Comparing the cost of college to other life purchases
Everyone knows college costs are up, but how does that rise compare to the increase in prices of other life purchases, like cars, housing and consumer goods?
The chart below shows how the rise in college tuition at public and private universities compares to the increase in cost of items in the consumer price index (CPI), homes, cars, and healthcare as well as the median income.
College costs dramatically outpace other life expenses
Unsurprisingly, the rise in college costs has been significantly greater than the cost of any other item.
And compared to income, the rise is even more dramatic.
Rising college costs squeeze college-bound families
Costs at public universities are up 231%, and private college costs increased 153%.
This increase in costs is much higher than the increase in costs like cars (26%) and homes (42%).
Meanwhile, median income has increased just 3% over that same period, making it extremely difficult for college-bound families to afford college without resorting to student loans.
In an era of rising college costs, it’s never been more important to be frugal when choosing a college and taking out student loans. For help finding out how to make college affordable, give us a call at 1-888-234-3907 or contact us using this form.