This is an interesting article: https://www.reuters.com/article/us-money-education-tuition/middle-class-parents-paying-least-for-college-study-idUSKCN1MS071 .
I’m wondering what the numbers would be if they weren’t including LOW INCOME families in with “middle class”. Who thinks that a family earning $35k per year is middle class??? Certainly not me! Lol. Aren’t the $35k per year families getting large Pell Grants? I’m thinking that middle class starts around $50k.
So, I wonder how those numbers change once you remove all those who receive Pell Grants in that middle class group?
I also doubt that many families earning less than $35k per year are contributing $14,500 per year. That would only be the case where people are lying on FAFSA, have ignored assets, have grands who pay, or have a NCP that’s doing the real paying.
In reality, many of our low income and middle income student commute to their local community college or state school where their expenses are really about $2k-15k per year (really much less once aid/loans are applied. )
According to Pew Research: “Middle-income households – those with an income that is two-thirds to double the U.S. median household income – had incomes ranging from about $45,200 to $135,600 in 2016.” From a story in MarketWatch: “There is no universal definition of the middle class. The Pew Research Center often uses the middle wealth quintile, the middle 20% of Americans’ income and wealth. Other economists have said it’s defined as making 50% above or below the median annual income.”
The reality is that many families do not have a local community college or state school to which they can commute. This fact drives up their cost.
I’m not buying it. Maybe they’re paying $10,000/year not including loans? Is this just tuition? Are they counting work study as an award and not a contribution?
According to the Pew Research quoted by kelsmom, my family’s AGI is “middle-income” and yet our EFC at most schools is a staggering 40% of our AGI, making it unrealistic/unaffordable.
Not EFC … what the families actually report paying. So this is a study of what people pay at the colleges they attend.
Here are some 2017 household income percentiles in the US:
25th: $29,010
50th: $58,849
75th: $105,580
So the article’s range is pretty close to the middle 50% of household incomes.
The FAFSA EFC for a family of 5 with $80,000-$100,000 income is way more than $10,000.
Just finished filling out FAFSA. We are mid-$90,000 income. Family of 5. One in college this year was $27,000 EFC. Three in college next year is $10,650 EFC for each.
I think many of us are operating under the assumption that most students get the sleep-away college experience. Most students commute and live at home. Most students attend state schools and community colleges. I can certainly see expenditures of 10K being average under quite a few circumstances.
EFC is number used to award aid … it has nothing to do with what people actually are paying. You could have an EFC of $50,000 but attend a school that costs far less … so you will pay less.
I think the cost of the school is a big factor. I think many middle class students are going to their state public schools so they do pay less.