How America Pays for College 2025
Sallie Mae®'s national study of college students and parents
Conducted by Ipsos
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Key takeaways from How America Pays for College 2025
Sallie Mae and Ipsos survey students and families each year to uncover the real strategies behind how the average family navigates paying for college—including everything from tuition and books to travel and housing.
Watch the video below for key highlights and insights from this year’s report.
How families pay for college in 2025
Families reported spending an average of $30,837 on college in 2025, up 9% from $28,409 the previous year.
Do parents help pay for college?
Yes! Parents covered nearly half (49%) of college costs this year, consistent with years prior, using a combination of income, savings, and borrowing.
74% of all families reported using parent income and savings to help pay for college.
However, misconceptions and confusion around financial aid eligibility and key deadlines may be costing families free money they don’t have to pay back—3 in 10 families skipped the FAFSA®.
Check out the many resources Sallie Mae offers to help you plan for college.
Do families who earn more still qualify for financial aid?
Yes! Many families earning over $100,000 still qualify for federal aid through the FAFSA®, especially if they have multiple children in college.
However, misconceptions and confusion may be costing families more money than is necessary. 3 in 10 families skipped the FAFSA®, and just 21% of families knew the FAFSA® opens in October.
Complete the FAFSA® even if you’re not sure if you qualify.
Can scholarships really help make college possible?
Yes! 3 in 4 recipients say that scholarships made college possible for them. But our research shows that too many families are still missing out. 40% of families didn’t even apply due to a lack of awareness and the belief that they wouldn’t win.
Scholarships aren’t just for valedictorians and athletes. There are scholarship opportunities out there for students with all kinds of interests, skills, hobbies, and more.
Search thousands of scholarships with Scholly® Scholarships—free and no sign-up needed.
How should you pay for college?
There’s no one-size-fits-all answer, but here are some paying-for-college tips that can help based on what’s right for you:
- Start your planning with outcomes in mind: Fewer than half (46%) of families talked about the full cost of college, but those who created a plan to pay for all years feel more confident.
- Find free money first: Apply for scholarships and grants early and often. Check out Scholly® Scholarships to filter through thousands of scholarships based on your major, background, state, and more.
- Complete the FAFSA® even if you’re not sure you qualify: Submit the FAFSA® early to get federal student loans, work-study, grants, and scholarships. Financial aid is first-come, first-served, so you’ll want to apply ASAP. The FAFSA® is open now! Get all your questions answered with our FAFSA® Guide.
- If you need to borrow, make sure you do so responsibly: Need to fill the gap? Consider a private student loan and only borrow what you need.
Additional resources
Join the conversation with #HowAmericaPays
How America Pays for College 2025 reports the results of online interviews Ipsos conducted in English reflects the results of an online survey, conducted in English, between April 8, 2025 and May 8, 2025, with 1,000 parents of undergraduate students, and 1,000 undergraduate students ages 18 to 24.
FAFSA® is a registered service mark of U.S. Department of Education, Federal Student Aid