Paying for college can feel overwhelming, but financial aid is designed to make higher education more accessible by covering a wide range of academic and related expenses. From tuition and mandatory fees to textbooks, technology, and even certain living costs, student aid and loans can often go further than students realize.
According to a 2025 Modern Learner Report conducted by EducationDynamics, the most important factor in students’ decision to enroll at a particular college was the cost of tuition and fees — and the availability of scholarships and financial aid was considered the most helpful factor in the enrollment process. Therefore, understanding exactly what’s included (and what’s not) can help you plan your budget more effectively while avoiding unnecessary financial stress and unexpected out-of-pocket costs.
In this guide, we break down the essentials of financial aid, highlight common covered expenses, and clear up misconceptions so you know how to make the most of your funding.
Before diving into the details of what financial aid can pay for, it’s important to understand how it works and the different forms it can take.
In most cases, financial aid can be applied toward direct education costs such as tuition, required fees, and course materials as well as certain indirect expenses like housing, transportation, and technology — if they’re necessary for your program. However, each aid package is unique, and coverage depends on the type of funding you receive and any guidelines set by your school or lender.
Nebraska Methodist College (NMC) offers several types of financial aid to help students meet their education expenses:
Each option has its own benefits, eligibility requirements, and potential impact on your total cost of attendance.
To determine your eligibility for financial aid, you’ll need to complete the Free Application for Federal Student Aid (FAFSA) through the U.S. Department of Education, which is used to calculate your Expected Family Contribution (EFC) and match you with available programs. NMC also has its own institutional aid options that may require separate applications. Meeting deadlines is critical, as some funds are awarded on a first-come, first-served basis. By gathering necessary documents early and seeking guidance from an NMC financial aid counselor, you can maximize your opportunities for assistance.
While financial aid is primarily intended to cover core academic expenses, it can often be applied to a variety of costs that support your ability to attend and succeed in college. Below are some of the most common categories that may be covered, depending on your aid package and funding source.
The largest portion of most financial aid packages goes toward tuition and required fees for enrollment. These fees may include registration charges, lab fees, or other program-specific costs that are necessary to complete your degree.
Many aid programs allow funds to be used for required textbooks, lab manuals, and other instructional materials listed in your course syllabus. This can also include consumable supplies like workbooks or lab kits if they’re essential to the class.
If your program requires certain technology, such as a laptop, specialized software, or other digital tools, financial aid may cover these expenses when they are directly tied to your coursework. In many cases, approval or documentation from your school is needed.
Some forms of financial aid can help with indirect costs related to attending college. This may include public transit passes, gas for commuting, parking fees, or even childcare expenses if they enable you to attend classes.
Students who live on campus or in school-affiliated housing may be able to use financial aid to pay for room and board. This typically includes dorm costs, meal plans, or other required residential expenses that are part of your cost of attendance.
While financial aid can be applied to many education-related costs, there are limits to what it will pay for. Understanding these exclusions can help you plan for additional expenses that may need to come out of pocket.
Aid generally does not cover optional add-ons, such as premium course materials, non-required certifications, or specialized training programs outside your core curriculum. These costs are considered enhancements rather than essential to your degree.
Financial aid is intended for necessary tools, not luxury or non-essential purchases. Items like high-end backpacks, decorative supplies, or upgraded electronics beyond what’s required for coursework are typically not covered.
While certain program-required travel may be covered, personal trips or professional development opportunities not directly tied to your enrolled courses (e.g., conferences, study abroad programs, or networking events) are usually excluded from financial aid coverage.
Financial aid rules can sometimes feel complicated, especially when your enrollment or program format changes. Here are answers to a few of the most common questions students have when it comes to using their funds.
In most cases, yes — federal and state financial aid can be applied to eligible online or hybrid degree programs, as long as the school is accredited and you meet enrollment requirements. However, some scholarships or grants may have restrictions, so it’s crucial to review the terms of your award.
Dropping a class or switching from full-time to part-time status can affect your financial aid eligibility. You may receive reduced funding, or in some cases, be required to repay a portion of the aid already disbursed. Always check with your financial aid office before making enrollment changes to understand the impact on your package.
If your financial aid covers all your direct costs and there’s money left over, you may receive a refund for the remaining balance. These funds can be used for other eligible education-related expenses, such as transportation, housing, or required supplies. Keep in mind that refund timelines and disbursement methods vary by school and lender.
With a little planning and strategy, you can stretch your financial aid further and reduce the amount you need to borrow or pay out of pocket. The tips below can help you maximize the benefits of your award package.
Create a semester-by-semester budget that accounts for both covered and non-covered expenses. Knowing what you’ll need to pay for yourself — such as optional supplies, certain travel, or personal expenses — can help you avoid financial surprises and make informed spending decisions.
Scholarships aren’t just for incoming students. Many schools and organizations offer awards each term, and applying regularly can significantly reduce your educational costs. Keep track of application deadlines and requirements so you don’t miss opportunities.
While financial aid guidelines are similar nationwide, an NMC advisor can help you identify school-specific resources, institutional scholarships, and strategies to get the most from your package. They can also walk you through updates to your FAFSA form or aid applications if your financial situation changes. Plus, students can turn to the Department of Career and Financial Wellness for everything from financial education to networking and job placement assistance.
What does financial aid cover, exactly? When used strategically, financial aid can offset far more than just tuition, helping to make college more affordable and manageable. Keep these key points in mind as you plan your education funding:
From textbooks and technology to certain living expenses, financial aid can cover a wide range of costs that support your academic success. With a thorough understanding of your award package, you can avoid overestimating what you’ll need to pay yourself.
Deadlines, eligibility requirements, and funding sources can vary, so the earlier you apply and the more questions you ask, the better your chances of securing maximum support. Take the time to explore every option — including grants, scholarships, and work-study — to reduce your overall financial burden and set yourself up for success.
Financial aid can open the door to opportunities you might have thought were out of reach — and at Nebraska Methodist College, we’re here to help you make the most of it. Our financial aid team can guide you through every step of the process, from exploring available grants and scholarships to creating a plan that fits your budget and goals. Whether you’re just starting your education or returning to finish your degree, we’ll work with you to find the resources you need to succeed. You may also check out our net price calculator to help estimate your total cost of attendance for one academic year.
Don’t let financial uncertainty hold you back from pursuing your dreams. Apply to NMC today and discover how we can help make your education both affordable and achievable.