According to data from the Integrated Postsecondary Education Data System (IPEDS) from the National Center for Education Statistics (NCES), the average annual tuition and fees for full-time students at postsecondary institutions in the United States, after adjusting for inflation, roughly doubled from 2003–04 to 2023–24. Such increasing tuition and fees might influence students either to reconsider or delay higher education or to take out large amounts of student loans.
Average Tuition and Fees at Public and Private Postsecondary Institutions
As seen in the following line chart, the average tuition and fees for full-time undergraduate students increased from $3,147 in 2003–04 to $6,944 in 2023–24 at in-state public postsecondary institutions and increased from $13,000 in 2003–04 to $27,978 in 2023–24 at private postsecondary institutions.
Source: U.S. Department of Education, National Center for Education Statistics, Integrated Postsecondary Education Data System (IPEDS)
Similarly, the average tuition and fees for full-time graduate students, excluding those in doctor’s programs, increased from $5,333 in 2003–04 to $11,827 in 2023–24 at in-state public postsecondary institutions and increased from $11,453 in 2003–04 to $20,515 in 2023–24 at private postsecondary institutions.
Source: U.S. Department of Education, National Center for Education Statistics, Integrated Postsecondary Education Data System (IPEDS)
In summary, the IPEDS data shows that the average cost of tuition and fees from 2003–04 to 2023–24 increased by 221% among undergraduates at public institutions, 215% among undergraduates at private institutions, 222% among graduate students at public institutions, and 179% among graduate students at private institutions.
What These Data Mean
Of course, postsecondary institutions’ “sticker prices” do not include financial aid such as grants and scholarships so are not the net or true costs of attendance, but significant yearly increases in tuition and fees still raise concerns about postsecondary institutions’ revenue and expenses as well as students’ ability to afford enrollment.
Other IPEDS data (NCES, 2023b) reveals that the primary sources of revenue for postsecondary institutions are tuition and fees, investments, federal and state government grants and contracts, and auxiliary enterprises such as residence and dining halls. These sources of revenue significantly vary across public and private postsecondary institutions, and loss of a revenue source might necessitate an increase in another revenue source.
Postsecondary institutions’ primary expenses are core expenses (e.g., instruction, research, academic support, student services, and institutional support) and noncore expenses (e.g., auxiliary enterprises and healthcare services) (NCES, 2023a). The media and public have frequently blamed increases in tuition and fees on increased numbers of administrative employees and upgraded campus amenities such as buildings and technology.
As a result of the increased tuition and fees, many students, especially those from low- and middle-income backgrounds, might be forced to either delay or forgo higher education or to take out student loans that lead to long-term financial burden. Indeed, postsecondary enrollment has decreased from an all-time high of 21,019,438 students in fall 2010 to 19,039,584 students in fall 2023 (NCES, 2024). Furthermore, according to the Federal Reserve (2025), in March 2025, the total amount of student loans in the U.S. was at an all-time high of $1.8 trillion.
References
Federal Reserve. (2025, May 7). Federal Reserve statistical release: consumer credit. https://www.federalreserve.gov/Releases/G19/current/g19.pdf
National Center for Education Statistics. (2023a). Postsecondary institution expenses. Condition of Education. https://nces.ed.gov/programs/coe/indicator/cue/postsecondary-institution-expense
National Center for Education Statistics. (2023b). Postsecondary institution revenues. Condition of Education. https://nces.ed.gov/programs/coe/indicator/cud/postsecondary-institution-revenue
National Center for Education Statistics. (2024). Total fall enrollment in degree-granting postsecondary institutions, by attendance status, sex of student, and control of institution: Selected years, 1947 through 2023. Digest of Education Statistics. https://nces.ed.gov/programs/digest/d24/tables/dt24_303.10.asp
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