Surging college costs price out middle class

Discussion in 'Education' started by Shadow, Jun 13, 2011.

  1. Shadow
    Offline

    Shadow BANNED

    Joined:
    Aug 16, 2008
    Messages:
    5,282
    Thanks Received:
    925
    Trophy Points:
    0
    Location:
    Land Of Enchantment
    Ratings:
    +926
    NEW YORK (CNNMoney) -- What do you get when college costs skyrocket but incomes barely budge? Yet another blow to the middle class.

    "As the out-of-pocket costs of a college education go up faster than incomes, it's pricing low and medium income families out of a college education," said Mark Kantrowitz, publisher of financial aid sites FinAid.org and FastWeb.com.

    Tuition: In 1988, the average tuition and fees for a four-year public university rang in at about $2,800, adjusted for inflation. By 2008, that number had climbed about 130% to roughly $6,500 a year -- and that doesn't include books or room and board.

    Income: If incomes had kept up with surging college costs, the typical American would be earning $77,000 a year. But in reality, it's nowhere near that.

    In 2008 -- the latest data available -- the median income was $33,000. That means if you adjust for inflation, Americans in the middle actually earned $400 less than they did in 1988. (Read: How the middle class became the underclass).

    Rising college costs price out middle class - Jun. 13, 2011
     
  2. editec
    Offline

    editec Mr. Forgot-it-All

    Joined:
    Jun 5, 2008
    Messages:
    41,427
    Thanks Received:
    5,598
    Trophy Points:
    48
    Location:
    Maine
    Ratings:
    +5,617
    Yup!

    Not a clue how my kid is going to get through college given the current state of affairs.

    Compared to the help that was avaialable to me and my generation?

    Today's kids are hosed.
     
  3. boedicca
    Offline

    boedicca Uppity Water Nymph Supporting Member

    Joined:
    Feb 12, 2007
    Messages:
    41,797
    Thanks Received:
    12,774
    Trophy Points:
    2,250
    Location:
    The Land of Funk
    Ratings:
    +22,790
    Yeah. The Feds promoting "Everybody Deserves A College Education" has done to the cost of college what their "Everybody Deserves To Own A Home" policy did to the housing market.

    The only difference is that the higher education bubble has not yet burst.
     
  4. Shadow
    Offline

    Shadow BANNED

    Joined:
    Aug 16, 2008
    Messages:
    5,282
    Thanks Received:
    925
    Trophy Points:
    0
    Location:
    Land Of Enchantment
    Ratings:
    +926
    Kind of along the same lines in a way. I was reading an article about not only is tuition higher making student loans harder to pay off. But College grads also can't find jobs because no one is hiring and that unemployment for this age bracket 16-24 has risen to 19.6% Meaning 1 of of every 5 grads can even find jobs.
     
  5. WorldWatcher
    Offline

    WorldWatcher Gold Member

    Joined:
    Dec 28, 2010
    Messages:
    6,971
    Thanks Received:
    1,275
    Trophy Points:
    200
    Location:
    VA
    Ratings:
    +1,905
    >


    If people think tuition is the cost of college, then they have a shock coming when their kids get old enough to go to college. My daughter is attending a state school, annual cost is about $18,500 of that about $7,500 is the tuition cost.

    If you are poor, you can qualify for all kinds of scholarships and grants. If you are rich you can afford college for your kids. The ones really taking the hose job are the middle class, they earn to much to qualify for almost all income based scholarships and grants because they make to much money - but yet can't afford $75,000 - $100,000 for their schools.

    On top of that if they do plan ahead, then they shoot themselves in the foot under FAFSA and college financial aid rules. For example in the 1990's we established a college savings account (actually prepaid tuition) for each child. Enough to cover two years at a University for each and paid into it for 12 years. (We figured on them helping to pay for the other two years through part-time jobs and summer work.) The down side is that the money you put away is counted toward family assets when if comes to determining expected family contribution. In other words if you save for education, you hurt yourself later on for qualification for assistance.



    >>>>
     
  6. psikeyhackr
    Offline

    psikeyhackr VIP Member

    Joined:
    Jul 18, 2010
    Messages:
    745
    Thanks Received:
    54
    Trophy Points:
    63
    Ratings:
    +71
    So maybe we need to accept that what is called education is just credentialism.

    The schools are selling credentials to people who can memorize and some of whom can't think worth a damn.

    Could providing a good reading list beginning in grade school be a way around this?

    Good sci-fi from the 50s and 60s contained ideas that often are not presented to kids until they get to college and then don't explain them well. The educational system creates jobs for people who claim to be educators but then waste people's time.

    [ame=http://www.youtube.com/watch?v=p0wk4qG2mIg]YouTube - ‪Harvard Graduates Explain Seasons‬‏[/ame]

    Winston Science Fiction: Synopsis for THE YEAR WHEN STARDUST FELL by Raymond F. Jones

    psik
     
  7. kwc57
    Offline

    kwc57 BOHICA Obama

    Joined:
    Jul 13, 2009
    Messages:
    12,155
    Thanks Received:
    2,301
    Trophy Points:
    255
    Location:
    Oklahoma City, OK
    Ratings:
    +2,788
    Right there with you. Our son just graduated high school and we are feeling the pinch. I'll take it a little further than you did with the middle class. Middle class white male. They qualify for squat. He will be attending our state university and it will cost in the $16 to $18,000 per year range. He was a straight A honor student who graduated 33rd in a class of 459. The best he could do on an academic scholarship is $8000. That is $1000 per semester for 4 years. That leaves us trying to cover tthe additional $14 to $16,000 per year. We are trying to figure out how we are going to do that.

    His high school holds a scholarship night where they announce all the scholarships the seniors received. Good Lord, one hispanic girl got recognized at least 10 times. Two of her scholarships were hispanic in nature. A few were female scholarships. Let me tell you, there are no scholarships for white males floating around out there. Unless you are the star quarterback or first chair in band, you are pretty much out of luck.

    He did apply for an engineering foundation scholarship and won it, but it is $500 per semester for the first year. We've applied for a merit based scholarship from the company I work for, but won't know anything until July. It could be up to $3000 per year, but not guaranteed to be that amount.

    His ex girlfriend, can go to college for free. Oklahoma has a program called Oklahoma's Promise that you apply for back in like 9th or 10th grade. If your parents make less than $50,000 per year and you make "decent" grades, the state will foot the bill for your education. What is she deciding to do with a bonanza like that? Go to junior college, take some basics and maybe transfer to a university in a couple of years........because according to her, the basics are easier at junior college.

    We attended a parent/student orientation a few weeks back and the school was very upfront in saying that the day where a student could work part time and put themselves thru school is gone.
     
  8. Skull Pilot
    Offline

    Skull Pilot Platinum Member

    Joined:
    Nov 17, 2007
    Messages:
    31,749
    Thanks Received:
    4,491
    Trophy Points:
    1,130
    Ratings:
    +10,081
    Most college degrees aren't much use as anything but toilet paper anyway.
     
  9. iamwhatiseem
    Offline

    iamwhatiseem Gold Member

    Joined:
    Aug 19, 2010
    Messages:
    14,822
    Thanks Received:
    3,114
    Trophy Points:
    260
    Location:
    Virginia
    Ratings:
    +6,101
    Tell me about it...my daughter is in school for Respiratory Therapy...including housing etc. - $17,000 per year.
    yeah...let's add that on to our already $62 trillion debt.
     
  10. kwc57
    Offline

    kwc57 BOHICA Obama

    Joined:
    Jul 13, 2009
    Messages:
    12,155
    Thanks Received:
    2,301
    Trophy Points:
    255
    Location:
    Oklahoma City, OK
    Ratings:
    +2,788
    Except a better job, higher pay and a better way of life as evidenced by my family and friends who chose not to go to college as opposed to those who did.
     

Share This Page