AFFORDABILITY
2006
Grade
|
Change
Over Time
|
|
|
Montana has shown no notable progress in providing affordable higher education. Montana receives an F in affordability.
| FAMILY ABILITY TO PAY (50%) |
| Percent of income (average of all income groups) needed to pay for college expenses minus financial aid: |
at community colleges
|
23%
|
29%
|
15% |
|
at public 4-year colleges/universities
|
24%
|
33%
|
16% |
|
at private 4-year colleges/universities
|
36%
|
59%
|
32% |
| STRATEGIES FOR AFFORDABILITY (40%) |
|
State investment in need-based financial aid as compared to the federal investment.
|
1% |
9% |
89% |
|
At lowest priced colleges, the share of income that the poorest families need to pay for tuition.
|
13% |
27% |
7% |
|
| RELIANCE ON LOANS (10%) |
|
Average loan amount that undergraduate students borrow each year
|
$2,839 |
$3,471 |
$2,619 |
* The indicators report data beginning in 1992 or the closest year for which reliable data are available. See the Technical Guide for Measuring Up 2006.
Note: In the affordability category, the lower the figures the better the performance for all indicators except for "State investment in need-based financial aid."
GRADED INFORMATION
- Compared with best-performing states, families in Montana devote a very large share of family income, even after financial aid, to attend public four-year colleges and universities, which enroll 69% of college students in the state.
- The state's investment in need-based financial aid is very low when compared with top-performing states, and Montana does not offer low-priced college opportunities.
- Undergraduate students borrowed on average $3,471 in 2005.
CHANGE IN GRADED MEASURES
- Over the past several years, the share of family income, even after financial aid, needed to pay for college expenses has increased from 23% to 29% at community colleges, and from 24% to 33% at public four-year institutions.
- Over the past several years, the state has increased its commitment to financially needy students. Nonetheless, the share of family income, even after financial aid, needed to pay for college is still very large when compared with other states.
OTHER KEY FACTS
- In Montana, 69% of students are enrolled in public four-year colleges and universities.
COLLEGE IN MONTANA HAS BECOME LESS AFFORDABLE
PARTICULARLY FOR LOW-INCOME FAMILIES (1992–2005) |
 |
Net costs to attend public 4-year colleges as a share of income for different income families. |
FINANCIAL BURDEN TO PAY FOR COLLEGE VARIES WIDELY AMONG DIFFERENT INCOME FAMILIES IN THE STATE
Those who are striving to reach or stay in the middle class—the 40% of the population with the lowest incomes—earn on average $16,554 each year.
- If a student from such a family were to attend a public four-year college in the state, their net cost to attend college would represent about 48% of their income annually:
| Tuition, room, and board: |
$10,536 |
| Financial aid received: |
–$2,526 |
| Net college cost: |
$8,010 |
| Percent of income: |
48% |
Note: The numbers shown above for tuition, room, and board minus financial aid may not exactly equal net college cost due to rounding.
| Average Family Income |
Community Colleges |
Public 4-year Colleges/Universities |
Private 4-year Colleges/Universities |
| Net College Cost* |
Percent of income needed to pay net college cost |
Net College Cost* |
Percent of income needed to pay net college cost |
Net College Cost* |
Percent of income needed to pay net college cost |
| Income groups used to calculate 2006 family ability to pay |
|
|
|
|
|
|
|
| 20% of the population with the lowest income |
$10,000
|
$6,720
|
67%
|
$7,492
|
75%
|
$14,607
|
146%
|
| 20% of the population with lower-middle income |
$23,108
|
$7,423
|
32%
|
$8,527
|
37%
|
$15,006
|
65%
|
| 20% of the population with middle income |
$37,004
|
$8,019
|
22%
|
$9,693
|
26%
|
$15,281
|
41%
|
| 20% of the population with upper-middle income |
$56,549
|
$8,186
|
14%
|
$9,871
|
17%
|
$15,371
|
27%
|
| 20% of the population with the highest income |
$89,000
|
$8,218
|
9%
|
$9,936
|
11%
|
$15,683
|
18%
|
| 40% of the population with the lowest income |
$16,554
|
$7,071
|
43%
|
$8,010
|
48%
|
$14,806
|
89%
|
* Net college cost equals tuition, room, and board minus financial aid.
The affordability category measures whether students and families can afford to pay for higher education, given income levels, financial aid, and the types of colleges and universities in the state.
|
Download MONTANA Report