Just How Fast Are College Costs Growing?

Everyone knows college costs are increasing, but just how much? Most experts project an average 6% increase per year. That means the cost to send a newborn child to a 4-year public university in the year 2023 will reach over $145,000 or over $335,000 for a 4-year private university. The graph below shows the rate these costs are expected to grow over the next 18 years.

The Rising Cost of Higher Education

Costs based on 2005-2006 estimate of average tuition, fees, and room and board for 4-year public and private universities according to the 2005 Trends in College Pricing published by the College Board. Projected pricing assumes a 6% annual rate of increase in college costs.

However, don't let the rising costs scare you. Our Tools Section can provide you with valuable tips for planning your college investing strategy.

The Rising Cost of Higher Education (Based on 4 years of school). By 2023, costs at a private university may reach $335,062, and costs at a public university may reach $145,311.

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