College is Financially Out of Reach for Many Americans

A new report issued today by the Campaign for America's Future included recent government data that indicates the cost of college is cost-prohibitive for many American families. The number is growing. Wages stay the same while inflation continues to rise, yet not faster than college tuition and fees. They are racing far ahead of inflation and Federal and state financial aid to students or parents is not keeping up with the rising costs.

An earlier veto threat by the Bush administration was recalled when it was announced that the House would follow the Senate's lead and vote in full support of the passage of the College Cost Reduction and Access Act. The legislation expands student assistance and is partly paid for by cutting almost $20 billion in subsidies given to private student loan providers.

Though this is a first step, much more will need to be done by both the states and Congress in order to make college affordable for all who would attend. Robert Borosage, co-director of Campaign for America's Future agreed. He indicated that many families are struggling to pay for college, often having no choice but to go deep into debt in order to do so. Emphasizing changes that need made Borosage said, "The last Congress raised interest rates on loans and cut billions from grant programs, while delivering unconscionable tax breaks to the wealthiest of Americans. To be competitive in the global market, we need a dramatically different set of priorities."

The report indicated that within the last six years, college undergraduate tuition and fees have risen nearly 40%. However, the newly published numbers from the Census Bureau and the Department of Education show that the median household income decreased within that same time period. Sending just one child off to college is averaged at the cost of 25% of a median household income. Considering a private school? The average for that is 57%.