Understanding College Costs
A common myth about college is that it’s too expensive. But once students understand what college really costs, they often discover that higher education is within their reach.
College Costs Vary
The biggest part of college costs is usually tuition. Tuition is the price you pay for classes. Along with tuition, you’ll probably have to pay some other fees to enroll in and attend a college. Tuition and fees vary from college to college.
Other college costs include room and board, books and supplies, transportation, and personal expenses. Just like tuition, these costs vary from college to college. And students can find ways to save money on most of these expenses.
You can see that the cost of college depends a lot on the choices you make. There’s something else you should know: The published price of attending a college is not usually what students actually pay. They often pay less, thanks to financial aid.
Financial Aid Reduces Your Cost
Financial aid is money given or lent to you to help you pay for college. It may be awarded to you based on your financial need alone, or based partly on factors such as proven academic or athletic ability. Most full-time college students receive some form of financial aid.
The actual, final price (or “net price”) you’ll pay for a specific college is the difference between the published price (tuition and fees) to attend that college, minus any grants, scholarships, and education tax benefits for which you may be eligible.
The difference between the published price and the net price can be considerable. For example, in 2015-16, the average published price of in-state tuition and fees for public four-year colleges was about $9,410. But the average net price of in-state tuition and fees for public four-year colleges was only about $3,980.
So don’t let the prices published on college websites discourage you. The number you actually need to know is the estimated net price for you. How can you figure that out? Almost all colleges offer a net price calculator on their website. You can also use the College Board’s Net Price Calculator to estimate your net price at hundreds of colleges.
To find out more about the actual cost of college, read College Costs: FAQs.