AMERICANVIEWPOINT. P e t e r D HART RESEARCH. Looking for Relief: Americans View of College Costs & Student Debt

Transcription

1 P e t e r D HART RESEARCH ASSOC I A TES & AMERICANVIEWPOINT Looking for Relief: Americans View of College Costs & Student Debt

2 Methodology 804 interviews among a representative sample of adults nationwide Oversample among 251 recent students (18- to 29-year-olds who have attended at least some college or are currently enrolled) for a total of 354 interviews among recent students when combined with the qualified respondents from the main sample Oversample among 254 college parents (parents of 18- to 29- year-olds who have attended at least some college or are currently enrolled) for a total of 438 interviews among college parents Telephone interviews conducted March 13-18, 2006 Margin of error: ±3.5 percentage points for all adults (n=804) ±6.3 percentage points for recent students (n=251) ±6.3 percentage points for college parents (n=254) 2 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

3 College Seen as More Important than It Was 10 Years Ago Is getting a college education more/less important... than it was ten years ago? Less important About the same importance 16% 4% All adults 80% More important 86% of recent students and 77% of college parents say a college education is more important today. 3 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

4 Affording College Seen as More Difficult Today than in the Past 66% 72% More difficult About as difficult Less difficult 21% 21% 7% 5% All adults College parents 4 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

5 Government Doing Too Little on College Affordability Is federal gov t doing... to make higher education available/affordable? Doing too much Doing too little Doing right amount 64% 28% All adults Democrats Independents Republicans Liberals Moderates Conservatives Too little 84% 64% 44% 81% 70% 49% 5 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

6 Americans Believe Students Graduate with Too Much Debt College students today graduate with too much student loan debt College students today graduate with a manageable amount of student loan debt 59% 31% 55% 40% 63% 29% 82% of adults say that college students graduate with more debt today than in the past. All adults Recent students College parents 6 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

7 But Most Still Say Loans Are Reasonable Way to Finance College Student loans are a good way to pay for college, and it is reasonable to take on student loan debt considering the benefits of college 71% 79% 73% It is a mistake for young people to go into debt for college, and they should do whatever they can to avoid student loans 24% 19% 22% All adults Recent students College parents 7 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

8 By Two to One, Americans Say Paying off Student Loans Is Hard 66% Paying off student loans today is: Very easy Fairly easy Very hard Fairly hard 61% 64% 27% 35% 30% 3% 28% 3% 8 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for 15% 3% 21% All adults Recent students College parents

9 Student Debt Serious Problem for Low Income & Middle Class Families Student loan debt is a very serious problem for this group Student loan debt is a fairly serious problem for this group Students from low income families * 62% 75% Recent students 84% College parents 62% Students from middle class families * 32% 58% 48% 64% * Asked of half the sample 9 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

10 Strong Support for Tax Credit Plan Proposal: replace current loan interest deduction with refundable tax credit, based on income Strongly favor Stronglyoppose Somewhat favor Somewhat oppose 78% 88% 76% 27% 8% All adults 18% 29% 10% Recent students 24% 19% 10 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for 7% College parents

11 Majorities Favor All Aspects of Tax Credit Plan % saying they strongly/somewhat favor each Could take tax credit for some of student loan interest costs; if now getting interest deduction would get at least as large a tax break, most would get larger break; more people with student loans would qualify for the tax break Size of tax credit would depend on personal income: under $30K get largest credit, $30K to $70K get smaller credit, over $70K get no credit * Tax credit would be refundable: get full refund, even if tax credit larger than income tax owed All adults 85% 68% ** 66% Federal government will spend about $2 billion more per 63% year than under the current system ** 72% of adults favor progressive structure using income breaks of $60,000 and $140,000 for married couple. * * Asked of half the sample 11 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

12 Strong Support for Tax Credit Plan Among Key Subgroups Favor Favor All adults Under $40K income $40K - $75K income $75K + income 78% 83% 86% 78% Recent students/loan debt: Great deal of debt Some/little debt No loan debt 92% 88% 84% Democrats Independents Republicans 2004 Kerry voters 2004 Bush voters 83% 77% 73% 85% 70% College parents/kids loan debt: Great deal of debt Some/little debt No loan debt 79% 75% 74% 12 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

13 Expected Impact Of Tax Credit Tax credit for student loan repayments would do this Help young people get good start on career and family Good investment in America s future Encourage low income high school graduates to go to college Help parents of college students save for retirement Allow more people to go into teaching, social work, important careers Strengthen the economy 61% 88% 86% 80% 76% 74% 13 College Costs & Student Debt March 2006/Hart Research & American Viewpoint for

14 P e t e r D HART RESEARCH ASSOC I A TES & AMERICANVIEWPOINT Looking for Relief: Americans View of College Costs & Student Debt