It doesn’t take a degree in finance to see the cost of college continues to rise.
In its 2017 report, the College Board showed that public four-year institutions raised prices an average of 3.2% annually between the 2007-08 and 2017-18 school years. Put another way, a $5,000 education in 2007-08 would cost $6,851 in 2017-18.
For a few families, the lion’s share of education costs falls on parents and, in some cases, on grandparents. Generally the majority of families rely on a combination of scholarships, grants, financial aid, part-time jobs, and parent support to help pay the cost.
Fast Fact: Private Costs. Tuition and fees for private four-year institutions averaged $34,740 for the 2017-2018 school year. If you add room and board, the figure rises to $46,950.
Source: College Board, 2017
If your child is approaching college age, a good first step is estimating the potential costs. The accompanying worksheet can help you get a better idea about the cost of a four-year college.
Tip: Public Costs. Average in–state tuition and fees for public four-year institutions was $9,970 for the 2017-2018 school year. Out-of-state tuition for these same institutions averaged $25,620. Source: College Board, 2017
If you’ve already put money away for college, the worksheet will take that amount into consideration. If you haven’t, it’s never too late to start.
There are a number of resources that can help individuals prepare for college. The U.S. government distributes certain information on colleges and costs. Here are two sites to consider reviewing:
The government’s college and financial aid portal.
The group that administers the SAT test.
Estimating the Cost of College
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