 What's happening guys, it's Shane here and in today's video, we are going to talk about the cost of college beyond just tuition. So we're going to be talking about more than just the cost of going to college itself. We're going to be talking about how much you have to pay for rent, the extra expenses that are involved in college, as well as the interest you have to pay after college and most importantly, the opportunity cost of the time you spend in college, which you could have been making money. And you are going to be absolutely shocked by how expensive college actually is when you consider all of those factors. But before we get into that, make sure to gently tap that like button, hit the subscribe button and ring the notification bell. And let's get right into it. Now, first of all, let's talk about tuition. Let's get that part out of the way. According to educationdata.org, tuition for an in-state like university student. So like a public college is going to be around $9,500 per year. And an out-of-state student would be $27,000. And then they have students attending private universities spending about $37,000 a year on tuition and fees and a total of $53,000 a year with everything combined. And then they have the average cost of college for all students at about $35,000 per year. So again, that's with everything combined. Now, depending on the study you look at, the research you look at, these numbers are going to vary. But generally speaking, the total cost of college is usually going to be somewhere around $25,000 to $35,000 per year. And you can see that this goes well beyond just the tuition and basic fees. So where are all of the other expenses coming from? Usually from a variety of different places. And the second most expensive thing beyond the tuition is going to be housing. Now, housing can vary drastically depending on what state you live in. If you live in LA, you might be paying like $3,000 a month. If you live out in like a state college in a small town, you might be paying like $600 a month, right? So that could range from like $7,200 a year all the way up to like $36,000 per year. Now, you can also reduce these expenses by getting roommates. Sometimes there are programs at the college where you can either get your rent partially or fully paid for. For instance, you could become an RA or resident assistant and that's going to pay for most of your expenses. So you can see that where you choose to go to college and the choices you make in terms of, you know, how fancy your apartment is, whether you get roommates, if you are able to get into some of these different programs are going to seriously affect how much your housing is. Now, the next most expensive thing after that is going to be food. Now, college students, including myself, are notorious for spending way too much money on food. I can't stop eating. You probably just graduated high school and, you know, in high school, you were probably eating breakfast and lunch at school and then you would go home and have dinner. And then once in a while, you might go out and spend some money on a restaurant. But in college, what ends up happening is instead of being in this very structured environment, you have a lot of freedom. And so you're probably going to end up going out and eating like twice, sometimes even three times a day. And this tends to add up like crazy. So let's say you spend $20 on each meal. That's $60 a day. 60 times 30 is $1800 a month. And that's not even including the groceries that you buy for yourself. And it also doesn't include spending money on $5 Starbucks coffee, right? So food costs can get completely out of control if you're not careful. I think the best life hack I ever did when it came to food costs was really two different things. The first one was getting a crock pot. The second one was pre-making my food for the week. So basically getting like little glass bowls that you can put lids on top of, pre-making the food, putting them in the freezer, and then I would just take the food with me when I went to college, when I went off to classes and stuff. Now, it doesn't mean you have to completely, you know, cut out going out to restaurants. That's a very social event. You know, you can go out and meet up with your friends at restaurants. But you just want to kind of do it in moderation. The next one on the list that can be a relatively high cost is going to be technology. So US news, for instance, estimates that every student spends about $1,000 per year on technology that has to do with their schooling. So for instance, let's say you buy a $2,000 laptop when you're a freshman in college, like an Apple laptop, something like that. And then you buy another one, your junior year. That right there is your $1,000 per year. And honestly, if you count your phone in that equation, if you count like getting tablets, iPads, that sort of thing, it can get much higher than that. So yeah, that's another really big expense. $1,000 a year is probably more on the conservative side, if anything. Now, another really big one is going to be transportation. So a lot of students, when they go off to college, you know, they'll take the bus, they'll end up riding their bike, and so maybe they don't get a car. And depending on your college, kind of how it's set up, it's very possible to kind of like live that campus lifestyle without getting a car. But if you are going to get a car, it can be very expensive. So for instance, AAA, which is an insurance company, estimates that the cost of owning a car is about $8,600 per year, which is around $700 per month. Now, of course, there's things you can do to make it less expensive. First of all, you could buy like kind of a cheaper car, a car that's five to 10 years old and a reliable build. That's a really good choice, especially if you're someone in college and you need to save money. Another big one is going to be book supplies. So, you know, if you haven't gone to college yet, you're probably in for a rude awakening. Sometimes what college professors will do is they'll make you buy a book and this book can be ridiculously expensive like $200, $300, $400. But you'll probably think like, okay, I don't need to buy this book. I can just buy the book from the year before for like $50 and I'll be good to go. Well, sometimes that works, but sometimes what the professors will do is they will bundle the book itself with some kind of secret code that you need in order to access tests online that are a part of your grade. So, you basically are forced to buy the overpriced book in order to access the silly tests online or silly quizzes, which is totally ridiculous. It's such a slime ball move, in my opinion. But whatever. Anyways, the total cost for books according to usnews.com is about $1,240 per year. Now, because of all these costs, the average student is going to end up spending on the low end $80,000 a year on the high end like $120,000 a year. Now, adding up all these costs, the average student is going to spend about $100,000 total on college. On the low end, it's like $80,000 on the high end, $120,000. And that's for a normal student who goes to like a state school, right? So, for private schools, it can get absolutely ridiculous, like $300,000 plus. So, let's just say, just to make this easy, $100,000 total cost. Now, on top of that, they usually graduate with about $37,000 to $40,000 worth of debt. And this debt generally is going to take them about 20 years to pay off on average. And during that 20 year time, you are going to have compounding interest. And sometimes the debt can double before it's fully paid off. So, you can see how this would just get higher and higher. Now, educationdata.org, they say the average cost of college in the United States is about $35,000 per year. So, if you multiply that by four, that's going to be about $140,000. The only problem is, many people, about 50%, nearly 50%, are taking more like six years to graduate with a four-year degree. And that can be for a number of different reasons. First of all, students oftentimes are going to be changing their majors. They kind of flip-flop around a lot. Another big problem is some of the colleges are not very friendly when it comes to efficiently getting through college. They want you to take all kinds of classes that you don't want to take and you probably don't need to take. And then they'll tell you, oh, you have to take this class before you can take this class and this class before you can take this class. But the only problem is, this class is only offered in spring semester. And this class is only offered in summer semester or something weird like that. And so, for those reasons and many more, nearly 50% of students are taking much longer than four years to graduate with their degree. A lot of the time, it's more like six years. Now, I'm not a conspiracy theorist or anything, but if the student takes six years to graduate with a four-year degree, the college ends up making more money. So to me, it becomes pretty obvious that colleges are incentivized to make it to where students have a lot of trouble graduating in just four years. Just saying something to think about. So you can see how this would just get totally out of control. The cost of college, $35,000 per student per year, according to educationdata.org. You multiply that by six years. That is $210,000. Then you add on all the student loan debt and you add on the interest on top of that and you can see how it can get extremely high. Now, on top of that, you have to also calculate what's known as opportunity cost. Now, the reason for this is because during that time that you are going to college, you know, four years, six years, whatever it is, you could have been working, right? You could have been out in the workforce making money. So let's say you got a sales job and you were able to make $50,000 a year for those six years. That is $300,000 total, right? So that's just an example. And opportunity cost is really difficult to calculate because, you know, some people might take advantage of opportunities more than others. But overall, you can see how this would lead to the cost of college being much, much higher than what the sticker price of tuition is. So considering the cost of tuition, all of the other costs that you don't talk about interest rate as well as opportunity cost, that's why educationdata.org estimates that the real, the true cost of college could be north of $400,000 and it's getting higher every single year. Now, to be honest, I do think that is a little bit of a stretch. I think that the average student is not paying that much even if you add in opportunity cost and everything like that. But I can definitely see where their argument comes from. And that's why it is so important for you to have a good plan going into college. Make sure you can get through college on time, sometimes even early. A lot of the time you can actually graduate with a four year degree in two to three years. Now, you really have to plan it out. You really have to know what you're doing. Make sure you go into it, know exactly what you're going for. And, you know, there's a lot of things that go into that. I've made videos on this channel about that, but it's totally possible for many, many degrees out there. That's something that of course I've talked about on this channel and I go deep into detail on how you can do that, how you can get the most out of college with the least amount of time, effort and money in my college 101 course, which you can find down in the description below. And people are absolutely loving the course so far. I am getting ridiculously good feedback from it. I'm probably not going to keep it at the same ridiculously low price that it is right now. So, you know, you can check out the coupon code down below because that's probably the lowest that this is ever going to be. Check out my other videos right here. I made them just for you. Go ahead, gently tap that like button, hit the subscribe button, ring the notification bell and comment down below any thoughts, comments, criticisms, et cetera that you have on the video. And I will see you next time.