Gen Z Is Rethinking How To Pay For College
Picture yourself as a graduating senior, staring at a university acceptance letter with equal parts excitement and nerves.
You’ve imagined campus life, picked out a potential major, and then a big question hits you: How am I going to pay for this degree?
The question of finances is becoming more inseparable from the college experience today. ScholarshipOwl’s latest data was gathered in their new piece: The Gen Z College Funding Reality: 2026 Mid-Year Report. The results show that Gen Z still wants a college degree, but they’re thinking much more about the price tag.
Jennifer Finetti, the ScholarshipOwl’s director of student advocacy, analyzed seven national surveys representing more than 178,000 responses.
The results showed that a massive 86% of respondents are hoping to rely on scholarships to carry them through their degrees. In fact, a whole 56% of students shared they lack confidence in affording their education without aid.
FINANCIAL AID MAKES THE DIFFERENCE
If that financial aid support were to vanish, 66% of students say their families probably couldn’t bridge the gap with personal savings. What this means is that for a majority of students, scholarship hunting is what they’ll need to focus on.
But what happens when scholarships aren’t enough? For the vast majority, loans are still a necessity. A whole 83% of those currently enrolled or planning to attend are expecting to borrow funds.
Zooming out further, the question of needing aid leads to the question of value. Students who are borrowing are asking themselves: What am I getting in return? Typically, that answer needs to be a solid first job.
While 70% of students feel their programs are adequately prepping them for the workforce, that confidence is wavering due to today’s shifting job market defined by AI and evolving standards. Some degrees certainly offer better chances of a high ROI, but a degree alone is no longer seen as a guarantee into the workforce.
SO…IS COLLEGE STILL WORTH IT?
All in all, the ScholarshipOwl report shows that students aren’t giving up on college. They’re just adjusting their expectations to its cost. By June, 86% of students surveyed were prioritizing scholarship applications, 78% were filing the FAFSA, and nearly two-thirds were working while studying.
Finetti says despite financial challenges, Gen Z is resilient and resourceful. A good 39% of students reported they’ve turned to grabbing secondary jobs to help fund their degree.
Regarding students today, Finetti says, “They are actively budgeting, working, seeking community support, and looking for debt-free funding alternatives wherever possible.”
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