A new national study finds that American families are spending more on college than ever before, averaging $30,837 in the 2024-25 academic year. The 18th annual “How America Pays for College” study from Sallie Mae and Ipsos finds that families use a mix of savings, scholarships, grants, and loans to pay for higher education. The survey reveals that hurdles related to the Free Application for Federal Student Aid (FAFSA) and a reliance on borrowing were big challenges to college affordability.