How the Typical American Family Pays for College

July 27, 2024
A group of people are moving into a college dorm room.

The typical family uses a combination of income, savings, grant aid, and loans to pay for college. For the past several years, income and savings from parents and students have consistently covered about half of the total cost, with grant aid covering about one quarter of the total cost and loans covering most of the remainder.


Starting a college fund early and aggressively looking for grant aid from colleges can help families reduce the amount they may need to borrow. A net price calculator, available on every college website, can help families estimate how much grant aid a student might receive at a particular college.

A father and daughter are walking down a street carrying a tote of stuff for college.

All Securities Through Money Concepts Capital Corp., Member FINRA / SIPC

11440 North Jog Road, Palm Beach Gardens, FL 33418 Phone: 561.472.2000

Copyright 2010 Money Concepts International Inc.

Investments are not FDIC or NCUA Insured

May Lose Value - No Bank or Credit Union Guarantee

This communication is strictly intended for individuals residing in the state(s) of MI. No offers may be made or accepted from any resident outside the specific states referenced.

Prepared by Broadridge Advisor Solutions Copyright 2020.

Two people relaxing in wooden chairs on a seaside deck, drinking and facing the ocean.

Is It Time to Declare Your Financial Independence?

By TFC Center • June 26, 2026
Learn how to build financial independence by earning more, spending wisely, and saving aggressively to work toward your long-term goals.
Woman in a beige blazer working on a laptop at a bright office desk by a window

The Employment Situation: A Closely Watched Report

By TFC Team • June 26, 2026
Learn how the monthly jobs report measures employment, unemployment, wages, and hours worked, and why it matters for markets and Federal Reserve policy.
Person in a blue apron smiling in a bright workshop or café setting

Understanding the "No Tax on Tips" Deduction

By TFC Team • June 26, 2026
Learn about the new federal deduction for tipped workers, including who qualifies, income limits, reporting rules, and how it may affect 2025 to 2028 taxes.
Container ship sailing on a blue ocean under a bright sky

Tariffs Helped Drive Decline in Trade Deficit

By TFC Team • June 26, 2026
Tariffs helped reduce the U.S. trade deficit in '25 & '26. Imports fell after a stockpiling surge, while the trade deficit dropped as the services surplus grew.
Show More