This chart will get you talking about the rising cost of college and student debt
Back in 1984, when I was in college, half of undergrads came out with student debt. Today, it’s nearly 70%. And this debt is having a ripple effect across millennials’ lives. As they struggle to pay down debt, they’re postponing some of adulthood’s big, expensive milestones, like buying a home, having children, and getting married.
If the money available for college doesn’t increase as the price tag continues to skyrocket, how are families supposed to make up the difference? Many are relying on high-rate private student loans that leave grads with few repayment options. Some parents are borrowing big sums in the form of relatively expensive Parent PLUS loans and taking from their own retirement savings, which introduces a whole new slate of money problems down the road.
It can be hard for older generations to understand or empathize with what younger people are going through financially. I hope these charts spark conversations between parents and kids, and among people of all ages, so that the crisis of student debt doesn’t keep multiplying for generations to come.
