Soaring College Costs: Adding Insult to Injury
by
Nilus Mattive
Last
Thursday I got a call from a friendly guy who said he was
a senior at my college alma mater.
Sensing where the conversation was about to go, I simply
said "Just so you know, I'm not going to donate any
money." He said that was fine, and proceeded to ask me for
my current contact information so they could update their
files.
Geez, I thought. Have I become so callous and
curmudgeonly that I cut this poor student off when he was
simply trying to keep the college's alumni records
straight?
That's when — whammo! — he asked me to donate.
When Your "Mother" Comes Asking for a Handout ...
It's
interesting to note that the origin of the phrase alma
mater is Latin for "nourishing mother." Because given the
rising costs of a college education — and then the decades
of follow-up requests for donations — I'm left wondering
just who's nourishing whom.
As I
explained to the student telemarketer, I enjoyed my time
at the university, and I feel I got a solid education. But
I also paid through the nose for the privilege, even after
factoring in a substantial academic scholarship.
Of
course, when I cited my cost for attending ... he laughed
and said he was paying WAY more than that now.
Sure
enough, a quick web search revealed that students at my
old school are currently shelling out about $160,000 for
an undergraduate degree (including room, board and other
miscellaneous fees).
And
this is all fairly typical, mind you:
-
The College Board says tuition and fees at private
four-year schools rose 4.4% in 2009 to $26,273.
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Meanwhile, the price of a four-year public university
education spiked more than 6% for both in-state and
out-of state students to $7,020 and $18,548,
respectively.
-
Another source, the National Association of Independent
Colleges and Universities (NAICU), says the average
increase in tuition was 4.3 percent in 2009, the
smallest increase since the 1972-1973 school year.
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And the NAICU goes on to say that the average annual
increase in tuition and fees has been 6 percent over the
last ten years ...
Do
the math and you'll see that an average annual increase of
6% leads to an 80% rise in tuition costs over just one
decade!
Given that fact, I'm left wondering ...
Is It Still Higher Learning or Just Higher Costs?
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Are college students still getting value for their
money these days? |
When
I consider the mounting costs of a basic college degree
... the general disaffection with which many students
approach their schooling ... and a traditional job market
that is becoming ever more competitive ... it seems like a
lot of people are throwing away a whole lot of money.
Don't get me wrong — I still think traditional education
has plenty of benefits for focused students. And I am
certainly planning and saving for the possibility that my
daughter will choose to attend a four-year university.
But
practically speaking, a parent or grandparent who wishes
to pay for a child's college education might be better off
simply buying them a house to live in ... or giving them a
six-figure lump sum with which to launch a business!
At
the very least these are now alternatives that we should
present to the young people in our lives when the time is
right.
Apparently, I'm not the only person who's beginning to
think this way, either. Listen to some of the comments
people have posted on
my blog in recent months.
As
Ms. Messenger wrote ...
"Personally, I think we are doing our kids a huge
disservice with the mantra for the last several decades
of 'get a good education so you can get a good job.'
"Our family on both sides has nothing but generations of
self employed people. Small businesses, granted, but our
own. Our sons were homeschooled when it wasn't the
'cool' thing to do. We always told them, 'Start your own
business, don't work for someone else!'... so far, both
sons are doing well with their endeavors."
Another poster, Shirley, echoed those comments saying ...
"I
agree that college education now is not the best avenue.
The cost is prohibitive. We have returned to the way it
use to be years ago. Only the wealthy can really afford
this 'education.' Firstly the first two years are a
repeat of high school and 'the major' courses really
don't get into the subject matter until the latter part
of the third year and the senior year."
One
reader, Michael, offered a partial solution to the
problem, noting ...
"Private schools are very costly. The best deal is to
actually go to community school first. My children were
too spoiled and too smart to follow that path, but I
have known a number of kids that came from restricted
financial backgrounds and they first started at
community college and went on to be nurses, pharmacists,
computer programmers, etc."
And
John asked this provocative question:
"What about for-profit private schools such as Strayer?
Seems like the outsized increase in fees for traditional
schools would be a boon for the likes of ITT and Apollo
Group."
See,
that's what gets me with the traditional system, John. Our
country's legion of "not-for-profit" schools are actually
operating with the advantages of both worlds.
They
charge outrageous rates and continually increase those
costs. They gobble up real estate in their areas with
subsidies ... focus on their most profitable schools and
majors while cutting less popular programs ... pour
millions and millions of dollars into extracurricular
money-makers like sports and licensing ... and advertise
heavily.
We
pay them for our degrees, a business transaction that was
mutually agreed upon.
Then, they have current students ask us for additional
funds because they just can't make ends meet? I mean,
imagine what it would be like if every purchase came with
follow-up calls asking for more money ... for a
product you already paid for!
Hmmm
... public bailouts for an operation that has been
charging outrageous prices for years yet can't sustain
itself, even after enjoying myriad tax breaks and
government-sanctioned advantages. Where have I heard that
one before?
It's
amazing what our country's schools are teaching these
days, isn't it?
Best
wishes,
Nilus
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