Sticker price vs. net price: what families actually pay

Every college publishes a sticker price, the total it lists for one year. Most students pay less than that. The number that matters for your family is the net price: what is left after grants and scholarships come off the bill.

Two numbers, two jobs

• Sticker price is the published cost of attendance for one year: tuition, fees, housing and food, books, transportation and other expenses, as the college lists them.
• Net price is the sticker price minus the grants and scholarships a student receives. Loans are not subtracted, because they must be paid back.

The federal College Scorecard reports the average net price for each college, and it reports that average separately for families in five income bands. The figure covers students who receive federal aid, which is most students at most colleges.

Use your income band

Income matters more than the sticker price. A family earning $50,000 a year is often offered far more need-based aid than a family earning $150,000, so the same college can cost a very different amount to each. On every college page, choose your family’s income band in the “Your family’s price” row. The page then shows the average net price for families like yours, and the search can sort by it.

Ways to compare the real cost

1. Set your income band, then sort colleges by lowest price for my income.
2. Sort by net price, low to high to see the least expensive colleges across the country.
3. Open the college’s own net price calculator. Federal law requires colleges that take federal student aid to post one on their websites. Enter your real figures: aid offers depend on your family’s finances, and the result is an estimate.
4. Ask the financial aid office whether scholarships renew each year, and what grades or conditions they require.

What to remember

• A high sticker price with generous aid can cost less than a lower sticker price with little aid.
• Averages cover a range. Some families pay much more or less than the average for their band.
• Find out the full cost of attendance, including living costs, and not only tuition.

For the federal basics of aid and the application, see the FAFSA on studentaid.gov, and studentaid.gov for how grants, scholarships and loans work. This guide is general information, not financial advice.

Next steps

• Read Reading earnings and debt numbers, to see what graduates pay back and earn.
• Compare the cost of your shortlist on the compare page, which shows net price by income side by side.
• See the Value rankings, which weigh net price with earnings and debt.