How most Americans pay for college Share: When paying for college, families rely on a combination of financial resources - including out-of-pocket payments and loans - to meet their educational expenses. Parent income and savings account for 38% of college funding for the typical family, with parents contributing, on average, $11,729. Scholarships and grants account for 27% of college funding for the typical family, with students awarded an average of $8,354 in funds that don't need to be repaid. Student income and savings account for 10% of college funding for the typical family. Among college students, 33% say they hold a job all year, 23% say they work only on school breaks and 14% say they work during school but not breaks. Student borrowing accounts for 12% of college funding for the typical family. In families who borrowed to pay for college, students borrowed $7,535 on average. Parent borrowing accounts for 11% of college funding for the typical family. In families who borrowed to pay for college, parents borrowed $7,092 on average. Gifts from relatives and friends account for 2% of college funding for the typical family, with families using, on average, $533 in gifts from others to cover college expenses. Source: Sallie Mae, "How America Pays for College 2025." More for you Visit What's your game plan to fund college for planning resources and tools. Try our College Planning Calculator to see how much you should save for college. Compare college savings accounts to see which best fits your needs. Use our 529 state tax calculator to learn if your home state 529 plan offers state tax deductions. Share: MAP8653898-06052027