So I’d like to see what a parent’s point of view is when their children are deciding where they will attend college. Let me draw out a scenario for you guys…
Your child has applied to every college they’d like to attend. You have some in-state options, out of state options, and some privates. For the out of state/private options, they are nationally viewed as having a better reputation for your child’s intended major. Your child is given scholarship money (more from the private options), but not enough to lower tuition to be less/equal to the in-state options.
You know that the in-state options will give your child a sufficient education, it is financially ideal, and your child plans on attending graduate school. However, the out of state options and private options significantly out weigh the in-state option as far as academic prestige.
Okay, so long story short… Is paying more in tuition worth sending your child to a better school IN YOUR OPINIONS (say your child doesn’t have any say in the matter)?
I know that there are so many factors when considering where to attend, but generally speaking, what would you guys say?
I would tell my child that it is his or her choice where to go to school, as long as all schools are financially viable options, which they should be, or the child shouldn’t have applied to them.
I say it depends of the magnitudes - the magnitude of the difference in price and the magnitude in the difference in academic quality/reputation.
Paying a moderate amount more for a school that is significantly better than the in-state option is “worth it” IMO. But if the extra expense is large and/or the academic difference is small, then go with the in-state option.
If at all possible avoid taking on huge debt, whatever the option. Up to your eyeballs in student loans is no way to start out in life.
I am actually having a difficult time deciding where I should apply to grad school. I am trying to decide whether the more prestigious university is worth the extra cost in comparison to the cheaper option. Some people choose a university that is so much more expensive and I am not sure what their reasons are when there are far cheaper options with similar academic quality.
Like, why is the ivy league so prestigious? What makes Harvard better than say, Michigan State or something? What makes Michigan State better than SUNY Binghamton? Can a better reputation really justify paying a significant amount more?
PS: I know that neither of you are suggesting the more expensive option!
You probably should have had the money talk before the student made his/her application list.
Also, most posters here would give the student the choice, within the limits of affordability, though some parents do offer leftover money for post-graduate professional school or other academic costs if the student chooses under-budget.
There is no generic answer, since the better option depends on such individual factors like:
a. Student’s intended major and how different the schools are in that major and overall prestige.
b. Whether and how much prestige (in major and overall) matter for the student’s goals.
c. How much the cost difference is, and whether any parent loans or parent-cosigned student loans would be needed, and whether the parents have sufficient financial resources so that they will not depend on the student’s post graduation income for things like support in retirement.
What kind of graduate school? For PhD programs, it is probably not a good idea to attend any school without funding (tuition waiver plus living expense stipend, often in exchange for being a research or teaching assistant). For professional school programs, it can vary. For example, any MD graduate from any US medical school can do a residency and then work as a physician, but JD graduates from non-top ranked law schools or with low rank in their law school classes tend to have a tough time finding law jobs.
I generally agree with @Scipio but it’s unclear from OP’s post exactly WHO would be paying the premium. IF you can handle the differential, I would go for the OOS/private options – but it depends. It’s very hard to answer that question without knowing if we’re talking North Dakota (picked at random; no insult intended) versus Harvard or a different contrast. We were not put to that difficult a choice, since the two Ivies where D was accepted made the price pretty much (not less or equal but not much more) what we would have paid in state (not counting air fare).
As long as every college is affordable and within your range of acceptable costs, then I would let the student choose. I guess, I set the constraints upfront before my child sent out the applications.
But if you’re asking about which is the better value, that’s up to you. My sister sent one child to the instate flagship for a very reasonable cost and one child to an expensive elite university at full pay. The general feeling is each child went to the perfect school for them. There was never a thought the second child would attend the instate flagship at all. (No loans were needed)
Since this is for grad school I’d say the school quality/reputation probably matters more than it does for undergrad. But even then it’s still a balancing act.
But again the magnitudes still matter. If your state school is say Berkeley, that’s a state school that for many grad departments can hold it its head high among the most elite private colleges. But if the state school good ol’ North Southern State City College you better figure out a way to pay for the private school.
I know prestige is an important factor for law school, med school and MBA programs (maybe?), so I guess focusing on my interests personally, what about for an MS in accounting program?
I’ve seen many different rankings for US universities, stating which colleges have the best accounting programs. HOWEVER, can programs between schools really be that different? I know that many universities have programs in which they excel at, but for majors like accounting, can there really be that much of a difference in programs to justify paying more over a cheaper option?
I guess as an extreme option, if the in-state option would require zero loans as compared to a college that is private/out of state that will require loans, wouldn’t it be wise to attend the in-state option?
I am a CPA and have a Masters in Tax. IMO, I don’t think it matters. Being a CPA matters more than having a Masters in Accounting. So focus on the CPA aspect, and whatever school can help you with that option should be fine as long as it’s a decent school.
One aspect that doesn’t seem to come up a lot in these forums is the presumption that with a private school comes more attention paid to each student, better academic counseling, more/newer resources, etc. In other words, if you are paying a premium price for something, you like to think that you will get the gold standard services. So if you feel that a private school would create the more personal and perhaps nurturing environment that you want for your child, then pay the extra that it will take for that!
What do you plan to do with the accounting MS degree?
Work as an accountant in a local company? Then the state school is probably just fine.
Work for one of the big national accounting firms? I’d say check with those firms online and see if you can determine which schools they recruit from and hire from. If your state school is prominent on the list, go for it. If not reach for the higher school.
Do you want to keep going in graduate level accounting and do accounting research and be a professor? Then you better reach for the highest school you can attain and keep pushing on for a PhD.
I think zero loans is going to be a really smart choice in 90% of cases. Debt limits so much of life, for so long. There are thousands of people who graduated from less well known programs in all areas, and they are managing just fine without “prestige” degrees.
For accounting, focus on what can get you the educational prerequisites for CPA licensing. Some people use master’s degree programs to get the extra credits needed, but a master’s degree may not be the only way to get the extra credits needed (seems common these days to require at least 150 credits (= 5 years’ worth) including a bachelor’s degree, with some specific courses included, before CPA licensing).
I’m sorry, but I am confused. There seem to be two questions going on here from the same original poster. Are you asking about undergrad or grad school? For your child or yourself? The answers will be VERY different for undergrad vs grad school. So you are going to get a muddle of responses if you don’t separate out these questions and (ideally) post them as different threads.
I think you’ll find most accounting programs to be pretty similar. Same books, same tests (or types of tests). Numbers don’t change that much if you go to school in Kansas or in California.
As everyone says, it is up to what is worth it to you. To me, it wouldn’t be worth it to uproot my residence, travel farther from home, have to re-establish my life if the schools are similar, so I’d go to the instate option. It’s also nice to save some money. This morning I sent my daughter off to college again, and it was nice not having to worry about paying the tuition because she chose wisely and her FA covers everything. She’s in engineering, and while all schools aren’t equal, she’s happy with the qualify of her school. Her cousin is also an engineer at a much higher ranked school, and they often use the same books and seem to cover the same material. He picked an instate option, but actually pays more than her private school because of the FA. If it were me and I was choosing between these two schools, I’d pick his. Oh wait, I DID go to his school! Much more fun.
Most, but not all, accounting hiring is for the local office. Which school is in the geographic area where you would like to live and work for at least 5-7 years after graduation? Which school gives you the most opportunity to get work experience while you are in UG? Those things are more important than the prestige of the school itself.
This is another version of the value question. There is, of course, no right answer but it is important to ask the right questions to minimize buyer’s remorse. It seems like you are looking at the short-term (how do we afford this, who is responsible for the cost) as we all the long-term (effect of student loan debt, graduate school implications).