They say that knowledge is power - but when that knowledge comes with an average cost of $19,800 per year, it makes you wonder if it's really worth the price tag.
That's right; according to the Education Data Initiative, the average annual price of tuition for any four-year institution is now $19,806. Unfortunately, tuition often only represents about half of the total cost of attendance, meaning students are really paying nearly $40,000 every year to get their degree.
It's no wonder student loan debt has spiraled out of control, topping $1.7 trillion earlier this year. (Just to put that insane number into context, consider that there are only 8 billion people on the planet.)
This crushing debt not only affects recent graduates, but also has far-reaching consequences for their financial futures. Many young adults find themselves delaying major life milestones - like buying a home, starting a family, and saving for retirement - due to the burden of student loans.
As tuition costs continue to rise, it's crucial to consider the financial implications of attending college. And while that expense can be substantial, numerous factors suggest that earning a bachelor's degree does offer substantial benefits, like...
Increased Access to Job Opportunities: Although this number has fallen in the past five years, more than 40% of all U.S. jobs are still only available to college graduates, which means a degree can open doors to careers that might have otherwise remained out of reach.
In-Demand Skills for the Future: More than 80% of jobs in some of the fastest-growing sectors — including healthcare, STEM (Science, Technology, Engineering, and Mathematics), education, and government services — require post-secondary education, keeping degree holders in demand.
Higher Earning Potential: According to government data, the average salary for a bachelor's degree recipient is approximately $67,500 per year. In contrast, the national average income is just below $56,000 per year.
Economic Stability and Security: Data from the Pew Research Center shows that only 6% of bachelor's degree holders live below the poverty line, whereas an alarming 22% of individuals without a college degree struggle with poverty.
Job Satisfaction and Fulfillment: A majority (60%) of bachelor's degree holders report being highly satisfied with their careers, emphasizing that their work is more than just a paycheck, but only 38% of individuals without a degree report the same level of satisfaction.
So while the cost of a college education may seem daunting, there's plenty of evidence that it can be a worthy investment in your future. Fortunately, there are a handful of states offering a more affordable path to higher education. Here are the five states with the cheapest college tuition, based on in-state tuition for public four-year programs offering bachelor's degrees.
1. Florida
Average Cost of In-State Tuition & Fees: $4,541
Major Colleges: Florida is home to more than 30 four-year public colleges and universities, including the University of Florida, Florida State University, and the University of Central Florida.
Exciting Aspects: Florida boasts beautiful beaches, a vibrant cultural scene, and a sunny climate year-round, making it an enticing place to live and study.
2. Wyoming
Average Cost of In-State Tuition & Fees: $4,785
Major Colleges: Wyoming has only one four-year public college that offers bachelor's degrees — the state's flagship University of Wyoming. (Wyoming is also the least populated state in the whole country.)
Exciting Aspects: Wyoming is known for its stunning natural landscapes, including Yellowstone National Park and Grand Teton National Park, making it a haven for outdoor enthusiasts.
3. Nevada
Average Cost of In-State Tuition & Fees: $6,434
Major Colleges: The University of Nevada, Las Vegas (UNLV) and the University of Nevada, Reno (UNR) are among the state's prominent institutions.
Exciting Aspects: Viva Las Vegas! But there's more to Nevada than the famous strip, with beautiful state parks and access to breathtaking desert landscapes making it a diverse and exciting place to live.
4. Utah
Average Cost of In-State Tuition & Fees: $6,764
Major Colleges: The University of Utah, Weber State, and Utah State University are some of the top higher education institutions in the state.
Exciting Aspects: The state is renowned for its outdoor recreational opportunities, including skiing, hiking, and five national parks, like Zion and Bryce Canyon. The U.S. Census Bureau also named it one of the fastest-growing states.
5. Montana
Average Cost of In-State Tuition & Fees: $6,993
Major Colleges: The University of Montana and Montana State University (the state's largest with 15,000 enrolled students) are key players in the higher education scene.
Exciting Aspects: Montana's vast wilderness, including Glacier National Park, offers unparalleled outdoor adventures for nature enthusiasts.
Opting for a more affordable college tuition can be a smart first step on the road to financial freedom.
By attending a college with lower tuition costs, you can significantly reduce the amount of student loan debt you accumulate during your studies. And with less debt to repay, you can achieve major financial milestones sooner — whether that means buying a home, starting a family, or saving for retirement. Graduating with minimal student loan debt also gives you the freedom to choose a career path that aligns with your passions and values, rather than being solely driven by the need to pay off loans.
Don't live in any of these states - or don't want to? You can find more information on college tuition prices for every state on the Education Data Initiative's website.
On the date of publication, Meredith Margrave did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
