About this time of year, when many College Sage students are celebrating their college acceptances, the discussion returns to college affordability. College is a significant investment for every family, no matter the wealth level. Below are a few discussion points to help families through the decision phase of where to pay that May 1 deposit:
Rule of thumb calculator – 25-50-75: The easiest way to think about cost of attendance from a general starting point is my rule of thumb 25-50-75 calculator. In-state public universities will almost always be the cheapest alternative – generally in the $25,000 vicinity including room and board, tuition and fees and before scholarships – and you can generally double that amount for popular public out-of-state universities like UGA, Alabama and UNC. Many private universities are currently pushing total costs of about $75,000 per year.
College Selectivity and Higher Income generally comes at a price: The Lumina Foundation calculated the Net Cost of Attendance for a variety of wealth levels and types of college educations (in 2015/2016 dollars). The average bachelors degree at a 4-year highly selective university showed a net cost of $143,752 versus $69,585 at a public university and $107,281 for high-income families. Source: https://www.manhattan-institute.org/college-affordability-update
Just to Reiterate – College Selectivity Comes at a Price: One of the most difficult college decisions for wealthier families is often whether to go with the cheapest price, the most prestigious offer, or somewhere in the middle. Generally speaking, if your family does not qualify for financial aid, the more selective options will almost always be the most expensive options – even if the student realized a substantial merit scholarship. Families often feel they are the only ones paying full price when they read headlines like Money magazine’s “The percentage of freshman paying full sticker price at private colleges fell to an all-time low of 12% during the past year.” But when you read on, you’ll find that the percentage paying full price at most very selective universities is closer to 50% - often called the Early Decision kids. Source cited: http://money.com/money/4777909/private-college-scholarships-2017/
Top Honors College Spots are Hard-to-Get and Coveted: At The College Sage, we like to highlight the value of the intensely coveted honors college opportunities. Receiving an honors college spot in some top honors programs is equivalent to the same types of students being admitted to Ivy League and highly selective colleges. Consider that Honors College standardized tests of admitted students at UVA, Illinois, Minnesota, Rutgers, Georgia, South Carolina, UT Austin, Clemson, Maryland, Oklahoma, Penn State, Washington, and UNC average SAT scores upwards of 1440 and ACT scores upwards of 33 (ranked in order by average test scores). Source cited: http://publicuniversityhonors.com/college-value-public-honors-vs-private-elites/
There are No Right Answers: Selecting where to place the May 1 deposit is a family decision. At The College Sage, we help the student apply as strong as possible, apply to scholarship and honors college opportunities, and apply to a breadth of different college price points. Ultimately, the decision needs to be a family discussion based on affordability, future expected education goals, family size, and maximization of best-fit characteristics. We can help families think through the options and we definitely help with suggestions for appealing and negotiating aid and scholarships. It can’t hurt to ask for more!
Ultimately the value of an education relies on how much hard work goes into the four years, how naturally curious the student was to begin with, the student’s ability to use communication skills to find strong peers and mentors, and of course, a healthy dose of good luck. For guidance on honors colleges, applying strong, best-fit opportunities and selecting your May 1 deposit, contact thecollegesage.com.
