The ongoing issues with the new Free Application for Federal Student Aid have resulted in delays in financial aid award letters and have prevented many high school seniors and their families from applying for aid altogether. According to the National College Attainment Network, as of June 14, only 45% of high school graduates have completed the FAFSA, which is a decrease from 52% the previous year. This represents over 300,000 students who have not applied for financial aid, a significant blow for those with the highest need.
Rising Costs of College Education
The cost of attending some four-year colleges and universities has been steadily increasing, with the total expenses nearing $100,000 per year. This figure includes tuition, fees, room and board, books, transportation, and other miscellaneous costs. However, despite the rising costs, students and their parents seldom pay the full amount as they may be eligible for federal aid, state aid, or aid from the college itself.
Financial Aid Rankings
In an effort to assist students and their families in making informed decisions about paying for college, The Princeton Review has ranked colleges based on the amount of financial aid awarded and the satisfaction levels of students with their aid packages. The rankings are informed by data from surveys of over 650 colleges in the 2023-24 school year. The report highlights that some colleges have taken proactive steps to address financial aid and the cost of college amid the challenges with FAFSA.
It is believed that the difficulties associated with the FAFSA process may result in a drop in college enrollment. However, colleges that are known for offering substantial financial aid packages are likely to attract more students. Among the top five schools listed by The Princeton Review, the average scholarship grant awarded to students with financial need exceeds $68,000. Grants are the most sought-after form of financial assistance as they do not require repayment.
1. Yale University
Location: New Haven, Connecticut
Sticker price: $87,150
Average need-based scholarship: $71,577
Average total out-of-pocket cost: $15,573
2. Vassar College
Location: Poughkeepsie, New York
Sticker price: $85,220
Average need-based scholarship: $61,252
Average total out-of-pocket cost: $23,968
3. Williams College
Location: Williamstown, Massachusetts
Sticker price: $85,820
Average need-based scholarship: $70,764
Average total out-of-pocket cost: $15,056
4. Pomona College
Location: Claremont, California
Sticker price: $86,814
Average need-based scholarship: $65,925
Average total out-of-pocket cost: $20,889
5. California Institute of Technology
Location: Pasadena, California
Sticker price: $82,758
Average need-based scholarship: $74,013
Average total out-of-pocket cost: $8,745
The challenges with the FAFSA process have had a significant impact on the timely disbursement of financial aid award letters, resulting in decreased completion rates and potential implications for college enrollment. However, colleges that prioritize addressing financial aid concerns are likely to see increased interest from students seeking affordable higher education options. It is essential for students and families to explore all available financial aid opportunities to make informed decisions about paying for college.