Thinking About College? Here’s a Checklist for the High School Years

College education remains a goal for many students each year. More than half (63%) of high school graduates nationwide enrolled in a college program in the fall of 2024.¹

Paying for college can also be one of the biggest financial outlays for a family.

Considering the rising costs of college and the declining availability of federal aid, it becomes more important than ever for families to have a saving strategy. In this environment, many families may seek out tax-advantaged accounts like 529 plans to cover more of the cost of college.

Four-year action plan

Embarking on the journey to college can be both exciting and daunting, but a well-structured plan can help ensure that families are well prepared for the entire process and the financial responsibilities. No matter which year of high school a student will begin this year, there are specific actions parents and students can take now to set a strong foundation for their future.

From continuing to save in a 529 plan and understanding financial aid to building a solid academic record and exploring extracurricular activities, the high school years are crucial for preparing college-bound students.

This four-year action plan will outline key steps and considerations for each year, helping you navigate the path to college with confidence.

Here are some highlights of key items parents and students should be considering for freshmen and sophomore high school years.

Freshman year

Priorities for parents

Continue or begin saving in a 529 plan. Encourage grandparents and other family members to get involved.
Help students allocate a certain percentage of their summer job earnings for college expenses. It is also a way to promote good savings habits.
Consider additional accounts such as custodial UGMA/UTMA or other savings accounts to cover non-qualified college expenses such as transportation.

Actions for students

Set goals to achieve a solid GPA throughout high school.
Pursue extracurricular activities to start building a solid resume for the college admission process. College admission officers are more likely to value deeper involvement in an interest or activity rather than sporadic participation in many different areas.
Consider a part-time job if feasible. Admissions officers will often look favorably to students who have demonstrated a strong work ethic and the ability to manage time wisely.

Sophomore year

Priorities for parents

Review asset allocation within college savings accounts to ensure the investments in accounts, such as 529 plans, are appropriate with the time horizon remaining before withdrawals for college begin. Since distributions are likely in the next few years, investing too aggressively may jeopardize savings in the event of a market downturn.
Fund a Roth IRA for students who have earnings from employment.
Consider tax-smart strategies and the impact of income on federal aid. Beginning with next year’s tax return, all income will be considered in the aid calculation since the Free Application for Federal Student Aid (FAFSA) process asks for financial information from the “prior prior” year tax return.

Actions for students

Begin standardized testing with the PSAT in October; this can be a good practice for future tests such as the SAT or ACT.
Consider including Advanced Placement courses in your class schedule if considering a more selective college, which will likely require that type of coursework in high school
Start researching colleges to identify what type of school might be a potential fit depending on academic interests, location, size of student body or cost.
If pursuing athletics in college (Division 1 or 2 level), be aware that you will need to register with the NCAA. Consider registering near the end of your sophomore year or during your junior year in high school.

Final years of high school

The last two years of high school can be particularly important as students approach the final college decision.

Parents will want to review their financial strategy to meet the costs of college, including a review of current savings, financial and merit aid, scholarships and loan options. Students face many deadlines for standardized tests and application requirements.

Considerations for junior year

While not quite crunch-time, the junior year is busy. Parents will research deeper into financial aid and juniors will focus more on academic requirements. Since the application process begins during the first half of senior year, a student’s academic record during junior year is especially important.

Financial priorities for parents

Determine the Student Aid Index (SAI) for federal financial aid (formerly known as the Expected Family Contribution or EFC). This calculation will drive aid awards, including federal grants, needs-based aid from colleges and student loans. Parents and students should visit www.studentaid.gov to access the online financial aid estimate to get a sense of what a potential aid package might look like.
Note that the calculation on the Free Application for Student Financial Aid (FAFSA) is based on family and student income from the “prior-prior” year. This means that, for a student entering college in the fall of 2026, the financial aid calculation will be based on information from the 2024 calendar year tax return (which was generally filed in April 2025). Note that increases in income from selling a stock or converting to a Roth IRA, for example, may hurt aid.
Review 529 account ownership to determine if changes are appropriate when considering financial aid. There have been recent changes in how financial aid is calculated. For example, distributions from 529 plans owned by non-parents (i.e., grandparents) will no longer have a negative impact on the aid calculation. Learn more about changes to the Free Application for Federal Student Aid (FAFSA) form in this article.
Research whether targeted colleges require the College Scholarship Service Profile (CSS Profile) application as part of their financial aid process in addition to the FAFSA application. Be aware that additional information not required on the FAFSA submittal may be needed.
Start compiling information for FAFSA submission, including tax returns and information on savings, investments, and assets for both the parents and student(s).

Action items for students

Prepare for standardized tests and consider taking a test prep course or working with a tutor.
Build a resume including interests, summer employment, internships, community service and achievements.
Start compiling a target list of schools.
Begin college visits, making sure to get contact information for the admissions contact assigned to your region and email each contact about your interests.
Before the end of the school year, meet with teachers, coaches or mentors to request letters of recommendation.
Make sure course work, such as the number of Advanced Placement (AP) classes, reflects the academic requirements of targeted schools.
Register with the NCAA if pursuing athletics at a Division 1 or 2 college.

Considerations for senior year

Financial priorities for parents

Make sure there are enough liquid assets for college-related expenses. This may require investment transfers within college savings accounts to more conservative options.
Identify which savings accounts to tap into first for expenses based on investment, tax or financial aid considerations. See “Strategies to make the most of college savings.”
Research tax credits and deductions to help with college costs. See the IRS page, “Tax benefits for education.”
Attend a college aid workshop or meet with a professional college counselor.
Complete the FAFSA form as soon as possible once it is released by the Department of Education, typically in the fall.
Note that many states and colleges request FAFSA submission as soon as possible after the application period opens. The earlier it is submitted, the better, since it may improve prospects for receiving aid.
Have the student complete a health care proxy when turning 18 and before going to college.

Action items for students

Over the summer, start working on the Common Application and college essay.
Consider taking the SAT in the fall, depending on previous results and the range of scores required for the schools being targeted.
Review social media accounts before applying to make sure posted content would not jeopardize an admissions decision.
Establish a professional presence by creating a LinkedIn profile.
Complete applications as soon as possible. Be aware of early decision/early action and regular decision dates. Make sure the high school has the final list to send transcripts to.
Research and apply for local scholarships.
Schedule official campus visits when school is in session to get a better sense of the typical student environment.
If pursuing athletics, contact coaches to schedule official on-campus visits in the fall.
Trim the college list to a range of options: safety, match, and reach schools.

Consult with a financial professional

A financial professional can help families navigate the entire process. From saving and financial planning and taking advantage of tax-efficient strategies, an advisor can be a critical resource. It is important to consult with a professional who is familiar with your individual financial situation.

Endnote

Bureau of Labor Statistics, “College enrollment and work activity of recent high school and college graduates, 2024.” As of October 2024.

For more information, speak with your financial professional.

WHAT ARE THE RISKS?

All investments involve risk, including possible loss of principal.

Investors should carefully consider the 529 plan’s investment goals, risks, charges and expenses before investing. To obtain the Program Description, which contains this and other information, talk to your financial professional or call Franklin Distributors, LLC, the manager and underwriter for the 529 plan at (800) DIAL BEN/342-5236 or visit franklintempleton.com. You should read the Program Description carefully before investing and consider whether your, or the beneficiary’s, home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in its qualified tuition program.

Franklin Templeton’s 529 College Savings Plan is offered and administered by the New Jersey Higher Education Student Assistance Authority (HESAA); managed and distributed by Franklin Distributors, LLC, an affiliate of Franklin Resources, Inc., which operates as Franklin Templeton.

Investments in Franklin Templeton’s 529 College Savings Plan are not insured by the FDIC or any other government agency and are not deposits or other obligations of any depository institution. Investments are not guaranteed by the State of New Jersey, Franklin Templeton, or its affiliates and are subject to risks, including loss of principal amount invested. Investing in the plan does not guarantee admission to any particular primary, secondary school or college, or sufficient funds for primary, secondary school or college.

Franklin Templeton, its affiliates, and its employees are not in the business of providing tax or legal advice to taxpayers. These materials and any tax-related statements are not intended or written to be used, and cannot be used or relied upon, by any such taxpayer for the purpose of avoiding tax penalties or complying with any applicable tax laws or regulations. Tax-related statements, if any, may have been written in connection with the “promotion or marketing” of the transaction(s) or matter(s) addressed by these materials, to the extent allowed by applicable law. Any such taxpayer should seek advice based on the taxpayer’s particular circumstances from an independent tax professional.

This material has been provided for informational purposes only and should not be construed as investment advice or a recommendation of any particular investment product, or strategy.

Prepare your bond portfolio for changing market conditions. Register today for the Fixed Income Symposium on Sept. 18, 2025, 11AM ET / 8AM PT.

IMPORTANT LEGAL INFORMATION

This material is intended to be of general interest only and should not be construed as individual investment advice or a recommendation or solicitation to buy, sell or hold any security or to adopt any investment strategy. It does not constitute legal or tax advice. This material may not be reproduced, distributed or published without prior written permission from Franklin Templeton.

The views expressed are those of the investment manager and the comments, opinions and analyses are rendered as at publication date and may change without notice. The underlying assumptions and these views are subject to change based on market and other conditions and may differ from other portfolio managers or of the firm as a whole. The information provided in this material is not intended as a complete analysis of every material fact regarding any country, region or market. There is no assurance that any prediction, projection or forecast on the economy, stock market, bond market or the economic trends of the markets will be realized. The value of investments and the income from them can go down as well as up and you may not get back the full amount that you invested. Past performance is not necessarily indicative nor a guarantee of future performance. All investments involve risks, including possible loss of principal.

Any research and analysis contained in this material has been procured by Franklin Templeton for its own purposes and may be acted upon in that connection and, as such, is provided to you incidentally. Data from third party sources may have been used in the preparation of this material and Franklin Templeton ("FT") has not independently verified, validated or audited such data. Although information has been obtained from sources that Franklin Templeton believes to be reliable, no guarantee can be given as to its accuracy and such information may be incomplete or condensed and may be subject to change at any time without notice. The mention of any individual securities should neither constitute nor be construed as a recommendation to purchase, hold or sell any securities, and the information provided regarding such individual securities (if any) is not a sufficient basis upon which to make an investment decision. FT accepts no liability whatsoever for any loss arising from use of this information and reliance upon the comments, opinions and analyses in the material is at the sole discretion of the user.

Franklin Templeton has environmental, social and governance (ESG) capabilities; however, not all strategies or products for a strategy consider “ESG” as part of their investment process.

Products, services and information may not be available in all jurisdictions and are offered outside the U.S. by other FT affiliates and/or their distributors as local laws and regulation permits. Please consult your own financial professional or Franklin Templeton institutional contact for further information on availability of products and services in your jurisdiction.

Issued in the U.S. by Franklin Templeton, One Franklin Parkway, San Mateo, California 94403-1906, (800) DIAL BEN/342-5236, franklintempleton.com. Investments are not FDIC insured; may lose value; and are not bank guaranteed.

You need Adobe Acrobat Reader to view and print PDF documents. Download a free version from Adobe's website.

CFA® and Chartered Financial Analyst® are trademarks owned by CFA Institute.