The average college student is broke. They often have to choose between food and rent. In addition, many students are working several jobs to make ends meet while also attending full-time classes. This leaves little time for studying or participating in extracurricular activities. And, of course, there’s the ever-present stress of student loan debt.
For these reasons and more, it’s not surprising that college students are struggling financially. One reason for this is the high tuition and other expenses associated with attending college. The cost of higher education has been rising faster than inflation for many years now.
Why are College Are Students broke?
College tuition is rising faster than inflation.
The cost of a college degree is on the rise. According to data from the National Center for Education Statistics, tuition and fees at public universities have increased by more than inflation rates in the past five years. Private schools aren’t far behind, with tuition and fees rising 3 percent above inflation annually over the past decade.
What’s driving these cost increases? While there are no easy answers, experts say a combination of factors is to blame, including dwindling state appropriations for universities, costly new technologies and amenities that schools are offering to attract students, and administrative bloat.
Students and their families are feeling the pinch. In a recent survey by Sallie Mae, a financial services company specializing in education loans, two-thirds of parents said they felt financially strained because of college costs.
College students are working more hours while in school.
The cost of college tuition has been rising at an alarming rate, making it difficult for students to afford. As a result, many students work more hours while attending school to make ends meet. According to a study by the Project on Student Debt, in 2010, 71 percent of college seniors who graduated had student loan debt, and the average balance was $25,250. To make matters worse, the job market is still weak, making it difficult for recent graduates to find work.
As a result of these factors, many students have to juggle work and school to make ends meet. This can be not easy, as it leaves little time for studying or socializing. In addition, working long hours can take a toll on students’ grades and mental health.
College students are borrowing more money.
It’s no secret that college tuition rates are on the rise. However, what may be a surprise is just how much students borrow to pay for school.
A recent report from the Institute for College Access and Success (TICAS) found that the average student borrower left school with more than $29,000 in student loan debt in 2016. That’s a six percent increase from just two years earlier.
And it’s not just those attending four-year universities who are feeling the squeeze. According to TICAS, students at community colleges borrow an average of $10,000 per year. So why are students borrowing more money? There are several factors at play, experts say. First, there has been a steady decline in state funding for public colleges and universities over the past few decades.
College students are living at home longer.
There are a few reasons why this is the case. First, the cost of college tuition and fees has been rising faster than the inflation rate for more than 30 years. And as of the 2016-2017 school year, the average cost of tuition and fees at a private nonprofit four-year college was $33,480, while the average price at a public four-year college was $9,650, according to the College Board data.
Many students also take on significant amounts of debt to pay for school. As of 2016, 71% of bachelor’s degree recipients graduated with debt, and that average debt load was $30,000 per borrower, according to a report from The Institute for College Access & Success (TICAS). With all of these factors combined, it’s not surprising that more students choose to live at home longer.
Conclusion
Finances are a common concern for students attending college. The tuition and fees, room and board, textbooks and supplies can add up quickly. For some students, this added financial pressure can lead to a cycle of borrowing money and struggling to make ends meet.
There are several strategies that students can use to help manage their finances while in college. One crucial step is to create or review your budget. Then, make sure you know your expenses and stick to your budget as closely as possible.
Another critical strategy is to find ways to reduce your costs. There are many ways to do this, such as shopping for affordable textbooks, finding low-cost housing options or cooking meals at home instead of eating out. Lastly, it is essential to be mindful of your loans.
What can be done to make college more affordable?
The high cost of college tuition leaves students with little money to live on after they graduate. However, several things can be done to make college more affordable.
One thing that can be done is to have the government offer more grants and scholarships. Another thing that can be done is to have the government provide more low-interest loans. The government could also help by increasing the amount of money it gives to colleges and universities.
Another thing that can be done is for colleges and universities to offer more scholarships and grants. Colleges could also reduce the amount of money that they charge for tuition. Finally, students could work more while in school to save money.
