Breaking Down College Costs

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High school seniors and their families are discovering just how expensive college tuition is. But it goes beyond tuition. There are many expenses that go with a college education. And the price is just increasing.

How does the money break down when paying for college? What are the differences between tuition and fees? How much will college cost?

Average College Cost

The Great Recession from 2007 to 2009 and the economic downturn resulting from COVID-19 may have affected college costs. Over the last 20 years, the result is a jump of about 40 percent in costs when adjusted for inflation.

In the United States, the average yearly cost of college is $36,436. This includes:

• tuition
• room and board
• fees
• books
• supplies

Prices vary depending on whether the school is private or public. For example, the average cost for a student living on campus at a public four-year in-state school is $26,027 yearly, or $104,108 over four years.

A private or nonprofit school charges $55,840 per year on average. This equates to $223,360 over four years.

But how does this break down monetarily?

Full Sticker Price

The full sticker price is the college’s published tuition and fees. But most students don’t pay the full sticker price. Financial aid and institutional grants bring the tuition price down. Most students don’t pay the full sticker price.

For example, in the 2019 to 2020 school year, the average tuition/fees for a four-year in-state school was $10,440. But the net price was $3,870.

Net Price Determined by Tuition Calculator

Because many families don’t pay the full sticker price, the cost of attendance isn’t always clear, but it is mandated by federal law that each college or university provide a tuition calculator.

The tuition calculator is available on the school’s website. It calculates the net price. The student pays the net price after financial aid, institutional grants and scholarships are applied.

It is the final out-of-pocket price families can expect to pay.

Here are links to schools’ net price calculators provided by the Department of Education’s College Scoreboard.

Differences Between Fees and Tuition

Tuition is the biggest portion of a college education cost. This is the amount of money required for courses. But some fees go along with tuition. This is especially true for undergraduate-level students.

“Fees” have multiple meanings. There are general fees that are charged to every student. For example, these include library fees or technological fees. But there are sometimes fees associated with a major. For instance, lab fees may be charged for a biology or chemistry major.

When comparing colleges, it’s wise to look at college guides that standardize fee amounts. When looking at your costs, you want an apples-to-apples comparison.

Books and Supplies

Tuition and fees don’t cover books and supplies. The cost can vary according to the classes taken, but these costs add up quickly.

The average college book costs approximately $105.37. That usually comes to $1,226 annually for an average undergraduate student at a public four-year college. This is a combination of books and supplies.

And although e-books are a less expensive option, 43 percent of faculty say their students learn more from printed text.

Textbooks can be purchased new, used, or rented.

Supplies constitute computers, notebooks, bookbags, etc.

Room and Board Costs

Whether the student lives on or off campus determines the cost of room and board.

On average a public four-year college will charge $11,520 annually for room and board. Off-campus boarders will pay $11,365 annually.

It’s higher for private colleges. Room and board will run approximately $13,028 per year for a private, non-profit school.

Additional College Expenses

Just because families have managed to cover tuition, fees, books, supplies and room and board, doesn’t mean the spending stops.

Students still need transportation, clothes and everyday items to function. Miscellaneous expenses add up quickly.

At a four-year college, additional expenses can run between $3,304 and $4,551 per academic year.

Colleges With Highest COAs in the US

Tuition and fees costs can be used to determine the sticker price. But the full cost of attendance (COA) also considers room and board. For example, in 2023, these are the five most expensive schools in the United States:

• Northwestern University—COA $83,784
• University of Pennsylvania—COA $83,298
• Brown University—COA $83,231
• University of Chicago—COA $82,848
• Georgetown University—COA $82,505

The cost decreases dramatically when federal financial aid is factored into the equation. Also, these schools provide generous institutional financial aid.

Know the True Cost of College

When determining a college, families must be aware of all the pieces that make up the full COA. It’s more than just tuition. Use the tuition calculator to determine a net price, then add room and board as well as any additional expenses.

The Epoch Times copyright © 2023. The views and opinions expressed are those of the authors. They are meant for general informational purposes only and should not be construed or interpreted as a recommendation or solicitation. The Epoch Times does not provide investment, tax, legal, financial planning, estate planning, or any other personal finance advice. The Epoch Times holds no liability for the accuracy or timeliness of the information provided.