Student Aid and Debt Presentation

Student Aid and Debt Presentation

November 12, 2020

Page Title Here

COVID–19 Student Relief

• In March 2020 - CARES Act suspended student loan payments and interest

for both current borrowers and outstanding federal loan balances through

September 30, 2020 as part of COVID-19 relief.

• In August 2020 –the Secretary of Education extended the relief through

December 31, 2020.

• Borrowers with income driven repayment plans, including the Public Service

Loan Forgiveness, are able to apply the suspended months towards on-time

payments under both actions as long as work requirements are met.

• $5 million from CU Foundation in FY 2020-21 (Fall 2020) resulted in 5,223

financial aid awards system wide with more than 9,000 applicants.

2

CU Foundation

Relief FundsBoulder UCCS Denver Anschutz Summary

Number of Applicants 2,114 1,400 3,237 2,270 9,021

Number of Awards 1,454 562 2,426 781 5,223

Average Award $1,786 $1,700 $450 $450 $957

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Facts About National Student Loan Debt, $1.67 Trillion

• Includes all outstanding balances for federal and private student loans

processed through financial aid, plus accrued interest.

• Forty percent of outstanding student loan debt is from graduate students.

• Only eight percent of outstanding debt comes from private loans.

• Non-completers are more likely to default on student loans than completers.

• Default rates are much lower for those who earn credentials.

• In spite of all of the concerns about student debt levels, the fact remains, a

college education pays off and is an investment worth making.

3

Source: U.S. Department of Education

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Average Annual Earnings High School vs. Bachelor’s Degree

4

Note: Does not include possible earnings while pursuing Bachelor's degree.

Source: Average Annual Earning for full-time year round workers by education, U.S. Census Bureau, Current Population Survey, 2019 Annual Social and Economic

Supplement.

On average, Bachelor’s degree

recipients earn $1.5 million more

than High School graduates over

the course of their career.

32

,78

7

37

,82

2

44

,17

3

49

,52

2

49

,78

8

50

,60

8

50

,49

4

56

,31

8

55

,67

6

55

,76

6

52

,13

3

62

,82

9

73

,38

0

89

,10

4

91

,38

6

97

,33

7

96

,99

4

10

0,5

92

97

,75

6

91

,54

2

-

20,000

40,000

60,000

80,000

100,000

120,000

18-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69

Avera

ge A

nnual E

arn

ings

Age Range

High School Bachelor's Degree

Colorado

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Colorado’s Affordability Roadmap

• The Colorado Department of Higher Education published an affordability

roadmap with steps for institutions of higher education to follow to contain

costs and support students.

• To illustrate areas of alignment at CU, the CDHE icon will be at the bottom

of the slide.

6

Link to full report: https://highered.colorado.gov/Publications/Reports/Roadmap-to-Containing-College-Costs-and-Making-College-Affordable.pdf

https://highered.colorado.gov/Publications/Reports/Roadmap-to-Containing-College-Costs-and-Making-College-Affordable.pdf

Page Title

Financial Aid History by Source (in millions)

7

$21.9 $20.5 $18.4 $18.0 $18.1 $26.7 $30.8 $31.7 $34.7 $40.7 $45.4

$51.9 $56.9 $68.0 $72.2 $77.0 $85.3

$96.5

$124.9 $135.7

$139.9 $148.7

$55.2 $50.9 $55.0

$60.2 $63.2

$65.6

$70.9

$58.9

$66.6

$76.6

$80.0

$40.3 $44.9 $44.3

$44.8 $46.4

$48.5

$48.4

$49.9

$57.0

$58.4

$57.7

$19.3 $23.0

$14.6 $14.7

$16.8

$16.6

$16.2

$16.5

$13.5

$16.2

$17.2

$18.2 $20.4 $23.3

$26.7 $31.4

$34.0

$38.4

$46.0

$44.7

$43.8

$48.0

$206.8 $216.6

$223.6 $236.7

$252.8

$276.8

$301.2

$327.9

$352.2

$375.7

$397.0

$0

$50

$100

$150

$200

$250

$300

$350

$400

FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY2015 FY2016 FY2017 FY 2018 FY 2019 FY 2020

State Aid Institutional Aid- From Tuition Institutional Aid- From Other Sources

Federal Pell Other Federal Aid Other Scholarships

Source: CU Financial Aid

$228.7

Institutional

Aid

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Changes to Pell Eligible Populations (FY 2012 to FY 2019)

8

CCHE’s need based financial aid formula rewards retention and progress of Pell eligible students. Since the allocation was implemented

in FY 2012, CU has retained Pell eligible students at a greater rate than most colleges thru FY 2019.

-47.2%

-42.0%

-41.3%

-34.5%

-21.4%

-16.5%

-13.7%

-5.0%

-2.7%

14.9%

-60% -50% -40% -30% -20% -10% 0% 10% 20%

CCCS

FLC

Adams

MSU-Denver

CMU

Western

CSU System

Mines

UNC

CU System

Average Resident Undergraduate Student DebtBachelor’s Degree Recipients with Loans

Source: CDHE FY 2018-19, Resident Undergraduates Only

9

$31,7

60

$27,8

16

$26,9

56

$25,7

78

$25,4

14

$25,3

16

$25,2

15

$25,1

05

$24,6

46

$24,0

68

$23,9

65

$20,7

12

$31,5

02

$28,1

11

$28,3

74

$28,2

24

$24,9

52

$25,1

83

$25,9

56

$25,1

19

$25,0

79

$26,6

02

$23,9

62

$20,1

08

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

Mines CUDenver

CSU CUBoulder

CSU-P Mesa Adams Metro UCCS Western UNC Ft. Lewis

Residents All Students

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Average Undergraduate Debt Load Upon Graduation (FY 2019)(only 50.4% of completers took loans at CU*)

10

Source: Colorado Department of Higher Education; includes Federal Direct, Federal Perkins, Federal Other, and private loans.

*Varies by campus.

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Bachelor’s Degree Recipients Loan Amounts in Colorado, FY 2019

11

Source: 2019 Student Loan Data from SURDS from the Colorado Department of Higher Education, public institutions. FY 2019 graduates taking loans in prior 6

years.

2,3

95

3,1

98

4,1

19

2,1

01

1,1

96

83

2

29

1

17

2

12

2

75 1

66

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

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Student Loan Default Rates

12

Source: U.S. Department of Education

2.7%

2.8%3.8%

5.5%

6.9%

5.1%4.7%

5.0%

3.1% 3.3% 3.3% 3.4%3.0%

3.4%4.7%

2.7%3.1% 3.1% 3.1% 3.2% 3.0%

14.6%

12.4%

11.5% 11.3%11.6%

10.8%

9.9%

13.7%

11.8%11.3% 11.5%

10.8%

10.1%9.7%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

2011 2012 2013 2014 2015 2016 2017

UCCS Denver|Anschutz Boulder Colorado National

Annual Earnings vs Annual Loan Payment (by Degree)

Sources: Average Annual Earnings based on CU System Alumni Survey FY 2009 - FY 2018, Based on full-time employment and excludes those pursuing additional

education; Annual Loan Payment based on average loan from CDHE SURDS (FY 2019) & standard 10 year repayment at 4.3%

$3,702

$3,278

$3,337

$3,156

$3,468

$3,184

$3,247

$3,497

$3,782

$3,497

$29,927

$26,496

$26,970

$25,511

$28,034

$25,734

$26,242

$28,268

$30,566

$28,264

$50,266

$50,508

$53,592

$54,202

$54,635

$61,663

$61,974

$75,716

$81,363

$93,400

$0 $20,000 $40,000 $60,000 $80,000 $100,000

Visual and Performing Arts.

English Language and Literature/Letters.

Psychology.

Biological and Biomedical Sciences.

Health Professions and Related Programs.

Social Sciences.

Communication, Journalism, and Related Programs.

Business, Management, Marketing, and Related Support Services.

Engineering.

Computer and Information Sciences and Support Services.

Average Annual Earnings 1 to 10 Years After Completion* Average Total Loans upon Earning a Degree** Estimated Annual Repayment***

13

Earnings of College Degree Over Time

14

Source: Consumer spending data, midyear tables,

www.bls.gov July 2018 - June 2019

Under 25 Years of Age

25-34 Years of Age

Living Expenses Student Loan Payment Other

82.8% 10.3%

65.5% 5.1%

6.9%

29.4%

1,409 775 940 708

1,170

75

108 212

207

375

1,422

803 859

626

1,880

2,906

1,686

2,011

1,541

3,425

6,413

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

<$32,500 $32,500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000+ Did not apply foraid (no income data

avail)

Num

ber

of

Stu

dents

Number of students who did not take student loan Parent and student loan Student loans, no plus

35.7%

33 Percent with Student Loans

6 Percent with Parent Loans (PLUS)

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CU Boulder Resident Undergraduates, FY 2020

15

Source: CU Financial Aid; Does not include private loans; Excludes exclusive parent loans; Number of students not applying for aid based on fall headcount

compared to fiscal year financial aid.

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CU Boulder Resident Undergraduate Average Financial

Assistance, FY 2020 (new cohort)

16

$12,879 $13,908

$19,514

$23,144 $24,643

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$0-$32,499 $32.500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000 or more

Federal Aid State Aid Other Scholarships Inst. Need-Based Aid Inst. Merit-Based Aid Federal Student Loan Average Remaining COA

FY 20 Average Tuition and Fees $12,500

FY 20 Estimated Cost of Attendance $30,166

Source: CU Financial Aid; Does not include private loans; Estimated Cost of Attendance is the average Nine Month Cost of Attendance for selected population.

Average tuition applies to incoming cohort only.

Visit the appendix for

information on

previous cohorts

Page Title Here

CU Boulder Award Distribution by Amount, FY 2020

17

Source: CU Financial Aid; Resident, undergraduate students, with FAFSA on file. Includes all grants, scholarships and work-study awards. Excludes loans.

3,324

1,199

1,477

1,033 813

491

3,232

28.7% 10.4% 12.8% 8.9% 7.0% 4.2% 27.9% -

1,000

2,000

3,000

4,000

5,000

6,000

7,000

<$1 $1-$2,500 $2,501-$5,000 $5,001-$7,500 $7,501-$10,000 $10,001-$12,500 Greater than$12,500

Nu

mb

er

of S

tud

en

ts

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CU Denver Resident Undergraduates, FY 2020

18

1,525

682 606 349 327

49

73 181 148 178

1,706

953 650

323 462

3,280

1,708 1,437

820 967

1,243

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

<$32,500 $32,500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000+ Did not apply for aid(no income data

avail)

Num

ber

of

Stu

dents


13%




compared to fiscal year financial aid

$13,182

$15,540

$18,733 $20,739

$21,774

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$0-$32,499 $32.500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000 or more



Page Title Here

CU Denver Resident Undergraduate Average Financial

Assistance, FY 2020

19



Page Title Here

CU Denver Award Distribution by Amount, FY 2020

20


1,904

1,535

1,025 867

701 773

1,407

23.2% 18.7% 12.5% 10.6% 8.5% 9.4% 17.1% -

1,000

2,000

3,000

4,000

5,000

6,000

<$1 $1-$2,500 $2,501-$5,000 $5,001-$7,500 $7,501-$10,000 $10,001-$12,500 Greater than$12,500

Nu

mb

er

of S

tude

nts

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UCCS Resident Undergraduate Financial Aid Applicants, FY 2020

21

1,346 663 680 440 476

50

51 146141 160

1,147

639 557 391 551

2,543

1,353 1,383

972 1,187

1,520

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

<$32,500 $32,500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000+ Did not apply foraid (no income data

avail)

Nu

mb

er

of S

tude

nts


17%




compared to fiscal year financial aid

$14,512 $15,787

$19,434 $21,083 $21,531

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$0-$32,499 $32.500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000 or more



Page Title Here

UCCS Resident Undergraduate Average Financial Assistance, FY

2020

22



Page Title Here

UCCS Award Distribution by Amount, FY 2020 (before loans)

23


2,019

1,436

1,015

725

538

784 921

27.1% 19.3% 13.6% 9.7% 7.2% 10.5% 12.4% -

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

<$1 $1-$2,500 $2,501-$5,000 $5,001-$7,500 $7,501-$10,000 $10,001-$12,500 Greater than$12,500

Num

ber

of

Stu

dents

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Closing the Cost Gap

Ways to Reduce Cost

• Apply for scholarships

• Boost credit load (more than 12 per term or summer school)

• Transfer credit (high school concurrent, competency testing, other college)

• Live with family or with multiple roommates

• Cut back on personal expenses (use alternative transport)

• Remain on parents’ health insurance plan

• Meet with advisors to track degree progress

24

Page Title Here

Closing the Cost Gap

Other Means

• Part-time work

• College savings plans

• Parent or private loans

• Credit cards

25

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Conclusions

• Out-of-pocket tuition and fee increases were mitigated for

many low and middle income students.

• Of all resident, undergraduate students system-wide:

o 39% took federal student loans in FY 2020.

o 7% had parent loans in FY 2020.

• On average, CU students have a loan default rate of 3.6%,

which is approximately six percentage points lower than the

national and statewide average.

26

Page Title Here

Additional Information

For more information about affordability and student financial

aid, including:

– Tuition and Fees

– Institutional Aid

– Student loans

– Out of Pocket Costs

– Average Cost of Attendance

– Alumni Earnings

– Links to other resources

Visit our website at: https://www.cu.edu/affordability

27

https://www.cu.edu/affordability-student-financial-aid

Appendix

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Assistance, 2019 cohort

29

$12,601 $13,630

$19,236

$22,865 $24,364

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$0-$32,499 $32.500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000 or more


FY 20 Average Tuition and Fees $12,532 (FY 19 cohort)

FY 20 Estimated Cost of Attendance $29,887 (FY 19 cohort)



Back to presentation

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30

$11,993 $13,022

$18,628

$22,257 $23,756

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$0-$32,499 $32.500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000 or more


FY 20 Average Tuition and Fees $12,086 FY (18 cohort)





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31

$11,139 $12,168

$17,774

$21,403 $22,902

$-

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$0-$32,499 $32.500-$59,999 $60,000-$99,999 $100,000-$139,999 $140,000 or more


FY 20 Average Tuition and Fees $11,531 (FY 17 cohort)




Documents

Student Aid and Debt Presentation