Under the direction of Dr. Laura Perna and with support from Lumina Foundation, this project examines the cost-related information that colleges and universities are providing on their websites. 

The study finds important limitations in the information that is available on many institutional websites. Some universities are not in compliance with the federal law that requires colleges and universities to make available a net price calculator (NPC). Others are providing inaccurate and misleading information.

Prospective students need accurate, complete, and individualized information about their expected costs to determine the institutions to which to apply, and to appropriately plan for how to pay the costs. Having this information early in the college-going process—without having to complete the FAFSA—is especially important to low-income students, first-generation college students, and individuals who do not have ready access to college and financial aid counselors.

Colleges and universities can—and should—do more to ensure that prospective students have the useful and usable cost information they need.

• Tips for students/families
• Tips for colleges
• General guidance
• Recommendations for federal policy
• Five Steps to Improve the Usefulness and Usability of Net Price Calculators and Financial Aid Offers for Colleges and Universities

Press release 

New Report Finds Net Price Calculators Lack Usability and Usefulness for Estimating the Price of College: Many Higher Education Institutions are Misleading Prospective Students

Research brief

Perna, L. W., Wright-Kim, J., & Jiang, N. (2019). Questioning the calculations: Are colleges complying with federal and ethical mandates for providing students with estimated costs? (Penn AHEAD Research Brief – March 2019). Philadelphia, PA: The Alliance for Higher Education and Democracy (Penn AHEAD), University of Pennsylvania Graduate School of Education.

Journal article

Perna, L.W., Wright-Kim, J., & Jiang, N. (2019, August). Money matters: Understanding how colleges and universities use their websites to communicate information about how to pay college costs.  Educational Policy. Online first: https://journals.sagepub.com/eprint/AMI4AHDGFNKQHNTYGHGC/full

Blogs

Perna, L. W., Wright-Kim, J. (2019). Net price calculators were supposed to make it easier to understand the cost of college – instead, many are making it more difficult. The Conversation (theconversation.com).

Perna, L. W., Wright-Kim, J. (2019). It's time for transparency in college pricing. The Hill (thehill.com).

Perna, L. W. (2021). It's time to tell students how much college costs.  The Hill (thehill.com).

Podcasts

Seeley, A., & Bergin, M. (Hosts). (2022, March). What Is a Net Price Calculator? (No. 304) [Audio podcast episode]. In Tests and the Rest. TestBright. https://gettestbright.com/what-is-a-net-price-calculator/

Supovitz, J. A. (Host). (2020, February 20). Understanding the Cost of College [Audio podcast episode]. In Research Minutes:  Educational Research & Policy Podcast. CPRE Knowlege Hub. https://www.researchminutes.org/episode/understanding-the-cost-of-college

Press coverage

• Before you decide to work in college, ask yourself these questions (The Conversation)
• Colleges provide misleading information about their costs (The Hechinger Report)
• Chapter 13 bankruptcy for student loans? It's possible (The Philadelphia Inquirer)
• What to Know About a College's Net Price Calculator (U.S. News and World Report)
• Families Rely on 'Net Price Calculators' to Estimate the Actual Cost of College. A New Study Shows How Misleading They Can Be (Money)
• Obfuscating Net Price (Inside Higher Education) 
• Some Colleges Are Failing to Comply With Cost Calculator Requirements (EdSurge)
• Report: Many colleges continue to lag on cost transparency (EdDive)
• Study: Some Four-Year Institutions Provide Inaccurate, Confusing Cost Information (Diverse Issues in Education)
• GSE study finds many colleges give misleading information about their costs of attendance (The Daily Pennsylvanian)
• Some US Colleges Fail to Present Real Costs for Students (Voice of America's Learning English)
• PoliticoPro Morning Education
• Interview with Dan Loney on the Knowledge at Wharton on Sirius XM Channel 132, Business Radio powered by the Wharton School (Thursday, March 28, 2019 at 11:00 am)

Presentations

Perna, L. W., & Wright-Kim, J. (2019, September). Understanding Net Price Calculators and Financial Aid Offers (California Student Aid Workshop). Webinar for The Institute for College Access & Success, Oakland, CA.

Perna, L. W., Wright-Kim, J., & Jiang, N. (2018, November). Money matters: Understanding how colleges and universities use their websites to communicate information about how to pay college costs. Paper presented at the annual meeting of the Association for the Study of Higher Education, Tampa, FL.

Perna, L. W., & Wright-Kim, J. (September 2018). Helping students understand college costs: The role of the Net Price Calculator. Session presented at the annual meeting of the Council on Opportunity in Education, New York, NY.  

Inquiries

For more information, please contact Penn AHEAD.