1. Grants and Scholarships: Grants and scholarships are referred to as free money, as they are not expected to be repaid. They fund education completely depending on certain criteria. In this case, you would hardly opt for loan if you have a choice.

2. Work-Study Programs: On- or-off-campus Federal programs let students work part-time to offset their expenses. Depending on your savings, your loan amount can be reduced up to 50%.

3. Tuition Payment Plans: Spreading out of tuition and fees eases the burden of a one-time payment for families who have discretionary income.

4. Home Equity Loans: This can possibly eliminate the necessity to take out a student loan.

5. Funding Through Assets: Through the sale of stocks and/or 401 (k) plans, families cab fund their children’s education in order that they reduce the student loan component.

With planned self-financing, you can strengthen your position to fund your higher education and reduce your student loan debt. By utilizing student loans to either partly or completely fund your education, you will ensure yourself a lifetime of income long after the loan is repaid.

Tony Jacowski is a quality analyst for The MBA Journal. Aveta Solutions – Six Sigma Online ( http://www.sixsigmaonline.org ) offers online six sigma training and certification classes for lean six sigma, black belts, green belts, and yellow belts.