In 2025, student loan debt in the United States has reached an unprecedented $1.77 trillion, combining both federal and private loans. This staggering amount underscores the financial pressure faced by millions of Americans pursuing higher education. According to the College Board, the average undergraduate borrower carries a debt of $29,300, while the average U.S. household with student loans owes $55,347.
While many Americans continue to pursue college degrees, questions about whether the cost of education is truly worth it are growing. A 2024 NerdWallet study revealed that 57 percent of Americans still believe in the value of a four-year degree, but 30 percent of borrowers regret taking on student loans for their education.
Debt by Degree and Demographics
The burden of student loan debt varies significantly depending on the level and type of degree pursued. Graduates with a bachelor’s degree typically owe an average of $29,300, but for those advancing to graduate or professional degrees, the financial load increases sharply.
Graduate students face an average debt of $77,300, while law school graduates owe an average of $132,740. Medical and dental students carry even larger amounts, with debts averaging $212,341 and $296,500, respectively. These high costs are often justified by the potential for higher salaries but come with the challenge of repaying significant debt for many years, sometimes even decades.
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Parent PLUS Loans and Family Strain
Parent PLUS loans contribute to the financial strain, with parents borrowing an average of $30,639 to fund their children’s education. This additional debt burden can delay parents’ own financial goals, including saving for retirement, adding another layer of financial difficulty to families.
Graduates from nursing, pharmacy, and veterinary programs also face substantial debt levels, ranging from $40,000 to nearly $300,000 depending on the field of study.
Age, Gender, and Racial Disparities in Debt
Demographics play a major role in shaping the student loan landscape. Borrowers between the ages of 50 and 61 carry the highest average debt at $46,790, which reflects the long-term nature of student loan repayments that can extend into retirement years.
Younger borrowers under 24 owe an average of $14,162, while those aged 25 to 34 have accumulated an average debt of $33,150.
There are also noticeable gender and racial disparities in student loan debt. On average, women borrow slightly more than men, with debts of $31,276 compared to $29,270. However, Black women bear the heaviest debt burden. They graduate with 43 percent more undergraduate debt and nearly 99 percent more graduate school debt compared to their white counterparts, according to a 2022 study by The Education Trust. These figures highlight systemic disparities in access to education and financial resources, disproportionately affecting marginalized communities.
The ongoing debt crisis continues to shape the financial futures of millions of borrowers across the United States, with substantial differences in how student loan debt impacts individuals based on their level of education, age, gender, and race.
