Team 5: Story 1: Impact of Financial Instability on Students in Starkville

Effect on Students and How Students Manage

As inflation continues to impact household budgets across the United States, students at Mississippi State University are feeling the financial pressure in their collegetown. In Starkville, MS, the rising cost of tuition, housing, groceries, gas, textbooks and everything in between is forcing many Bulldogs to ask for assistance or support themselves through their college years. Unlike full-time workers, students must juggle academic schedules that limit their ability to earn steady income, leaving them dependent on part-time jobs, loans or scholarships. For those receiving little or no financial support from family, the nationwide surge in living expenses has become a daily challenge that is reshaping the college experience both on campus and throughout the Starkville community. Inflation has impacted students in almost every corner of their lives while enrolled at Mississippi State University.

Nationwide, data shows that the same financial pressure Mississippi State students are facing is part of a much larger economic picture. According to the U.S. Bureau of Labor Statistics, inflation peaked at 9.1% in June of 2022. This is the highest rate in more than 40 years. Although inflation has slowed throughout 2024 and 2025, prices have not returned to what they were before 2020. The prices of food, rent, gas, and more have all spiked by at least 20% since 2020. The Federal Reserve reports thatthe elevated cost of housing and food continues to put significant strain on lower-income households, a group that most college students fall into with limited ability towork, the expense of college, and cost of living in a college town.

In Starkville, these national trends are seen by students as they face their everyday expenses. Off-campus apartments near Mississippi State University have consistently increased their rent prices since 2020. Many students have reported a $50 to $150 increase each time they renew their lease. Gas prices in Mississippi have remained lower than the national average, but they have still fluctuated between roughly $2.80 to $3.50 per gallon over the past two years. Recent current events are also suspected to increase the price of gasoline across the nation. Grocery costs have also climbed, with students reporting higher prices on everyday ingredients such as meat, eggs, milk and produce. While Mississippi does have one of the lowest overall costs of living in the United States, it also has the lowest average household income across the nation. This makes it extremely difficult for Mississippi State University students that rely on their own income to keep up with continued inflation.

For many students, the cost of attending college at Mississippi State University alone brings on a heavy financial burned. According to MSU’s cost estimates, in-state students cost of tuition, housing, food and other fees currently exceed $32,000. The current estimate for out of state students is set at over $50,000. Tuition for students who do not exceed the 16 credit hour maximum is set at $10,454 for in-state students and $28,586 for out of state students. The university estimates housing to range from $10,000 to $12,000 annually. These major expenses alone can defer students from attending Mississippi State University. To cover these expenses, many students rely on scholarship, federal student loans, private student loans or part-time jobs. However, federal minimum wage has remained at $7.25 an hour since 2009, leaving students in a tough financial position.

 

The financial strain placed on students has forced them to find new means to make ends meet. Some students take on multiple part-time jobs while also balancing a full academic schedule. Others attempt to cut back on their spending by eating meals at home, finding roommates to share hosing costs with, or finding used textbooks. Even beyond the worry of budgeting, many students carry financial stress that impacts their academic focus and create mental health barriers. Many students find themselves with financial anxiety, worrying if they can continue to afford their academic career.

 

Mississippi State University has expanded its resources to assist students as they face financial challenges. One of the largest resources for food insecurity at MSU is Bully’s Pantry. Bully’s Pantry is an on-campus food bank that provides free groceries to students facing food insecurity. University officials have reported that the demand for Bully’s Pantry has grown tremendously over the past few years as tuition and living expenses have increased. Student Services also offers resources to students like financial counseling, meal assistance and other programs to assist students in managing budgets. The University report that these programs like these are intended to help students who are struggling financially to hold their academic integrity and relive the financial stress of higher education.

 

Even with the resources provided by Mississippi State University, there are still financial hardships that students carry. As inflation continues to rise, the prices of food, housing, transportation and more have students turning to university provided programs than ever before. Mississippi State University professionals report that their goal remains to provide opportunities for students so that they are able to focus on their academic careers. However, they do recognize it is inevitable that demand for these resources will continue to rise as expenses increase.

More often than not, college students are overlooked in the nationwide discussion of inflation. With limited income, high expenses, restricted availability, and demanding academic schedules, many students are affected by constant rising prices. At Mississippi State University, inflation is more than just and economic term. Inflations is something that affects students each day in their decision making, scheduling, academic focus, and in their overall well-being. By looking at the issue of inflation in Starkville, the reality of financial insecurity, brought on by national economic trends, becomes clear to students experiencing them first hand.

Email the team at dra206@msstate.edu with any questions.

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