California's college costs have dropped, for now
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The cost of in-state college tuition in California has dropped in the past five years when adjusted for inflation, according to a new College Board report, but that trend might not continue.
Why it matters: High sticker prices are a major barrier to earning a college degree, but the widening wage gap between high school and college grads proves it's worth the investment.
By the numbers: In-state tuition and fees at a public California university cost, on average, $11,310 for the 2024-25 school year.
- That's a 7% drop from 2019-20 when accounting for inflation.
- The national average is $11,610.
- The out-of-state premium is significantly higher, with those students paying $38,130 on average.
The big picture: The money needed to attend public, private and community colleges is going down nationwide, continuing a trend that started during the Covid-19 pandemic.
- Lower tuition, more grant aid and a decreasing number of students graduating with debt are key factors.
Follow the money: California's public institutions are well-funded compared to other states, which helps keep college affordable. But schools are increasingly relying on tuition dollars as a revenue source as they face budget deficits and cuts.
- The Cal State system raised tuition at its campuses, including San Diego State and CSU San Marcos, starting this fall. Students will continue to see the 6% annual tuition hike for at least the next four years.
- The UC system implemented a tuition stability plan in 2022 that raises base tuition and fees by the rate of inflation, or roughly 3% per year, for incoming students. The annual cost will remain flat until the student graduates, for up to six years.
Zoom in: Cal State and UC set a systemwide base tuition, but fees vary by campus. For in-state students the joint costs are:
- UC San Diego - $19,674
- SDSU - $8,728
- CSU San Marcos - $8,082
- USD (private) - $59,486
- Point Loma Nazarene University (private) - $46,250
- California Community Colleges (average) - $1,440
Reality check: On and off-campus living expenses like housing, food, transportation and books adds thousands of dollars to the overall cost.
- Yes, but: The majority of UC, Cal State, USD and PLNU students receive financial aid, grant money or scholarships to help reduce the price.
The intrigue: California community college prices are the lowest in the country, and students can get guaranteed admission to a CSU school with an associate's degree.
- That's a significantly cheaper path to a bachelor's degree, though most students don't transfer to a four-year university.
What's next: Fall 2025 applications for UC and Cal State schools are due Dec. 2.
- The revamped FAFSA form rolls out next month that's designed to make applying for federal student aid easier and quicker.