How To Calculate Your Net Price of College Tuition Online

Parents have an available tool to let them figure out what the likely cost would be for their child to attend a specific college. It’s called a “net price calculator,” and it helps parents estimate what their out-of-pocket cost would be at the various universities under consideration.  

To utilize this resource, parents can access the “net price calculator” on a college’s website and input the required information: student’s dependency status, number of household members, parents’ income and assets, and student’s financial information. At times, the student’s SAT scores and GPA are also required.  

 

Once completed, families are provided with an estimate of what their “out-of-pocket” cost would be if their child attended that particular institution.  The figure provided is the difference between the college’s sticker price and the likely grant and scholarship money that the student could expect to be offered.

The net price calculator can be a great comparison tool for determining the likely difference in cost between attending an in-state public college versus a private college. Of course, private colleges vary greatly in cost, with some of the most elite institutions benefitting greatly from huge endowments which allow them to be extremely generous with both need-based and merit aid.

 

Overall, the net price calculator is a very helpful tool for parents who are trying to figure out, in advance, which colleges are likely within their price range.  This tool reportedly works well for salaried workers but can be complicated for parents who own their own business or have foreign income.

 

To confirm its accuracy, students should touch base with each college under consideration to inquire if the net price calculator on its website is updated and reflects the school’s current costs and financial aid policies.  

 

Many families look to the FAFSA (Free Application for Federal Student Aid) to estimate college costs, but the FAFSA provides a figure for what the government believes a family can afford to pay.  Each college takes this number under consideration, but then makes up its own financial aid and scholarship offer based on its resources.

Also, the FAFSA is not available until December 1^st of a student’s senior year. In the past, the FAFSA released on October 1^st. Often, parents want to access financial information well in advance of those date to determine which colleges warrant consideration and, perhaps, an in-person visit.

Susan Alaimo is the founder & director of Collegebound Review, offering PSAT/SAT^®preparation & private college advising by Ivy League educated instructors. Visit CollegeboundReview.com or call 908-369-5362