loans, and private student loans.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

What is a 4.0 GPA in college?

A 4.0 GPA in college represents a perfect academic performance, where a student has achieved the highest possible grades in all courses. This grade point average is calculated on a 4.0 scale, with 4.0 being the equivalent of an A or A+ in every class, indicating exceptional academic excellence and consistency.

How do you become a straight-A student?

Becoming a straight-A student involves consistent effort and effective strategies. Attend classes regularly, take thorough notes, and stay organized. Set clear goals, manage time wisely, and prioritize studying. Engage actively with the material, seek help when needed, and maintain a healthy balance between academics and personal life. Persistence and a strong work ethic are key.

Do colleges care about straight A’s?

Colleges may not care if you get straight A’s, but some schools may require students to have a minimum GPA in introductory courses before allowing them to declare a popular major that typically brings lucrative returns in the work world. The list includes mechanical engineering, computer science, nursing, finance, and economics. Another reason to watch your GPA is that federal student loans and many scholarships and grants have a minimum GPA requirement.

Photo credit: iStock/Luis Echeverri Urrea

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

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