New York (CNN/Money) - Compared with squirreling money away, helping your son or daughter choose a school seems far less daunting. But it's an equally important part of the process .

If you plan to give your child an Ivy League education, brace yourself for the premium you'll pay. The average annual cost for tuition, fees, and room and board for private colleges and universities is about $28,000. The average total price tag for Harvard, Yale, Princeton and their Ivy League cousins is more than $36,000. And you can count on prices rising 2 to 5 percent each year.

Yes, college is an investment. And yes, the old adage that you get what you pay for may apply to higher education. But whether you get a higher return on a designer degree is still up for debate. In fact, some experts believe that parents' money might be better spent at smaller, lesser-known institutions, since a big part of the budget at premium schools may be used to support professors' research rather than their teaching.

Although post-graduation salary is by no means an indicator of the quality of an education, comparing alumni's average salaries is another good way to gauge the return on your six-figure investment.

According to data from the National Bureau of Economic Research, students who attended a school with a 100-point higher-than-average SAT score earned 6 percent more than graduates of less selective schools. It noted, however, that students who attend more selective colleges do not earn more than students who are accepted at equally selective schools but who choose to attend less pricey, lower ranked institutions. In other words, it's the students who make the school, not the other way around, say many college counselors.

Also, keep in mind that some schools steer their students toward certain high-paying professions. According to a recent survey by Peterson's, graduates of higher priced schools end up practicing law and medicine at nearly twice the rate of graduates from other schools, while moderately priced schools graduate far more teachers, counselors and health professionals.

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Now, we would be lying if we said that employers aren't the least bit influenced by where a job candidate went to school. Elite colleges and universities do give their students an advantage early in their career, primarily because these schools attract more on-campus recruiters than less prominent schools. Over the long run, however, employers note that on-the-job experience matters far more than the diploma on your wall.

These days, the success of any college graduate depends upon their ability to make their own connections. That's especially true as the new economy sputters. Layoffs, of course, do not discriminate between Ivy League and community college grads.

But choosing a college isn't just about return on investment. It's also about finding a scholastic atmosphere that best suits your child.

There was a time when students relied largely on word of mouth, college fairs and directories the size of phone books to conduct their college search. Now sophisticated search engines help match preferences with schools; college Web sites give virtual campus tours; and e-mail and message boards make it easy for "prospectives" to quiz upperclassmen and alumni about their experiences.

While the tools have changed, the strategy for finding the best fit for your child is timeless. It's simply a matter of setting priorities, exploring as many options as possible, applying to a variety of schools and carefully weighing the pros and cons of each acceptance letter.

Before you launch a full-scale search, encourage your college-bound kid to think about what exactly he or she hopes to accomplish while in school. The reasons for going to college need not be limited to getting a degree. For many students, the experience of living in a different part of the country or being part of a close-knit campus is as important as what they learn inside of the classroom.

By having a clear sense of purpose, your child will have an easier time prioritizing the many factors that make each school unique, whether it's campus size, location, academic philosophy, campus culture, reputation or research facilities. These priorities will, in turn, be the backbone for a list of prospective schools that, hopefully, you can both agree on.

When investigating different schools, don't put too much stock in any one ranking or review. Also, don't eliminate a school, at least initially, simply because its annual sticker price seems out of your league. Even parents with incomes in the six-figures sometimes qualify for financial aid, and many schools, particularly small liberal arts schools, offer generous packages based on merit rather than need.

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Another factor you should not take at face value is a school's selectivity, which is usually measured by average SAT and ACT scores. These scores are only averages. And schools increasingly look beyond standardized test scores when admitting students. An applicant with below-average test scores, for example, may get in on the basis of a brilliant essay or impressive resume of extracurricular activities. Similarly, a student with above-average test scores could be turned away if he falls short in other areas.

Of course, it's one thing to read a school's academic stats, quite another to actually see the campus. Schools have done a pretty good job of giving "virtual tours" via their Web sites. This can be helpful during your initial search, particularly if your child is considering a school on the other side of the country, but the Internet is still no substitute for real-life campus visits.

Most high school students start thinking about college visits during the spring of their junior year. Spring is when many schools host prospective weeks, in which would-be students stay in the dorms, attend classes and even eat in the cafeteria. If you can't make the trip for a prospective week, try to visit schools when classes are in session and your child can get an inside look at campus life.

Deciding where to apply. Once you've done your research and toured the schools, your child will need to decide where to apply. Now might be a good time to revisit the original list of priorities. Assuming they haven't changed since the college search began – and it's entirely possible that they have – these priorities should be reflected in the final list.

While you'll want it to seem that the decision is ultimately your child's, it's a good idea to make sure your child has applied to a variety of schools. This means applying to at least one school for which acceptance is well within reach, as well as one that may be a bit of a stretch. Also include a financial safety school in the mix. If your family doesn't qualify for any need- or merit-based aid at the more expensive schools, your child has the option of going to an in-state public school.

Although you don't want to focus too much on tuition prices early in the search, it's something most families need to consider when acceptance letters and financial aid offers start rolling in.

If your family qualifies for aid, compare the specifics of individual offers. Scrutinize each package for the amount of loans and work study you can get as well as grant aid, which you won't have to pay back.

When it comes to the final decision, you and your child may not see eye to eye on the best option, particularly if his first choice is vastly more expensive than his second or third. In some cases, however, there may be room for negotiation. For example, the more expensive school might still be an option, if your child is willing to be responsible for student loans, hold down a part-time job during school, and work full-time in the summer. Just be sure to point out that working during the school year can take away from other activities and that the student loans could eat up a good chunk of his monthly income after graduation.

At the same time, your son or daughter might be persuaded to choose the less expensive school if doing so could free up some money for, say, spending a semester abroad or taking a cool unpaid internship during the summer.

The bottom line: When searching for a college, look beyond brand names and focus on schools that best fit your child's personality and aspirations. There are more than 2,000 four-year universities and colleges in the United States and Canada. And thanks to technology, it's possible to sift through this universe easily online and come up with a suitable college wish list. The better the match, the better the chance your child will succeed.

The excerpt you just read is from Get a Jump! The Financial Aid Answer Book, which includes contributions from CNN/Money editors. If you're interested in more of the practical and money saving financial aid advice the book has to offer click here.