The price of a college education has dramatically changed over the past several decades, and not in a way that’s easy to ignore. For those who have seen their children or relatives recently graduate—or those of us paying attention to the mounting student loan debt—it’s clear: college tuition costs have skyrocketed.
According to the National Center for Education Statistics (NCES), a division of the U.S. Department of Education, the cost of attending college has increased more than fourfold since 1985. These figures are adjusted for inflation, so they reflect 2022-23 dollars, giving us a clearer sense of how much the cost of education has outpaced the general rate of inflation. But behind these numbers lies a story of growing financial strain for families, with costs continuing to rise year after year.
A Look Back: The 1985-86 Academic Year
To better understand the scale of this increase, let’s look at the cost of a college education back in the 1985-86 academic year. Adjusted for 2022-23 dollars, the average total cost for all institutions (private and public) was $13,453. For context, this includes not only tuition but also fees, room, and board. The breakdown was as follows:
- All institutions: $13,453 (adjusted for inflation)
- Four-year colleges: $15,159
- Two-year colleges: $9,273
These were considered reasonable costs for the time, and most families could manage to pay for a public or private education without assuming significant debt. But by the 2022-23 academic year, the picture looked very different.
The Current Landscape: 2022-23 Academic Year
Fast forward to 2022-23, and the average annual cost for college has jumped substantially. These are the numbers adjusted for inflation, again taking into account tuition, fees, and room and board:
- All institutions: $27,673
- Four-year colleges: $30,884
- Two-year colleges: $12,300
At face value, this represents a massive increase from 1985. To see the rise in more detail, let’s break down how public versus private institutions have fared.
Public Colleges: 1985 vs. 2023
The cost of attending a public college has more than doubled in the past 38 years. Here’s how the numbers have changed:
- All public institutions (1985): $9,835
- Four-year public colleges (1985): $10,626
- Two-year public colleges (1985): $8,260
By the 2022-23 academic year, these costs had jumped to:
- All public institutions: $20,401
- Four-year public colleges: $22,389
- Two-year public colleges: $11,953
While public colleges remain more affordable than private ones, the increase over the years is significant. A substantial rise in tuition and fees has placed pressure on students, especially for those seeking four-year degrees.
Private Colleges: A Steeper Climb
Private colleges have seen even steeper increases. In 1985, the average cost for attending a private institution was far higher than public colleges, and it’s only grown more expensive since then. Here are the adjusted costs for 1985:
- All private institutions (1985): $24,468
- Four-year private colleges (1985): $25,415
- Two-year private colleges (1985): $17,934
By 2022-23, those numbers had soared to:
- All private institutions: $49,320
- Four-year private colleges: $49,654
- Two-year private colleges: $28,792
The staggering rise in private college tuition is a major concern for families who once saw private education as a viable option. With the cost of attending a private institution nearly doubling in 40 years, many families are rethinking their educational choices.
Beyond Tuition: Additional Costs Students Face
It’s important to note that these tuition and fee figures do not account for all the other expenses students face when attending college. Books, transportation, personal expenses, and everyday living costs add up quickly, further inflating the total cost of attending school.
For example, students are often faced with buying textbooks that can cost hundreds of dollars per semester, and if they live off-campus, rent can significantly raise the cost of attendance. Even basic living expenses—food, entertainment, transportation—can increase the overall price of a college education.
Why Has College Become So Expensive?
Several factors have contributed to this rise in tuition costs over the decades. Here are some of the key reasons:
- Reduced State Funding for Public Colleges: In the past, state governments provided substantial funding to public universities, keeping tuition affordable. However, over the years, state funding has decreased, forcing public institutions to rely more heavily on tuition fees to cover their operating costs.
- Administrative and Infrastructure Growth: Many colleges have expanded their administrative staff and upgraded their facilities, which come with higher operational costs. This increase in overhead is often passed on to students in the form of higher tuition.
- Student Demand and Financial Aid: The increasing demand for college education, coupled with expanded access to financial aid, has allowed universities to raise prices. When students can access more loans or grants, colleges have less incentive to hold down costs.
- Limited Impact of Inflation: While inflation has affected many sectors of the economy, the rate of increase in college tuition has far outpaced the average inflation rate. This phenomenon suggests that the rise in tuition is not solely due to broader economic factors but also due to decisions within the higher education system itself.
The Impact on Students and Families
The rising cost of college education is more than just a financial issue—it’s a social one, too. As tuition climbs, the ability to attend college without taking on significant debt becomes increasingly out of reach for many families. Students are graduating with higher amounts of debt, which can affect their ability to buy homes, save for retirement, or invest in their future.
Moreover, the financial strain on families means that education is becoming an increasingly class-based issue, with wealthier families more likely to afford private college education while middle- and lower-income families struggle to keep up with rising public college costs.
Conclusion: What Does the Future Hold?
As tuition costs continue to rise, it’s hard to predict where they’ll go from here. But one thing is certain: the affordability of college is a growing concern for families across the country. The increasing financial burden has raised questions about the sustainability of the current model of higher education. For students and families planning for college in the coming years, finding ways to save and minimize debt will be crucial—especially as tuition shows no signs of slowing down.
In the face of these rising costs, the need for innovative solutions to reduce the financial burden on students—such as more accessible scholarships, better financial aid, and a reevaluation of the true value of a college degree—has never been more urgent.
