Parents Giving Kids Less Money for College

Parents are spending less money on their kids’ college education, according to a report by student-loan provider Sallie Mae. The share of college costs paid by parents fell to 27 percent from 37 percent three years ago. Instead they are relying more on scholarships. Americans are also trying to cut costs by forgoing dorms: 57 percent of families said a student was living at home or with a relative, up from 43 percent three years ago. The drop in spending was particularly sharp among African-Americans, partly because fewer are enrolling in four-year private schools: 14 percent of students in African-American families were enrolled in four-year private schools this year, compared with 30 percent last year.