An investment in the future
Our program is an investment in educators’ careers, their communities, schools, and students.
We believe there are no shortcuts to developing dedicated, culturally competent educators.
Making it count
We remain committed to making our program accessible and have a compilation of financial support, including grants, scholarships, and loan opportunities available to our teachers. We are also committed to ensuring that, by providing you with the best possible coaching and support, you get a return on your investment. You invest in us; we invest in you.
Additional Financial Opportunities
The TEACH Grant Program provides grants of up to $3,772 a year to students who are completing coursework needed to begin a career in teaching. Participants may also be eligible for a variety of federal programs and grant opportunities, such as:
- Loan Deferment
- Teacher Loan Forgiveness
- Public Service Loan Forgiveness
- Perkins Loan Cancellation for Teachers
- Federal Income Tax Credits
City Teaching Alliance also partners with two financial wellness programs that specialize in budgeting support, loan repayment, and forgiveness advising.
More About Program Finances
At City Teaching Alliance, we understand the enormous value of quality education. For educators, that looks like high-quality graduate coursework, and for students that looks like excellent teachers. Our educators complete the program with the skills and experience they need to be highly effective — an investment not only in their own careers but their communities, schools, and students.
However, while recognizing this value we also acknowledge the financial strain that graduate programs may put on some of our aspiring educators. This is why we remain committed to making this program accessible through a compilation of financial aid options, including grants, scholarships, and loans, available to our educators. We are also committed to ensuring that, by providing you with the best possible coaching and support, you get a return on your investment. You invest in us; we invest in you.
We understand how daunting a $45,000 tuition commitment may seem on top of your time and dedication. However, investing in City Teaching Alliance means investing in your future and the futures of the students you will teach—we know that your return on investment is well worth the cost. If you want to dive deeper into your financial options, contact a recruiter to learn more.
In year one, City Teaching Alliance Residents earn a stipend between $30,000-$38,600 (varies by region). Additionally, we cover both the cost of AU’s health insurance for Residents through the duration of Summer Institute (which ends at the beginning of July), as well as the cost of required books and materials for the master’s degree.
Each Resident who successfully signs their Letter of Intent and enrolls with American University (AU) receives a $1,000 signing bonus and a $2,000 Transitional Assistance Grant (TAG). Residents who anticipate an additional need for relocation expenses can also apply for the Additional Transitional Assistance Grant (ATAG). ATAG eligibility and amounts vary as determined by our needs-based formula calculations. The maximum ATAG award amount offered is $2,000, making a total of up to $4,000 available in transitional assistance overall.
In years two through four, Fellows earn a full-time salary and benefits as a teacher with one of our school partners, typically starting at a minimum of $50,000. We work with many school districts and charter management organizations that have some of the highest teacher pay in the nation, including performance pay. This means that an effective teacher can move up the salary ladder even quicker.
Enrollment with American University has a tuition cost of at most $45,000, which is paid over two years. For any questions regarding tuition, please reach out to AU’s Graduate Program Coordinator for City Teaching Alliance. Residents from Washington, DC and Philadelphia should copy Vic Cotton at firstname.lastname@example.org. Residents from Dallas and Baltimore should copy Almosa Pirela at email@example.com. The cost of tuition is set by American University and is subject to change.
American University will increase tuition by at least 3% for all AU students beginning Fall 2023. City Teaching Alliance does not want Residents to feel the weight of this increase and has decided to subsidize the tuition to keep your tuition at $45k. On your student account, you will see a “sponsored payment” line that deducts the percent tuition increase amount from your bill starting in the fall. That credit is the portion of your tuition that is covered and subsidized by City Teaching Alliance and not an expense that will be passed onto you.
Among the available opportunities, many participants utilize the TEACH Grant and the AmeriCorps Segal Education Award. The TEACH Grant allows for up to $4,000 toward graduate school tuition per year, totaling up to a maximum of $8,000. AmeriCorps participants endorsed by City Teaching Alliance may be eligible to receive two Segal awards up to $6,895 each year, for a total of $13,790 over two years, which can be used towards student loan repayment.
For candidates who are eligible, the Black Educators Initiative (BEI) offers financial and programmatic assistance throughout the program. BEI participants receive grants ranging from $4,000 to $5,000 and AU tuition payments between $20,000 and $25,000, resulting in a total of $24,000 to $30,000. For more details, visit the BEI page on our website.
Incoming Residents should submit the 2024-25 Free Application for Federal Student Aid (FAFSA). Be sure to list the AU FAFSA code 001434 in the college release section. If eligible for federal student aid, packages will likely consist of Federal Direct Unsubsidized Loans. Participants can also apply separately for additional Graduate Plus Loans, as well as the TEACH Grant.
Please note that City Teaching Alliance participants must complete the FAFSA each academic year to remain eligible for federal student aid. They must also maintain a minimum cumulative 3.0 GPA, complete two-thirds of all cumulative attempted credits in their master’s program, and finish the program within the maximum timeframe as defined in AU’s Academic Regulations.
While City Teaching Alliance and AU welcome DACA recipients to this program, DACA recipients are ineligible to receive federal student aid at this time.
During Summer Institute, known as “Summer A,” the organization provides coverage for housing and meal costs. However, after the conclusion of Summer Institute (beginning of July), the cost of living expenses must be budgeted by each Resident through their salary or stipend.
To support Residents with their housing arrangements, each region’s Enrollment Manager will support incoming participants with various resources to find housing. These resources vary by region but can include housing guides, assistance in finding roommates, information on local apartment complexes with reserved units and discounted rents for Residents, and more.
Additionally, City Teaching Alliance partners with Mariner Financial Wellness, a financial wellness and 1:1 coaching platform. You can access this benefit for free through City Teaching Alliance starting the Spring prior to the start of Summer Institute and throughout the entire program. With their tools and real, human coaches, Mariner Financial Wellness can help you plan monthly budgeting, reduce financial stress, build confidence, and work towards financial success by saving more money and reducing debt.
All incoming members of Cohort 2024 will receive a $1000 Signing Bonus and a $2000 Transitional Assistance Grant (TAG). Should a participant believe they will need additional financial assistance in order to transition to City Teaching Alliance, they may apply for an Additional Transitional Assistance Grant (ATAG). The Additional Transitional Assistance Grant determinations are formula-based and informed by factors such as relocation distance, city cost of living, etc. Eligibility is dependent on the formula-based calculations. Of those determined eligible, total ATAG award amounts vary between $100-$2000.
There are currently several federal tax deductions and credits available to educators. While City Teaching Alliance does not provide tax advisement, we recommend that our teachers reach out to their tax agencies/providers when filing to ask about the following credits and deductions:
- Tuition and Fees Federal Deduction: Residents in the first year of the program may be eligible for a $4,000 deduction. More information can be found here.*
- Lifetime Learning Federal Income Tax Credit: Residents in the first year of the program may be eligible for a $2,000 tax credit qualified tuition and related expenses. More information can be found here.*
- Educator Expense Federal Deduction: Fellows and alumni who continue their careers as classroom educators may be eligible for a $250 tax deduction for costs like books, supplies, computer equipment and software, classroom equipment, and supplementary materials used in the classroom. Expenses for participation in professional development courses are also deductible.
*Please note that the Tuition and Fees Deduction and Lifetime Learning Federal Income Tax Credit may not be claimed during the same tax year. Again, we recommend that you seek tax advisement to ensure you are receiving the greatest tax benefit.
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