College Cost Facts and Trends
College is a huge investment, and costs have skyrocketed over the past 25 years.
The cost of a college degree increased by 439% between 1982 and 2008, while the
median income has increased by only 147%, according to the National Center for Public
Policy and Higher Education. To cover a college's published cost of attendance,
it helps to secure as much student aid as possible.
How much aid can you secure? The exact amount will depend on your financial need,
the college you attend, and your qualifications for merit-based grants and scholarships.
Looking at the big picture, you should be encouraged to know that:
- For the 2008–2009 academic year, there was $170 billion available in college financial
aid. More aid is expected to be available for the 2010-2011 academic year.
- Employers spent more than $6 billion dollars to help their employees pay for higher
education.
- Families received education tax benefits that reduced their tax bills by $6.8 billion last year.
A word of caution: Despite these huge numbers, there is competition for every last
nickel of aid! Consider these figures:
- Recent studies from the Project on Student Debt estimate that college graduates
from the Class of 2008 had an average of $23,200 in student loan debt.
- Only 1 in 15 undergraduate college students receives an estimated average of $1,982
in private student aid.
- One-third of first-year, full-time, degree-seeking students receive college-specific
student aid awards.
To maximize student aid awards,
you must be informed and on top of your game when applying! Make sure you understand
the
student aid application process
and get your
federal student aid application (FAFSA)
completed accurately and on time. The earliest you can apply is January 1 of the
year you plan to attend college. Most aid is awarded on a first-come, first-served
basis, so don't delay applying. Remember, nearly everyone is eligible for some type
of student aid.