What will college cost in 2025

To learn more or opt-out, read our Cookie Policy. Since then, the price of college has risen far faster than inflation: Tuition has tripled at public universities and more than doubled at private universities. That creates a dilemma for today's parents.

It's a safe bet that college will be more expensive by the time their kids get to college. But they don't know how much more expensive, which makes it hard to figure out how much to save. One way to get a ballpark figure is to assume that college costs will continue increasing at their current rate. But the way the financial aid system works actually makes the decision a bit simpler for the average parent.

That's because you'll come out ahead financially if you max out tax-free retirement savings options before putting any money in a college savings fund. And since the contribution limits on IRA and k accounts are higher than most people can afford, that means most parents should just focus on saving as much as possible for retirement. Save for retirement first. Then save early and often for college.

But you shouldn't panic, because most people don't pay close to that amount. The most prestigious colleges have financial aid programs that reach well into the upper middle class. Financial aid programs this generous are rare, but financial aid for students even from well-off families is not.

Whether you've saved money for your child's education will obviously affect whether they're eligible for grants based on financial need. Assets saved in the child's name count against their financial aid eligibility more than assets in the parents' names. But need-based financial aid isn't the only kind — there are also scholarships based on academics, and more nebulous "merit-based aid" that sometimes is just used to attract students to attend one college rather than another.

It might seem like you face a difficult choice between saving for your child's education and your own retirement. But almost all financial experts say this isn't actually a tough call: You should save for retirement first. Before you start putting money away for college, make the maximum contributions to your retirement accounts, such as a k and an individual retirement account.

There are three reasons for this. Most Americans use a combination of methods to pay for college: personal savings, plans , financial aid e. What will college tuition cost in five to 10 years?

First, some background: The cost to attend college has been steadily climbing over the past 30 years, and will continue to climb. And Vanguard predicts that, in the coming years, college costs will rise by six percent annually. Harvard University. Northwestern University. University of Alabama In state. University of Michigan. But the overall estimations give you a good sense of what to expect in terms of where pricing is going, and what expected contributions may be.

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Before High School. Make your plan on how best to save. More From Forbes. Nov 11, , am EST. Nov 10, , am EST. Nov 9, , am EST. Nov 8, , am EST. Nov 6, , am EDT.