College isn’t cheap, especially if you plan on finding a private university to attend. It is no wonder that average American household pays $23,757 per year for college tuition according to an article on CNN from last summer.
So how does the average American family pay the bill? Researchers broke down where the funds came from and assigned a percentage value. With that in mind, here is how much of that $23,757 per year is covered in the average household.
- $901 – This portion if covered by friends and family. Perhaps it is due to generous gifts at a graduation party that end up going on tuition, or it may be that grandparents decide to contribute by paying for books.
- $2,569 – This is the portion that most students pay out of pocket. Whether you are saving up money at a summer job, working while in school, or you just never spent your allowance as a child, students usually cover more than 10% of their own tuition.
- $5,527 – Parents are usually footing about double the amount their children are when it comes to out of pocket expenses.
- $6,370 – Loans make up a large part of how Americans pay for college, and while government loans may be low-interest, that doesn’t make them cheap. Remember, we’re talking about an average of $6,370 per year so those loans will add up.
- $8,390 – Fortunately the largest portion of college tuition is covered by things such as loans or grants that do not need to be paid back. This is where College Planning Source comes in. We offer the funding and aid planning that helps families acquire as much scholarship and grant money as possible. To learn more, contact us today at 858.676.0700.