If you’re searching for college, one of the first things you’re looking to find is the cost. It should appear obvious to some, but it can actually be an adventure that is challenging to find. It’s rare you’re going to spend the full cost of attendance. But while tuition and fees can be a significant expense, the net price calculator on college websites can help students and their families estimate the cost of attending college after accounting for financial aid and scholarships. But are they accurate? In this post, we’ll find out how useful net price calculators are.
What is a Net Price Calculator?
It’s pretty simple, really. A net price calculator is an online tool available on college and university websites that allows students and families to estimate the actual cost of attending a particular institution. It takes into account various factors such as the student’s financial information, academic profile, and residency status. The calculator then subtracts the financial aid and scholarships the student is likely to receive, giving an estimate of the net price—the actual amount a student will pay to attend the institution.
Since it’s very rare that anyone would pay the full cost of attendance, it’s important to get a better idea of how much it’ll actually cost the consumer. It is a requirement that colleges must have NPC’s on their website. But will it determine what I’ll actually be spending to attend there? How useful are net price calculators of a given school?
What’s the Process Like?
Since every school is required to have an NPC, you just need to google “college name + Net Price Calculator.” I will pick on my alma mater, Albright College. Albright’s NPC can be found here. The process is straightforward. But want to make sure you maximize how useful the net price calculator is? Have the necessary information handy. You need information about the student. Specifically the following:
- Residence option
- DOB & personal info
- Test scores, class rank & GPA
It’s worth then having the financial information ready, since you’ll need the following for both parent & student:
- Tax return for “prior, prior year”
- Record of untaxed income
- Asset information
In the event the parent has a non-custodial parent who is not listed on the FAFSA, they will ask that question.
What were the results?
Disclaimer: Every school is different. Some have better NPC’s and go into more depth than others. That said, I thought Albright’s was pretty accurate. Based on the info I gave, they were able to show the full cost, plus a breakdown of the grants (need-based) and scholarship (merit-based) that’d be available. They also included the direct loans and work-study, and specified them accordingly. This was a useful net price calculator when determining a rough estimate of college cost.
Based on similar calculators I’ve used, I would say the reading is accurate. By no means is it exact, but nor should it be. I completed this (with a general guesstimate of financial information) in 5 minutes. I’d need to prove a bit more in order to receive an official aid package.
The Takeaway
I think the more accurate you can provide the data, the more accurate the results. As the old expression goes – the input controls the output. I think if you’re prepared, have everything outlined, and answer accurately, you’ll get an accurate reading. But I do think you will find that net price calculators are useful in your college prep.
Now as far as being able to afford it? Phew. That’s a different question entirely. But that’s what the college dude is here for.
