Judging affordability by sticker price is one of the most consequential mistakes in college planning. Here is why — and what to use instead.
Sticker Price vs. Net Price
Sticker price includes tuition, mandatory fees, room, board, and estimated personal expenses — at elite universities, typically $75,000–$90,000/year. Net price is that number minus all grants and scholarships. At schools with large endowments, a family earning $65,000 might pay $5,000–$15,000 net at Harvard versus $18,000–$25,000 at their in-state flagship.
Why This Matters
Schools with large endowments can afford generous grant aid; smaller schools cannot. This creates a counterintuitive pattern: the most expensive-looking schools are often the most affordable for middle- and lower-income families.
What to Do
Run the Net Price Calculator for every school on your list — including those that look prohibitively expensive. It takes 10–15 minutes, is on every school's website by law, and estimates your actual cost. Use net price, not sticker price, to make affordability decisions.