The true value of a college degree is clear when you consider a child’s future earnings potential and career path. However, the cost of college is also higher than ever. An OklahomaDream 529 Plan Account can help manage the cost of higher education.
Afford the college of their choice
Since 1976, college costs have escalated at two to three times the rate of inflation – faster than income increases for most families. In the 2016-2017 academic year alone, tuition for private colleges increased by 3.6% while tuition for public universities jumped 2.4%.¹ The ten-year historical rate of increase is approximately 5.0%, which is substantially higher than the general rate of inflation.
|Projected tuition and fees
(excludes room and board and other expenses)
|In 18 Years
|4-Year Private College||$133,920||$347,282|
|4-Year Public University (in-state resident)||$38,600||$100,098|
|2 Years Community College and 2 Years Private College||$99,720||$258,595|
Source: The College Board, assumes a 5% annual increase. Statistics taken from Average Published Undergraduate Charges by Sector, 2016-17.
Help a child earn more as a college graduate
With costs on the rise, many parents are in a bind. But students themselves are suffering from enormous debt burdens. Total student-loan debt topped $1.3 trillion dollars in 2017, as more and more kids are attending college on borrowed funds. In fact, the Class of 2016 graduated with an average of $37,172 in student loan debt.²
Watch their career take flight
A higher education can provide more than just higher earnings. According to the U.S. Department of Labor, a college degree typically results in more career options, greater promotion opportunities, more vacation time and other benefits, and lower unemployment rates. It can also pave the way for graduate school, which may lead to even greater earnings and benefits.
1. Collegeboard based on the average 2016-2017 tuition increase.
2. Forbes, “Student Loan Debt In 2017: A $1.3 Trillion Crisis”, February 21, 2017.