States Where College Education Costs the Most & Least

Pursuing higher education correlates with higher future earnings, but it’s also becoming progressively more expensive. For example, the cost of attending a four-year public college has risen on average by 30% just over the past 20 years.

Going to college is much more affordable in some states than others, though. To determine where education is the most and least expensive, WalletHub analyzed the price of in-state undergraduate tuition, room and board, and other college costs in 49 states, then compared the total to the median household income.

“College education is getting more and more difficult to afford, with cost increases well outpacing inflation. As a result, people have been forced to take out more and more loans, with the average student loan debt now standing at nearly $42,000. The good news is that living in certain states and attending a school with in-state tuition can greatly defray the cost of undergraduate education, minimizing the amount students need to borrow.”

Chip Lupo, WalletHub Analyst

No matter where you live or how expensive education is in your state, one of the keys to affording higher education is careful budgeting. Parents should ideally budget a significant amount of money toward their children’s future education each year in order to take advantage of compounding returns. People in college also need to skillfully budget their limited income to stretch as far as possible so they can minimize the need for loans.

Main Findings

States Where People Spend the Most & Least on Education

Notes: *No. 1= Highest Spending
Alaska was not included due to data limitations.

In-Depth Look at the States That Spend the Most on Education

Pennsylvania

Pennsylvania residents spend the most money on education: an average of $55,144 per year. This includes in-state tuition and fees for a full-time undergraduate degree, on-campus room and board, books and supplies, and other campus expenses.

The median household income in Pennsylvania is $76,081. That means a year of public college accounts for about 72.5% of the median household income, the highest percentage in the country. Of course, many people’s families won’t be shelling out anywhere near this percentage of their income each year – they will dip into savings, take out loans, or both.

Rhode Island

Rhode Island residents have the second-most expensive higher education as a percentage of their income. The average cost of a year of undergraduate education with in-state tuition, on-campus housing and other expenses is $61,458. Given that the median household income in Rhode Island is $86,372 per year, the average cost of a year of college would take up around 71.2% of that income.

This truly demonstrates the importance of solving the education crisis. If the average person doesn’t prepare by saving quite a bit of money over their child’s formative years, the child will be forced to take out loans for their education even at the undergraduate level. That said, other things like scholarships and grants can also greatly reduce the cost of education.

New York

New York residents pay the third-most money for education. It costs an average of $57,788 for a single year of in-state tuition, on-campus room and board, and other college costs. That’s 68.3% of the state’s median household income, which is $84,578.

Given that New York is known for having a high cost of living to begin with, it’s not all that surprising that residents have to shell out a lot for education. Still, it’s nearly impossible for the average person to pay full price for education on top of their other expenses.

6 Tips for Saving on Education

• Go to a state school. It can be significantly cheaper to do your undergraduate education at a state school in your home state. For example, a year of in-state tuition, room and board, and other college expenses in the cheapest states only costs around $25,000. That may help you avoid or minimize loans.
• Apply for scholarships and grants. Scholarships and grants are a great way to offset the cost of an education. In the lead-up to college, and during your summers off, you should apply for as many as possible. You can get money from local community groups, national nonprofits, organizations you’ve been a member of in the past, and lots of other places.
• Buy used books. College textbooks typically have an incredibly high markup. You may be able to find used copies from third-party sites or even from former students for much cheaper.
• Budget carefully. As an undergraduate student, you may have some income from working part-time, or you may have spending money you’ve saved or that has been given to you by your parents. Knowing how to budget is absolutely crucial for making that money stretch as far as possible. With a small budget, you’ll have to be even more careful about how to allocate the limited funds you have.
• Cook your own food. Depending on your living situation, you may or may not have the opportunity to cook much, at least during your first couple years of undergrad. However, as soon as you have the opportunity, you should switch to making most of your meals yourself rather than purchasing them at the dining hall. This can save you a lot of money over the course of a semester.
• Get a job. Colleges offer student employment that works with your class schedule and won’t overburden you with more hours than you can handle. Alternatively, you could consider getting a part-time job at a local business. While you may not earn a ton of money from this, it can at least help cover your regular weekly expenses outside of tuition.

Ask the Experts

WalletHub turned to a panel of experts for additional advice on spending and budgeting on college education. Click on the experts below to read their bios and see their responses to the following key questions:

1. What tips do you have to reduce education costs?
2. How important is budgeting when it comes to saving money on education?
3. How do you think the current social and economic environment is influencing household spending on education?

Ask the Experts

Amy F. Lipton
Ph.D., CFA, Professor Emerita of Finance - Saint Joseph’s University
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Tyrone C. Howard
Ph.D., Pritzker Family Endowed Chair in Education to Strengthen Children & Families; Director, UCLA Pritzker Center for Strengthening Children & Families; Director, UCLA Center for the Transformation of Schools, School of Education & Information Studies - University of California, Los Angeles
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Andrew Burnstine
Ph.D., Associate Professor, College of Business and Management - Lynn University
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Ran Lu-Andrews
Ph.D., CFA, Associate Dean of Undergraduate Studies; Associate Professor of Finance, School of Management - California Lutheran University
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Dr. Bradley Stevenson
Executive Director of Undergraduate Programs, and Professor of Finance - Bellarmine University
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Methodology

In order to determine the states that spend the most and least on education, WalletHub analyzed the cost of attendance for full-time, in-state undergraduate students living on campus, across 49 states.Alaska was removed from the sample due to data limitations.

We then adjusted these figures to the median annual income in each state and used the results to rank-order our sample.

 
Sources: Data used to create this ranking were collected as of October 16, 2025 from the National Center for Education Statistics and the U.S. Census Bureau.

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