A new report shows that college costs are now at their highest levels in history, and with the availability of financial aid decreasing, a college degree is now less attainable than ever for a lot of Americans.
According to a survey just released by the College Board, tuition and fees at private 4-year universities are up 4.4% in the current school year to $26,273. Costs at public 4-year schools jumped up 6% to $7,020 for in-state students and to $18,548 for out-of-state students.
The state of the economy is somewhat to blame for the increased costs. Private schools have been raising tuition partly because of dwindling endowments and public schools have suffered a dip in state funding. However, this does not justify the extraordinary increase in costs that occur every year at colleges. In a down economy, people are forced to go back to school in order to be able to secure a job in a more competitive market. Schools are capitalizing on this increase in demand which is putting Americans deeper in debt and creating a barrier for those people with poor credit or without the means to pay.
Simultaneously, student financial aid is not keeping up with these growing costs. A qualified student will be eligible to receive up to $5,350 in grant money for the 2009-2010 academic year and the average award is expected to be $3,150. This is not nearly enough money to send someone school. Families are not able to contribute as much to their children’s education because of high unemployment rates and decreased household incomes. This means more students will need to take out both federal and private student loans, leading to higher debt levels upon leaving college. Knowing they have debt to pay-off will lead to more and more students passing on careers that are beneficial to society, yet low paying, such as teachers and social workers.
Not only does pressure need to be put on colleges to limit tuition hikes, they must also be pushed to invest more financial aid in students who really need it. According to the study, two-thirds of grant money went to students without regard to financial circumstances. Students from the lowest income families go an average of $570 in non need-based grants, while students from upper-middle income families received $730.
If colleges and universities cannot be stopped from raising tuition and other costs, then something must be done about increasing available financial aid to those students and families that need it the most. Pricing our nation’s youth out of a higher education, especially at time when the economy is vulnerable, will significantly decrease America’s prominence as a global leader.
College Tuition Costs at Highest in History
Posted by College Spot in Student News
A new report shows that college costs are now at their highest levels in history, and with the availability of financial aid decreasing, a college degree is now less attainable than ever for a lot of Americans.
According to a survey just released by the College Board, tuition and fees at private 4-year universities are up 4.4% in the current school year to $26,273. Costs at public 4-year schools jumped up 6% to $7,020 for in-state students and to $18,548 for out-of-state students.
The state of the economy is somewhat to blame for the increased costs. Private schools have been raising tuition partly because of dwindling endowments and public schools have suffered a dip in state funding. However, this does not justify the extraordinary increase in costs that occur every year at colleges. In a down economy, people are forced to go back to school in order to be able to secure a job in a more competitive market. Schools are capitalizing on this increase in demand which is putting Americans deeper in debt and creating a barrier for those people with poor credit or without the means to pay.
Simultaneously, student financial aid is not keeping up with these growing costs. A qualified student will be eligible to receive up to $5,350 in grant money for the 2009-2010 academic year and the average award is expected to be $3,150. This is not nearly enough money to send someone school. Families are not able to contribute as much to their children’s education because of high unemployment rates and decreased household incomes. This means more students will need to take out both federal and private student loans, leading to higher debt levels upon leaving college. Knowing they have debt to pay-off will lead to more and more students passing on careers that are beneficial to society, yet low paying, such as teachers and social workers.
Not only does pressure need to be put on colleges to limit tuition hikes, they must also be pushed to invest more financial aid in students who really need it. According to the study, two-thirds of grant money went to students without regard to financial circumstances. Students from the lowest income families go an average of $570 in non need-based grants, while students from upper-middle income families received $730.
If colleges and universities cannot be stopped from raising tuition and other costs, then something must be done about increasing available financial aid to those students and families that need it the most. Pricing our nation’s youth out of a higher education, especially at time when the economy is vulnerable, will significantly decrease America’s prominence as a global leader.