Tuition & Room and Board: On-Campus vs. Off-Campus Costs

Choosing where to live during college is a big decision that affects your budget, lifestyle, and overall experience. On-campus living provides benefits like convenience and predictable costs, while off-campus living may offer you more flexibility and independence. Each option comes with its own set of costs and benefits.

In this guide, we'll help you compare the pros, cons, and expenses of living on-campus versus off-campus so you can make the best decision for your budget.

Is it cheaper to live on-campus or off-campus?

When choosing between on-campus and off-campus housing, cost is often a deciding factor for students.

“Off-campus housing is generally more affordable than on-campus options, mainly because universities often bundle required meal plans, utilities and facility fees into their housing costs, resulting in higher overall expenses,” explains Said Israilov, certified financial planner (CFP) and fiduciary financial adviser at Israilov Financial.

“Living off-campus gives students more flexibility over their expenses, allowing them to choose cheaper accommodations, split costs with housemates and cook their own meals instead of paying for meals at a cafeteria,” says Israilov.

That said, Israilov emphasizes that students living off-campus should balance their expectations with other costs such as gas, furnishing, and security deposits.

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The pros and cons of living on-campus

On-campus housing offers unique benefits that can enhance the college experience, particularly for first-year students. Living in a dorm fosters a sense of community, keeps you close to academic resources, and provides easy access to campus events and activities.

Another convenience is that room and board costs are automatically deducted from your financial aid, including grants and student loans, which simplifies your budgeting process.

Despite its conveniences, on-campus living can be expensive.

“The main drawback to on-campus living is affordability,” says Jillian Sirianni, a licensed clinical social worker and adjunct professor at Eastern University. “And with many on-campus living options offering limited to no kitchens, it also forces students to purchase a meal plan, which also will cost more than what they might pay for groceries week to week.”

Another downside to consider is the limited availability of dormitories during breaks.

“Students also may not be aware that for many campuses, the dormitories close around major holidays and through the summer, forcing many students to find alternative housing solutions if they weren't planning to go home,” Sirianni explains. This could add stress and extra costs if you plan to stay on campus during the holidays.

The pros and cons of living off-campus

Living off-campus provides a high degree of flexibility, which can be both an advantage and a challenge for students.

“Students have great levels of autonomy while living off-campus and plenty of engagement with the life skills they will need far past college,” says Sirianni. “From bill pay to cooking and cleaning, there's a lot of 'adulting' practice that can be had in this living arrangement.”

Off-campus housing often offers more options to fit your personal budget and lifestyle preferences. It can also be more affordable, especially if you share expenses with roommates. For those seeking solitude, it provides enhanced privacy and the opportunity to live in quieter areas, away from the hustle of campus life.

However, there are trade-offs. “Of course, the downsides being greater isolation from student life and accessibility to all the resources offered on-campus,” Sirianni points out.

Ultimately, living off-campus may mean a longer commute, fewer opportunities to engage in campus activities, and less immediate access to academic support or social events.

How to decide which housing option is right for you

To compare the costs of on-campus and off-campus housing, start by breaking down your school's room and board pricing into a monthly figure. This will give you a baseline for living on campus.

Next, calculate the total monthly expenses you might face living off-campus. Include key costs such as average rent in the area, utilities, internet, groceries, and any parking or transportation fees.

Once you have both figures, compare them side by side to get a clear comparison of monthly costs.

Smart ways to save on college housing costs

If you're leaning toward on-campus housing but can't afford the lump-sum payment for room and board, there are still ways to manage the costs.

“Students can often sign up for payment plans through their Bursar or Income Accounting department to spread out the cost of housing over the course of a semester,” advises Rachel Aho, senior director of housing at the University of Utah. “By doing this, they can simulate a monthly rent payment and help to relieve up-front housing costs.”

Some schools also offer housing scholarship programs to help offset expenses. For example, the University of Utah provides housing scholarships specifically for on-campus residents. Check with your school's housing department to see if similar programs are available.

Here are some more strategies to help save money on both on-campus and off-campus living:

• Share living costs with roommates: Splitting rent, utilities and other shared expenses with one or more roommates can significantly lower your overall housing costs if you live off-campus.
• Opt for basic accommodations: Try to prioritize affordability when selecting on-campus housing. "Often, housing costs differ greatly depending on building type, roommates, location, etc. By choosing a less expensive room type, students can save money on housing," Aho says.
• Cook your own meals: If you're living off-campus or on-campus without a required meal plan, meal prepping can save you from the high costs of eating out. Even preparing a few meals each week, like lunch or dinner, can reduce your food expenses considerably.
• Become a resident assistant (RA): Serving as an RA can be both financially and personally rewarding. Many schools offer free or discounted room and board in exchange for supporting students in residence halls.
• Look beyond walking distance: Apartments closer to campus often come with higher rent. Searching for housing slightly farther away can yield more affordable options. Just make sure you have reliable transportation, whether it's your own vehicle or access to public transit.
• Leverage your student ID: Use your student ID to unlock discounts on essentials like internet installation, public transportation or even furniture for off-campus living. These savings can add up over time.

Related: How To Pay for College: 10 Strategies