If you are wondering how you are going to pay for college, a recent report released by Sallie Mae on how other Americans are doing it may give you some insight. The survey, “How America Pays for College,” was conducted by Gallup and found that most students combine several different sources of funding to pay their tuition. In fact, the average family used a combination of income and savings, scholarships and grants, and student loans.
One of the interesting results of the survey was how students were adjusting their overall spending and working habits in order to have the money to pay for school. In fact, 73 percent reported reducing spending and 48 percent reported working more hours. Also, 43 percent of students are living with their parents to save money.
Economic worries and the escalating cost of college
A shocking result of this survey was the reported increase in the cost of attending college. The price tag associated with earning a college degree has increased 17 percent in the last year and a whopping 28 percent since 2008. Because of this, almost half of those surveyed conveyed that they were worried about future tuition increases. That is up from a third the year before. Other economic concerns include job loss and increase in loan rates.
Education still considered highly valuable
Despite drastic tuition increases, the study found that people continue to believe in the value of education. In fact, 71 percent of survey respondents strongly agreed that a degree is more important today than it used to be and 52 percent stated that it is worth the cost. Also, 83 percent agreed that college is an investment in the future and 60 percent are willing to make sacrifices in order to afford that investment.
August 31, 2010
The investment one makes in getting their college is certainly worth it. I think it is worth making whatever sacrifices are nesessary.
September 1, 2010
Considering the costs are going up so fast. Will the amount of money you can get from financial aid go up accordingly?
September 1, 2010
I recently graduated from college, and I started in 2006. With each year, the cost of tuition increased, even while the economy began to falter. I feel that even though many people have large amounts of debt and increasing living costs, it’s still worth it to pursue higher education. A Master’s or Doctorate degree would be even more beneficial due to the large amount of Bachelor’s degree holders.
September 2, 2010
The way I see it, an education is an investment. Sure you are going to have to spend some money on it, but in the long run you will make back much more than what you spent.
September 5, 2010
up 17%? jeez we can’t catch a break!
September 13, 2010
College is worth it because now the market is flooded with Bachelor’s degrees, what does this say for those with Associate’s or only high school diplomas? Also, networking in college is extremely important to gaining a job afterwards.
October 4, 2010
Kind of makes you scared thinking about how much more the costs are going to continue to rise
October 18, 2010
As a single Mom, I’m hoping that most of my costs will be covered with grants. If I have to pay anything out of my pocket, I will do my best to find a way because I know it will pay off with a higher paying job.
November 4, 2010
With the economy being in the state that it is, have the interest rates for college loans been lowered?
January 12, 2011
I have been saving for my daughter’s college education for abut 10 years. She will be applying for school this spring. I am concerned that I will not have enought save to completely pay for school. Are scholarships based on your ability to pay?
January 12, 2011
I am really concerned about the cost of college. I have two children to put through school and don’t know where to turn.
March 29, 2011
Hey Murphy. Scholarship eligibility can be based on many different things; they can be based on grades, financial need, sports, community involvement, essays or just a simple contest. There are thousands of scholarships out there, you just have to find the ones that fit your criteria. Check out EC’s grants and scholarships page for more info.
August 9, 2011
Hi Charles. Federal financial aid, in particular grants, go up and down unfortunately. Keep up with our latest financial aid blogs to learn about any changes.
February 1, 2012
Hi Hope. interest rates are still varying across the board.