Dive Brief:
- The average tuition and fees paid by students and their families after aid rose slightly for the 2025-26 academic year but remain well below historic peaks, according to the latest higher education pricing study from the College Board.
- At public four-year colleges, net tuition and fees for first-time, full-time students increased just 1.3% to $2,300 from last year, when adjusted for inflation, according to the College Board’s estimates. That figure is down 48.3% from the peak in 2012-2013.
- At private nonprofits, net tuition and fees for first-time, full-time students rose 3.7% annually to $16,910 in the 2025-26 year, when adjusted for inflation. By comparison, that’s down 14.6% from the peak for private colleges in 2006-07.
Dive Insight:
Despite widespread debate over the cost of college, in real terms those costs have largely decreased for students over the past two decades. Grants from both public and institutional sources can defray those costs and often significantly reduce college sticker prices.
In 2024-25, grant aid rose an inflation-adjusted 5.4% to $173.7 billion, according to the College Board. Much of that increase comes from a 19% spike in Pell Grant aid, which went to nearly 1 million more students during the 2024-25 year. Enrollment in the program rebounded and eligibility expanded under the FAFSA Simplification Act.
Last year’s 7.3 million Pell recipients still fell well below the program’s height of 9.3 million in 2010-11. Total government spending on Pell, at $38.6 billion in 2024-25, was down about one-fourth from its peak in 2010-11 after inflation.
Institutional aid plays a significant role in reducing sticker prices as well, and increasingly so as colleges wrestle with enrollment pressures and competition. Grant aid from colleges made up 33% of the $205.2 billion in total student aid, which includes federal loans, for undergraduates in 2024-25. That’s compared to 23% a decade earlier, according to the College Board study.
That has reduced the burden for students. Average student debt for bachelor’s degree recipients in 2023-24 was $29,560, about $6,000 less than it was 10 years prior, according to the report.
While sticker prices have been rising, adjusting for inflation tempers the price growth. Before inflation, tuition and fees for residents rose 2.9% at four-year public colleges in 2025-26, while sticker prices rose 4% at private nonprofits. After factoring in inflation, those sticker price increases were 1% and 1.4%, respectively.
Still, the public often focuses on sticker price, and tuition discounting often muddies the college cost picture. Although tuition discounting often helps colleges recruit students, some experts say high sticker prices can scare off those not attuned to the complexities of college pricing and can distort the public conversation around cost.
The College Board also found that college enrollment has rebounded from a pandemic-era dip. Fall enrollment hit 18.9 million students in 2023, up from 18.5 million in 2022 and 18.6 million in 2021. However, that figure is down 9.6% from peak enrollment in 2011.
Enrollment pressures are likely to increase amid projected declines in high school graduates in the coming years.
