HOUSTON – As the cost of higher education continues to climb, many Texas families are asking the same question: How can we afford college?
Rice University is hoping to ease some of that burden.
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Beginning with students entering in Fall 2027, the university will expand its Rice Investment financial aid program, offering free tuition to students from families earning up to $200,000 a year. Families earning less than $100,000 annually will continue to receive tuition, mandatory fees, room and board, while Rice says it will continue meeting 100% of demonstrated financial need without requiring student loans.
The announcement is drawing attention because it expands financial aid well beyond lower-income households, targeting many middle-income families who may have assumed a private university was financially out of reach.
But education experts say Rice’s announcement also highlights a bigger lesson: Families shouldn’t judge a college by its sticker price alone.
Ibrahim Firat, chief educational consultant with Firat Education in Houston, says one of the biggest mistakes families make happens before they even submit an application.
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“The biggest mistake that costs families are happening even before a single application is submitted, that is discounting the school from your list because you think you cannot afford the school,” Firat said.
Instead, he encourages families to research each school’s average financial aid packages before crossing it off their list.
Many colleges publish information showing the average amount of need-based and merit-based aid awarded to incoming students. That information can help families estimate what they may actually pay after grants and scholarships—not just the published tuition rate.
“All of a sudden, if you do that math, the sticker price of $60,000 may become a net cost of $28,000 for you,” Firat said.
Could a private university actually cost less?
At first glance, the answer might seem surprising.
Rice University’s estimated annual cost of attendance—including tuition, housing, meals and other expenses—is more than $97,000 before financial aid. But under the university’s expanded financial aid program, eligible middle-income families could pay far less.
Firat says that’s part of a broader trend among well-endowed private universities.
“What I’ve seen does reflect a broader pattern we’ve seen over the last decade or so among the wealthiest, best-endowed private universities around the country,” he said.
He says families often assume private schools are automatically more expensive than public universities, but financial aid can change that equation.
“In some cases, it is actually more affordable because you’re paying no tuition at all, whereas your in-state schools, you may end up paying the tuition out of pocket,” Firat said.
Comparing college costs across Texas
While Rice has one of the highest sticker prices in the state, public universities remain significantly less expensive for Texas residents when looking at tuition and mandatory fees.
Approximate annual tuition and fees for Texas residents include:
- Houston Community College: About $2,600
- Texas Southern University: About $9,000–$10,000
- Prairie View A&M University: About $10,000–$11,000
- University of Houston: About $12,000–$13,000
- Texas A&M University: About $11,000–$13,000
- The University of Texas at Austin: About $11,000–$13,000
- Rice University: About $71,000 in tuition, with an estimated annual cost of attendance exceeding $97,000 before financial aid
Experts caution, however, that tuition tells only part of the story. Housing, meal plans, books, transportation and other fees can add thousands of dollars to the overall cost of attending college.
Tuition remains frozen at Texas public universities
Texas families have received some relief in recent years.
Governor Greg Abbott has directed public colleges and universities to keep undergraduate tuition frozen through the 2026–27 academic year, preventing tuition increases at state-supported institutions.
However, experts note that many other college-related expenses—including housing and meal plans—have continued to rise.
Six ways families can reduce college costs
Firat says there are several strategies that can significantly lower what students ultimately pay:
- Complete the FAFSA, regardless of income.
- Apply for merit-based and need-based scholarships.
- Compare financial aid offers, not just tuition prices.
- Consider community college, especially for core classes.
- Take dual-enrollment courses in high school when available.
- Apply for Texas Grant funding if eligible.
He also encourages students to review financial aid letters carefully, since some awards include grants that never have to be repaid while others consist of student loans.
“More than 60% of schools in the country don’t end up receiving the sticker price from their families,” Firat said. “They give out some sort of financial aid to almost all their students.”
Is community college always the best option?
Not necessarily.
Firat says community college can save students thousands of dollars, particularly on general education courses, but only if those credits transfer to the university they plan to attend.
Students should verify transfer agreements before enrolling to avoid retaking classes later—a mistake that could ultimately cost more money.
When should families start planning for college?
Firat recommends students begin thinking about college as early as seventh grade, when they start making decisions about high school coursework and academic pathways.
Financial planning typically becomes more important during the sophomore and junior years of high school, when families can better estimate tuition costs and begin completing financial aid applications.
College isn’t the only path
Firat says a traditional four-year degree isn’t the right choice for every student.
He also advises families on vocational and trade school options, which often cost significantly less than a bachelor’s degree while leading to high-paying careers.
He recalled working with one student who completed an automotive certification program and was earning nearly six figures shortly after entering the workforce.
“The best school is the one that’s the best fit for the student,” Firat said. “Financially, academically, socially and in terms of career outcomes.”
For many families, he says, the goal isn’t finding the cheapest college—it’s finding the one that offers the best value.