Strada's latest report, “Cost Confusion: Americans’ Misperceptions of College Costs” underscores critical questions about the affordability of a college degree.
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may 15, 2025

In white, text says college costs: misconceptions and confusion. There are two students walking together on a pathway.

Three-quarters of adults believe college is unaffordable.

 

But most Americans think college costs more than it actually does.

 

Those are two takeaways from the latest Strada report, “Cost Confusion: Americans’ Misperceptions of College Costs.” They underscore critical questions about the affordability of a college degree.

 

Over a lifetime, college graduates, on average, earn more than $1 million more than high school graduates. But misperceptions of the cost of earning a degree can contribute to questions about whether college is a good investment.

 

Among the study’s findings:

  • A majority of individuals believe the cost of community college and public four-year institutions is too high, and support increasing public spending on postsecondary education and financial aid programs.  
  • Most people significantly overestimate the cost of public colleges and universities. More than half of U.S. adults overestimate the cost of two- and four-year institutions.
  • Individuals with a high school diploma or less have the least accurate perceptions of college costs, and are more likely either to dramatically overestimate or underestimate the cost of college.
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Where we focus

Clear Outcomes | Quality Coaching | Affordability |
Work-Based Learning | Employer Alignment 

What does access to quality coaching look like at the nation’s community colleges?

 

At the American Association of Community Colleges annual convention in Nashville, Tennessee, members of Strada’s quality coaching team learned more about how community colleges provide coaching to students. The team presented Strada’s Principles for Quality Education-to-Career Guidance and asked campus leaders to share their perspectives on the opportunities and challenges they experience with coaching.

 

Developed by an advisory group of leaders and practitioners from postsecondary education, nonprofit organizations, and workforce development organizations, the principles identify practices, services, and resources that are key to supporting students through a successful transition through education and into careers.

 

One challenge identified by community college leaders and many others in the field: reaching students at scale. Leaders shared their strategies for engaging more students, such as deploying technology solutions for more straightforward tasks and training faculty and staff across an institution in coaching strategies and practices.

 

“There is lots of good coaching work happening on community college campuses,” Strada Director of Quality Coaching Marcus Kolb said. “Our challenge is to support campuses in organizing and elevating that work to support learners on their pathways to credentials and the workforce.”

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News from Strada

NEW ANALYSIS: ROI FOR CALIFORNIA STUDENTS 

While higher education is a top driver of economic opportunity in California, a new analysis shows that even after 10 years in the workforce, not every college graduate realizes a positive return on investment. The findings are a preview of forthcoming research from a partnership between Strada and College Futures Foundation.

Read more.

STUDENT ACCESS AND PATH TO COMPETITIVE WAGES 

Updates to the Carnegie Classifications released by the American Council on Education and the Carnegie Foundation for the Advancement of Teaching are designed to reflect the multifaceted nature of higher education in the 21st century and measure the extent to which institutions provide students access and a path to earning competitive wages. Read more.

EXPLORING PATHWAYS TO AND THROUGH COLLEGE
College is one path among many for young people to achieve their goals and make change in the world. But how do they know if it’s the right path for them? The latest documentary from Strada affiliate Roadtrip Nation, “Rethinking Higher Ed,” follows three young people as they explore how postsecondary education can set them up for success. Watch here.

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