Where is My Tuition Money Going?

It drains our wallets. It stresses us out. Yet it is one of the most important investments of a lifetime. College tuition is something that should not be taken lightly, as some schools can charge up to $30,000, and for what you ask? If I have to pay for food, room and board, and textbooks, how could the institution charge me so much money? Where is it all going?

Power, Internet, Computers

Your college or university probably has some sort of internet with servers maintaining the school's databases running 24/7. Think of all of the students, research, and information constantly being passed around. It's no wonder that server rooms are so hot. Especially if you attend a technical or engineering school, there are so many computers that the number of people downloading files at any given time is staggering. How many buildings are there on campus? For an institution to keep such a large amount of energy flowing in and out on a constant basis, there needs to be lots of power. And we all know power costs money.

Salaries

On a daily basis, how many people do students come in contact with that are University employees? From the person who cooked your last meal, to the janitors that clean your dorms, to the guy who fixed your computer, there are thousands of employees working on any number of things at any given time. Since a college campus is like a miniature city, think of every profession you can think of and throw it in the mix.

Don't forget the professors and instructors, as they are vital to an institution's well being and reputation. According to www.bls.gov, median annual earnings of all postsecondary teachers in 2006 were $56,120. The middle 50 percent earned between $39,610 and $80,390. The lowest 10 percent earned less than $27,590, and the highest 10 percent earned more than $113,450. How many tenured professors work at an institution? How many associate professors? You can do the math on your own time.

Healthcare

Many schools will take a part of your tuition and put it into funding for the school's Healthcare Center. These will be staffed with certified doctors and physicians, and you can go and get a checkup, flu shots, vaccinations, and diagnoses on various other ailments you may feel you have. Students who are attending from out-of-state will find a Health Center especially helpful.

Buildings

Your library, Nanotechnology building, recreation center, dorms - who builds these facilities? You guessed it. What buildings are constructed are usually up to the head committee governing the "construction fee" fund, a portion which is allocated into out of every student's payment. Some schools may choose to build certain amenities such as new research buildings, new pools, tennis courts, basketball courts, maybe even a new dormitory or computer lab. The institution needs to constantly renovate and improve its structures as they wear down, so there is almost always bound to be construction going on. Every school needs a gym, and who is the one to build it? Many schools will spend hundreds of millions of dollars in order to build an athletic facility that its students can access.

Research

In addition to the buildings constructed for research and innovation, an institution will need to cough up millions of dollars a year to conduct new research in its laboratories by purchasing new equipment and machines, paying researchers (students and professors alike), and maintaining its rights and licenses. All of these cost large amounts of cash, probably the most second to employee salaries.

Transportation/Security

Buses, vans, shuttles, whatever an institution may call it - these are all gas guzzlers that cart students from one end of campus to the other. There may also be gates that need to be fences, gates, and doors installed to prevent outsiders from entering campus, as well as police officers and security guards that may need to be staffed at night in order to prevent crime and keep the campus safe.

Every year, the inflationary rate goes up, not to mention the fact that the federal and state governments are not subsidizing college education nearly as much as they used to. According to a recent 2005 Study by Inside Higher Education, A Private Research University will charge a median of $14,000 for direct instructional costs, $11,000 for other instructional costs, and $8940 for Non-educational costs. As costs rise and the economy falls, tuition has been increasing steadily for the past few decades, and for good reason.

There is good news - Institutions try to spend most of their money on academic related pursuits, meaning that they do have the students' best interests at heart. So the next time you write that check and send it to the Bursar's office, remember how many perks you are getting. Once you graduate or leave college, you will not have access to nearly as many facilities and services.

Sources:

http://media.www.westerncourier.com/media/storage/paper650/news/2006/08/21/News/Where.The.Tuition.Goes-2226241.shtml

http://insidehighered.com/news/2008/05/01/spending