Quick Answer

This glossary explains 93 college and financial aid terms in plain English. The most important terms to know: FAFSA (the free form to get financial aid), Pell Grant (up to $7,395/year in free money), Net Price (what you actually pay after aid), and SAI (the number that determines how much aid you get). All terms include parent-specific tips and real-world examples.

College Glossary

93 terms explained in plain English

2

2 years at community college + 2 years at university = bachelor's degree for less.

A

The percentage of applicants who get accepted. Lower = harder to get in.

An official stamp of quality. Without it, a school cannot offer federal financial aid.

The accreditation body for trade and technical schools.

A standardized test for college admissions. Score range: 1–36.

A 2-year nursing degree. Same RN license as a 4-year BSN — but much cheaper.

A paid training job where you learn a trade while earning money. 2–5 years.

A deal between two schools that says exactly which courses transfer.

A 2-year college degree. Can be for a career (nursing, dental hygiene) or for transferring to a university.

The letter from a college showing all the financial aid they are offering.

B

A 4-year college degree. BA for arts/humanities, BS for science/business.

The government agency that publishes official salary and job data.

A 4-year nursing degree. Same license as ADN but preferred by some hospitals.

C

The license needed to drive commercial trucks and buses.

A short credential (6–18 months) that qualifies you for a specific career.

An industry credential that proves you meet professional standards. Usually voluntary but often expected by employers.

A number code that identifies a specific college program (like a catalog number).

Hands-on training in a real hospital or clinic, required for healthcare programs.

Hours of training time. Used in trade programs to measure when you qualify for licensing.

The government's official database of college costs, graduation rates, and graduate earnings.

An affordable 2-year public college for career training or transferring to a university.

The total yearly cost including tuition, housing, food, books, and expenses.

A unit of college coursework. Full-time is 12–15 credits per semester.

When your new school accepts classes you already completed at your old school.

An extra financial aid form required by some private colleges — more detailed than FAFSA.

D

The percentage of a school's graduates who can't repay their student loans. Higher = worse.

The school is delaying their decision on your application to review it later.

E

Apply early, hear back early, but you're not committed to attend.

Apply early with a binding commitment — if accepted, you MUST attend.

Old term for SAI. Same concept — how much aid your family qualifies for.

A required work experience during a training program — like a short internship.

F

The free form you file to get federal financial aid for college.

Extra charges on top of tuition. Can add $1,000–$3,000/year.

Asking a college to give you more financial aid. It works more often than you think.

The total aid offer from a school. Includes free money AND loans — read carefully.

A college where you earn a bachelor's degree in about 4 years.

Extra federal grant ($100–$4,000/year) for students with the greatest financial need.

G

Taking a year off before starting college.

Required courses in English, math, science, and humanities that every student must take.

Education benefits for military veterans — covers tuition, housing, and books.

A number representing your grades. 4.0 = all A's.

The percentage of students who finish their degree. Higher is better.

Free money — same as a scholarship, but usually from the government.

H

A college historically founded to educate Black students. Open to everyone.

A college with at least 25% Hispanic enrollment. Qualifies for extra federal funding.

I

California's universal general education plan that works at any UC or CSU.

Financial aid that comes directly from the college, not the government.

The federal database where every college reports its statistics.

J

How fast an occupation is adding new jobs. Higher = more job opportunities.

A fully trained and licensed trade worker who completed an apprenticeship.

L

An admissions boost for students whose parents attended the same college.

Official state permission to work in a licensed profession.

M

A graduate degree after your bachelor's — usually 1–2 more years.

The middle salary — half of workers earn more, half earn less.

Scholarship based on your grades, test scores, or talents — not financial need.

N

The accreditation body for beauty schools. Required for financial aid eligibility.

The licensing exam you must pass to become a nurse.

Financial aid given based on your family's income and ability to pay.

What you actually pay after grants and scholarships. The real cost.

A tool on each college's website that estimates what you'll actually pay.

O

A college where you take all your classes online.

A school that accepts everyone who applies with a diploma or GED.

P

Free federal money for college — up to $7,395/year. You never pay it back.

A required course you must finish before you can take the next one.

A school run as a business. Check outcomes carefully before enrolling.

A privately funded college that puts money back into education, not profits.

A state-funded college with lower tuition for residents of that state.

R

How many freshmen come back for sophomore year. Higher is better.

An online program for nurses with an ADN to upgrade to a BSN while working.

A school that reviews applications as they come in — no single deadline.

Housing + meal plan costs for living on campus.

S

A number from your FAFSA that determines how much financial aid you get. Lower is better.

A standardized test for college admissions. Score range: 400–1600.

Free money for school that you never pay back.

The test you must pass after training to get your professional license.

Free money from your state government. Every state has its own programs.

The advertised price before any aid. Most students pay much less.

Money borrowed for school that must be paid back with interest.

A federal loan where interest doesn't build up while you're in school.

T

California program guaranteeing UC admission for community college students who complete specific courses.

Up to $4,000/year for students who commit to teaching in high-need areas.

A publicly-funded career training school, often part of a state system.

The school does not require SAT or ACT scores. You choose whether to send them.

A school that trains you for a specific career — no general education required.

Moving from one college to another and bringing your credits with you.

A pre-planned course list at community college that guarantees credits transfer.

The price of classes. Does not include housing, food, or books.

U

A federal loan where interest starts building right away, even during school.

V

When a college asks for documents to verify your FAFSA information.

Same as trade school — career-focused training.

W

The school might accept you later if other admitted students say no.

A campus job for students with financial need. You work and earn money — it is not free aid.

Y

Extra GI Bill benefit where the school and VA split costs above the normal GI Bill limit.

All 93 Terms by Category

Transfer

2+2 Plan
2 years at community college + 2 years at university = bachelor's degree for less.
Articulation Agreement
A deal between two schools that says exactly which courses transfer.
Credit Transfer
When your new school accepts classes you already completed at your old school.
General Education
Required courses in English, math, science, and humanities that every student must take.
IGETC
California's universal general education plan that works at any UC or CSU.
TAG
California program guaranteeing UC admission for community college students who complete specific courses.
Transfer
Moving from one college to another and bringing your credits with you.
Transfer Pathway
A pre-planned course list at community college that guarantees credits transfer.

Admissions & Applications

Acceptance Rate
The percentage of applicants who get accepted. Lower = harder to get in.
ACT
A standardized test for college admissions. Score range: 1–36.
Deferral
The school is delaying their decision on your application to review it later.
Early Action
Apply early, hear back early, but you're not committed to attend.
Early Decision
Apply early with a binding commitment — if accepted, you MUST attend.
Gap Year
Taking a year off before starting college.
GPA
A number representing your grades. 4.0 = all A's.
Graduation Rate
The percentage of students who finish their degree. Higher is better.
Legacy Admission
An admissions boost for students whose parents attended the same college.
NCLEX
The licensing exam you must pass to become a nurse.
Open Admission
A school that accepts everyone who applies with a diploma or GED.
Prerequisite
A required course you must finish before you can take the next one.
Retention Rate
How many freshmen come back for sophomore year. Higher is better.
Rolling Admission
A school that reviews applications as they come in — no single deadline.
SAT
A standardized test for college admissions. Score range: 400–1600.
Test-Optional
The school does not require SAT or ACT scores. You choose whether to send them.
Waitlist
The school might accept you later if other admitted students say no.

Degrees & Credentials

Accreditation
An official stamp of quality. Without it, a school cannot offer federal financial aid.
ADN
A 2-year nursing degree. Same RN license as a 4-year BSN — but much cheaper.
Associate Degree
A 2-year college degree. Can be for a career (nursing, dental hygiene) or for transferring to a university.
Bachelor's Degree
A 4-year college degree. BA for arts/humanities, BS for science/business.
BSN
A 4-year nursing degree. Same license as ADN but preferred by some hospitals.
Certificate
A short credential (6–18 months) that qualifies you for a specific career.
Clock Hours
Hours of training time. Used in trade programs to measure when you qualify for licensing.
Credit Hour
A unit of college coursework. Full-time is 12–15 credits per semester.
Master's Degree
A graduate degree after your bachelor's — usually 1–2 more years.
RN-to-BSN
An online program for nurses with an ADN to upgrade to a BSN while working.

Careers & Trades

ACCSC
The accreditation body for trade and technical schools.
Apprenticeship
A paid training job where you learn a trade while earning money. 2–5 years.
CDL
The license needed to drive commercial trucks and buses.
Certification
An industry credential that proves you meet professional standards. Usually voluntary but often expected by employers.
Clinical Hours
Hands-on training in a real hospital or clinic, required for healthcare programs.
Externship
A required work experience during a training program — like a short internship.
Journeyman
A fully trained and licensed trade worker who completed an apprenticeship.
Licensure
Official state permission to work in a licensed profession.
NACCAS
The accreditation body for beauty schools. Required for financial aid eligibility.
State Board Exam
The test you must pass after training to get your professional license.

Money & Financial Aid

Award Letter
The letter from a college showing all the financial aid they are offering.
Cost of Attendance
The total yearly cost including tuition, housing, food, books, and expenses.
CSS Profile
An extra financial aid form required by some private colleges — more detailed than FAFSA.
EFC
Old term for SAI. Same concept — how much aid your family qualifies for.
FAFSA
The free form you file to get federal financial aid for college.
Fees
Extra charges on top of tuition. Can add $1,000–$3,000/year.
Financial Aid Appeal
Asking a college to give you more financial aid. It works more often than you think.
Financial Aid Package
The total aid offer from a school. Includes free money AND loans — read carefully.
FSEOG
Extra federal grant ($100–$4,000/year) for students with the greatest financial need.
GI Bill
Education benefits for military veterans — covers tuition, housing, and books.
Grant
Free money — same as a scholarship, but usually from the government.
Institutional Aid
Financial aid that comes directly from the college, not the government.
Merit Scholarship
Scholarship based on your grades, test scores, or talents — not financial need.
Need-Based Aid
Financial aid given based on your family's income and ability to pay.
Net Price
What you actually pay after grants and scholarships. The real cost.
Net Price Calculator
A tool on each college's website that estimates what you'll actually pay.
Pell Grant
Free federal money for college — up to $7,395/year. You never pay it back.
Room and Board
Housing + meal plan costs for living on campus.
SAI
A number from your FAFSA that determines how much financial aid you get. Lower is better.
Scholarship
Free money for school that you never pay back.
State Grant
Free money from your state government. Every state has its own programs.
Sticker Price
The advertised price before any aid. Most students pay much less.
Student Loan
Money borrowed for school that must be paid back with interest.
Subsidized Loan
A federal loan where interest doesn't build up while you're in school.
TEACH Grant
Up to $4,000/year for students who commit to teaching in high-need areas.
Tuition
The price of classes. Does not include housing, food, or books.
Unsubsidized Loan
A federal loan where interest starts building right away, even during school.
Verification
When a college asks for documents to verify your FAFSA information.
Work-Study
A campus job for students with financial need. You work and earn money — it is not free aid.
Yellow Ribbon Program
Extra GI Bill benefit where the school and VA split costs above the normal GI Bill limit.

Data & Research

BLS
The government agency that publishes official salary and job data.
CIP Code
A number code that identifies a specific college program (like a catalog number).
College Scorecard
The government's official database of college costs, graduation rates, and graduate earnings.
Default Rate
The percentage of a school's graduates who can't repay their student loans. Higher = worse.
IPEDS
The federal database where every college reports its statistics.
Job Growth Rate
How fast an occupation is adding new jobs. Higher = more job opportunities.
Median Salary
The middle salary — half of workers earn more, half earn less.

Types of Schools

Community College
An affordable 2-year public college for career training or transferring to a university.
Four-Year University
A college where you earn a bachelor's degree in about 4 years.
HBCU
A college historically founded to educate Black students. Open to everyone.
HSI
A college with at least 25% Hispanic enrollment. Qualifies for extra federal funding.
Online University
A college where you take all your classes online.
Private For-Profit
A school run as a business. Check outcomes carefully before enrolling.
Private Nonprofit University
A privately funded college that puts money back into education, not profits.
Public University
A state-funded college with lower tuition for residents of that state.
Technical College
A publicly-funded career training school, often part of a state system.
Trade School
A school that trains you for a specific career — no general education required.
Vocational School
Same as trade school — career-focused training.

Understanding College Terminology

This glossary covers 93 terms every parent and student should know when navigating college admissions, financial aid, and career planning. From FAFSA and Pell Grants to articulation agreements and apprenticeships, we explain everything in plain English — no jargon, no assumptions.

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