Introduction

Question: For a student entering college in 1994, what was the average total cost (tuition, room and board and other expenses for a resident student) for one year at the following types of schools?    

Answer: The correct answer is c in both cases.

Public University costs $ 8,990.

Private University costs $ 18,784.

College costs are subdivided into tuition, room and board and other categories. For the 1994-95 school year, the average costs in each major category were:

Average College Costs for 1994-95

Source: The College Board

Determining the future cost of a college education is just an "educated" guess. In the last decade, education costs have increased at an annual rate of over 9 percent, twice the rate of inflation! While many people do not believe that the rise in costs will continue at the same rate, the historical record merits attention and concern when estimating future costs.

Let's see the projected total costs for one year at public and private colleges in the years 2000, 2005, 2010 and 2015 assuming a range of potential inflation rates.

What Will It Cost -- Public University?

Projected One Year Costs for Public Universities
Using a Base of $8,990/year in 1994-95
at Assumed Inflation Rates

These numbers are derived from the 1994-95 actual averages for resident students at public four-year colleges as published by the College Board.

What Will It Cost -- Private University?

Projected One Year Costs for Private Universities
Using a Base of $18,784/year for 1994-95
at Assumed Inflation Rates

These numbers are derived from the 1994-95 actual averages for resident students at four-year colleges as published by the College Board.

Here's an example: Sample UC Budget

Basic undergraduate budget at the University of Cincinnati for the 1995-96 academic year: