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Paying for college can be a challenge, especially if you don't know what you're up against. The cost of a college education can vary based on a number of factors, such as the school you attend, how many years it takes to obtain a degree, living expenses and more. For the 2023-24 school year, annual tuition costs for a four-year school range from $11,260 to $41,540 on average, according to CollegeBoard.
Breaking down the average cost of college can help you get a better idea of what to expect, so you can plan for what's ahead. Here's everything you need to know about the average cost of college.
What Is the Average Cost of College?
Tuition often gets most of the attention when it comes to the cost of attending a college or university, but it's far from the only expense to consider.
In addition to outlining the cost of tuition and fees, colleges also provide a total cost of attendance, which includes room and board, transportation, supplies and equipment and other personal expenses.
Here's a quick summary of both the average cost of tuition and overall cost of attendance based on school type for the 2023-24 school year:
| Average College Costs for 2023-24 | ||||
|---|---|---|---|---|
| Cost | Public Two-Year, In-District | Public Four-Year, In-State | Public Four-Year, Out-of-State | Private Nonprofit Four-Year |
| Tuition and fees | $3,990 | $11,260 | $29,150 | $41,540 |
| Housing and food | $9,970 | $12,770 | $12,770 | $14,650 |
| Books and supplies | $1,470 | $1,250 | $1,250 | $1,250 |
| Transportation | $1,930 | $1,290 | $1,290 | $1,100 |
| Other expenses | $2,500 | $2,270 | $2,270 | $1,880 |
| Total cost of attendance | $19,860 | $28,840 | $46,730 | $60,420 |
Your costs can also vary depending on the type of degree program you're in. Here's a quick breakdown of what you can expect for a bachelor's, master's or doctoral degree:
| Average College Costs for 2023-24 by Degree Program | ||||
|---|---|---|---|---|
| Cost | Public Four-Year | Private Nonprofit Four-Year | ||
| Bachelor's Degree | Master's Degree | Bachelor's Degree | Master's Degree | |
| Tuition and fees | $8,910 | $9,250 | $41,890 | $30,970 |
| Housing and food | $11,850 | $11,680 | $13,580 | $13,710 |
| Total | $20,760 | $20,930 | $55,470 | $44,680 |
Average Student Loan Debt
Student loan borrowing has been on a downward trend, with 12 consecutive years of declines in annual borrowing, according to CollegeBoard. A little more than half of bachelor's degree recipients graduated with student loan debt in the 2021-22 school year.
That said, the average student loan balance remains at $37,797, according to Experian data. That number has declined in recent years, largely due to broad student loan forgiveness efforts, modifications to existing income-driven repayment plans and a yearslong payment moratorium that also paused interest accrual.
Older borrowers continue to carry much of the student loan debt burden, Experian data shows. Here's how the average student loan balance compares for each generation:
| Average Student Loan Debt by Generation | |
|---|---|
| Generation | Average Balance |
| Generation Z (18-27) | $22,948 |
| Millennials (28-43) | $40,438 |
| Generation X (44-59) | $44,240 |
| Baby boomers (60-78) | $41,877 |
| Silent Generation (79+) | $31,106 |
Source: Experian data as of the first quarter of 2024
How to Borrow Less in College
Multiplying average annual college costs by four years can be jarring to any student preparing to begin their college journey. For the majority of college students, student loans are necessary to help them get through school.
But while the standard repayment term for federal loans is 10 years, many students take twice as long or longer to pay back what they owe.
Whether you've just graduated from high school or you've been in college for a few years, it's crucial to research different ways that you can pay for school without relying too heavily on student loans—or even avoiding them altogether.
Here are some potential ways you can borrow less for your college education.
Pick a Less Expensive School
You don't need to attend a household-name university to get a quality education. For many students, it could even be worth it to complete general education and elective courses at a community college and then transfer to a four-year school to complete degree-related coursework.
If you do choose to attend a pricier university, however, know that more expensive schools may also offer additional financial aid to students who demonstrate financial need.
So, rather than comparing the cost of attendance for each school you're considering, include all of the schools on your Free Application for Federal Student Aid (FAFSA), and then compare the financial aid award letters you receive from each one to get a better cost comparison.
Look for Scholarships and Grants
When you fill out the FAFSA each year, your school's financial aid office will use the information you provide to determine whether you qualify for federal grants and needs-based scholarships. Unlike student loans, these forms of gift aid don't need to be repaid.
While you're at it, don't forget to check with your school to find out about other merit-based scholarships you may be eligible to receive. You can also apply for scholarships and grants from private organizations using databases like Scholarships.com and Fastweb.
Work a Part-Time Job
If your course load makes it possible for you to work in college without sacrificing your grades, the income you earn can help cover any of the costs associated with attending college. You can even check out the federal work-study program, which is another form of financial aid that doesn't need to be repaid.
If you can't work during the school year, consider taking a break from classes each summer to work full time and save up for the upcoming school year.
Get Help from Your Employer
Some employers offer to pay for some or all of your college tuition through a tuition assistance or reimbursement program. This likely won't cover other necessary educational expenses, but it can cut your costs significantly.
If you foresee a career in the military, joining one of its branches can be another solid choice. Just make sure you understand the potential requirements of employer-sponsored tuition programs. If you opt for a military career, that may include a service obligation.
How to Pay Off Student Loans
Regardless of how much student debt you take on to get through school, it's important to have a good strategy to pay it off. Here are some strategies that can help you achieve your goal of eliminating your student debt faster while saving money on interest along the way.
1. Start Paying Immediately
You'll generally get a six-month grace period after you graduate from school, but if you have a job lined up and can afford it, consider starting to make payments during that grace period.
This will help you pay down the interest that accrued on your debt since it was disbursed, helping to cut down how much of it gets added to your principal balance once your repayment period officially begins.
2. Make Extra Payments
If your budget allows, pay more than the minimum amount required every month. If you have loans with different interest rates, consider putting your extra payments toward the loans with the highest interest rates first to maximize your savings.
If your budget doesn't have much room for extra payments, consider looking for ways to earn extra money through a side hustle, a second job, overtime hours or odd jobs. Opportunities can vary based on your situation, but even a little extra money every month can go a long way over time.
3. Seek Assistance
There are many jobs out there that can help you pay off your student loans. For example, if you work for a government agency or an eligible nonprofit organization, you may qualify for the Public Service Loan Forgiveness program. The Teacher Loan Forgiveness program is another option if you're planning a career in education.
Government agencies also provide student loan repayment assistance programs for those who serve in the military or work in health care, education, public defense and more.
Finally, 34% of private employers offer some form of student loan repayment assistance to their employees, according to a 2023 survey performed by the Employee Benefit Research Institute, with 33% more saying they have plans to offer the benefit.
4. Refinance Your Student Loans
If you have high-interest student loans and your credit score and income are in good shape, refinancing your loans could potentially save you money. Refinancing with a private lender can potentially help you secure a lower interest rate than what you're currently paying.
It can also give you more flexibility with your payments. Just keep in mind that refinancing federal loans will cause you to lose access to forgiveness programs and income-driven repayment plans, which may not be worth it in many cases.
Start Building Credit in College to Prepare for Your Future
As a college student, you can get federal student loans without a credit check. But once you graduate, you may need to borrow money for larger purchases like a home or a car. Instead of waiting until you're out of school, consider starting the process of building your credit history now.
You can start with a student credit card or even as an authorized user on a parent's credit card account. Using Experian Go™, you can also get access to other resources to help you learn how to build credit and even get access to your credit score and Experian credit report to keep track of your progress.