Paying for College: The Expensive Elephant in the Room

Including tuition, room and board, and other expenses, families will spend an average of $92,304 for four years at a public in-state college; for private colleges, it jumps to an average of $169,732 for four years (NCES 2017-18). With the cost of higher education seemingly reaching no limit, families are feeling stuck. Is it better to save for college as soon as a child is born, or will limiting assets benefit your student in the college financial aid process? Where can you turn when you have questions about paying for college?

The cost of higher education is not a new topic. Even 15 years ago, families bristled at the high sticker prices of the most selective colleges in the country. But price tags have continued to rise. When I worked in college admissions at the University of Miami, Emory, and UNC Chapel Hill, families frequently asked me about the average financial aid package and the availability of merit aid. Now, colleges are required to post Net Price Calculators on their websites, making it easier for families to estimate their expected contributions. Some colleges even post formulas, based on grades and test scores, for calculating the amount of merit aid for which students may qualify.

I realize finances are a sensitive topic. Most of the time, students may not be aware of how much (if any) funds their parents have set aside for college. My childhood friend had her heart set on a highly-ranked private school only to find out, after she was admitted and proudly wore the college’s sweatshirt around town, her parents could not afford to send her there. Because of similar stories I have heard during my time in college admissions, I recommend all parents discuss finances with their college hopefuls early in the process. It is better to set expectations early, rather than dash dreams or, worse yet, take on overwhelming debt to pay for college.