• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

Navigating Money And Education

  • About
  • Podcasts
  • Social
  • Newsletter
  • Save For College
  • Student Loans
  • Investing
  • Earn More Money
  • Banking
  • Taxes
  • Forum
  • Search
Home / News / Grade Inflation Is Real: Here’s What It Means For Grads

Grade Inflation Is Real: Here’s What It Means For Grads

Updated: June 4, 2025 By Robert Farrington | < 1 Min Read Leave a Comment

Many or all of the products featured here may be from our partners who compensate us. This doesn't influence our evaluations or reviews. Our opinions are our own. Investing information is for educational purposes only. Learn more here.Advertiser Disclosure

There are thousands of financial products and services out there, and we believe in helping you understand which is best for you, how it works, and will it actually help you achieve your financial goals. We're proud of our content and guidance, and the information we provide is objective, independent, and free.

But we do have to make money to pay our team and keep this website running! Our partners compensate us. TheCollegeInvestor.com has an advertising relationship with some or all of the offers included on this page, which may impact how, where, and in what order products and services may appear. The College Investor does not include all companies or offers available in the marketplace. And our partners can never pay us to guarantee favorable reviews (or even pay for a review of their product to begin with).

For more information and a complete list of our advertising partners, please check out our full Advertising Disclosure. TheCollegeInvestor.com strives to keep its information accurate and up to date. The information in our reviews could be different from what you find when visiting a financial institution, service provider or a specific product's website. All products and services are presented without warranty.

Buses lineup to transport students back home at end of school day. Four buses with some students already loaded. Photo: Cheshier1021

Key Points

  • Average GPAs are rising, but test scores are not, signaling widespread grade inflation.
  • Parents and colleges are increasingly misled by inflated grades, undermining accountability and preparedness.
  • Standardized testing is making a return as grades lose value, and policymakers are being urged to restore grading rigor.

Grade inflation has been quietly reshaping American education. The idea of grade inflation is that teachers are giving students higher grades for same (or lower) quality of work than prior years. There are many causes, from school and state policies to parental pressure, but the end result is clear: An "A" today is not the same as an "A" was 10 to 20 years ago.

Since the Covid-19 pandemic, schools have reported sharp increases in average grades even as test scores drop. In 2021, ACT test-takers posted the lowest scores in over a decade while recording the highest GPAs ever. Even students in the 25th percentile of ACT performance logged GPAs over 3.0.

In high school math, the average adjusted GPA climbed from 3.02 in 2010 to 3.32 in 2022, according to ACT. These numbers suggest a B+ average even as national readiness in math continues to decline. English, science, and social studies have seen similar patterns, though math has the steepest inflation.

What was once an occasional concern among educators has grown into a systemic issue. A Fordham Institute study using North Carolina data revealed that students with B grades in Algebra I often failed the related end-of-course exams. In the years since, the trend has only accelerated.

Another study by Voice of San Diego looked at San Diego area high school grades, and compared them to how many student's passed the state proficiency exam. The gap is troubling:

Gap between GPA and State Scores | Source: Voice of San Diego

Would you like to save this?

We'll email this article to you, so you can come back to it later!

Why Grades Don't Tell The Full Story

Grades have long been a touchstone for parents trying to assess their children’s academic progress. But as GPAs climb and learning outcomes stagnate, the disconnect grows. A joint report by TNTP and Learning Heroes found that around 80% of parents say their kids bring home mostly A's and B's, despite widespread pandemic-era learning loss.

The misleading comfort of inflated grades may limit access to support. If students in under-resourced schools are getting good grades that don’t match actual performance, they may not receive the tutoring or help they need. A 2023 study in North Carolina found that after more lenient grading was introduced, lower-performing students were more likely to miss school, a signal that engagement may drop when standards are loosened.

The bottom line is that if everyone get's an A, what's does an A really mean? And does your child actually know the material? And will this prepare them to be successful in the future?

What Happens When No One Fails

Since the early 2000s, the policy push toward "no child left behind" has encouraged schools to prioritize grade advancement over content mastery. Combined with more recent pressures to soften grading policies, such as allowing late work without penalty or assigning minimum grades of 50% for missed assignments, the result is that failure has become rare.

Yet removing the threat of failure can also remove the motivation to improve. Economists David Figlio and Maurice Lucas found that students assigned to lenient elementary school teachers learned less and did worse later on. In high school, students taught by easy graders in Algebra I performed worse in later math classes.

Inflated grades also contribute to broader economic concerns. Employers relying on GPAs may overestimate the skills of recent graduates, leading to frustration, retraining costs, and mismatches in hiring. If students graduate underprepared, the workforce suffers.

Standardized Tests Regain Traction

As grade inflation erodes the usefulness of GPA, some colleges are turning back to standardized tests. A 2024 study of elite colleges found that SAT and ACT scores are now stronger predictors of academic success than GPA. This reversal comes after many schools moved to test-optional admissions during the pandemic.

The resurgence of testing is driven by concerns that grade compression, when most students receive similar high grades, makes it harder to distinguish applicants. With few students getting C's or lower, an A tells less than it used to. While some education experts have defended grade inflation as a way to build student confidence, others worry it rewards underperformance and diminishes incentives.

Policymakers are being called upon to set boundaries. ACT CEO Janet Godwin said in 2023 that grade inflation is "systemic" and must be addressed beyond the classroom. Dr. Edgar Sanchez, the author of the ACT study, warned that GPAs are becoming a less reliable measure of readiness for college or the workforce.

What Families Need To Know

Families sending their children to college should understand that not all A's reflect the same level of learning. Grades alone may no longer offer a clear picture of readiness for college-level work. When comparing schools or preparing college applications, families should consider how GPA compares with standardized test scores and whether their student has been challenged in rigorous courses.

Schools can help by using external benchmarks, such as end-of-course exams or state and national assessments, to provide a more complete view of achievement. Parents should ask whether schools offer this kind of data and request it alongside grades.

Policy changes matter too. Some grading reforms, like removing extra credit or enforcing deadlines, can support higher expectations when used consistently. Others, such as inflating minimum grades or removing accountability, may do more harm than good.

Grade inflation affects more than college admissions. It shapes how students study, how parents support their learning, and how well they’re prepared for life beyond school. For families, staying informed and asking questions about how grades are assigned is one way to make sure that letter grades still reflect something real.

Don't Miss These Other Stories:

How To Build a Stronger College Application This Summer, According To The Data

How To Build a Stronger College Application This Summer, According To The Data

Can President Trump Reverse Student Loan Forgiveness?

Can President Trump Reverse Student Loan Forgiveness?

Judge Blocks Trump Plan To Fire 90% Of CFPB Staff

Judge Blocks Trump Plan To Fire 90% Of CFPB Staff

Editor: Colin Graves

Robert Farrington
Robert Farrington

Robert Farrington is the founder of The College Investor and is widely recognized as one of the nation’s leading voices on student loan debt and saving for college. He holds an MBA from UC San Diego Rady School of Management and has spent over 15 years researching, writing, and advising on student loans, 529 plans, financial aid programs, and saving and investing for young professionals.

Robert has been featured in the The New York Times, The Wall Street Journal, The Washington Post, NBC News, and Forbes, where he has been a regular personal finance contributor for over a decade. His work combines both professional expertise and personal experience – he successfully navigated his own student loan repayment journey and has helped thousands of readers do the same.

He is committed to making the intersection of personal finance and education transparent and accessible. You can learn more about Robert on the About Page or on his personal site RobertFarrington.com.

Please Share And Support

  • Facebook
  • X
  • LinkedIn
  • Reddit
  • Flipboard
  • Bluesky
  • Print
  • Email
Editorial Disclaimer: Opinions expressed here are author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, or other advertiser and have not been reviewed, approved or otherwise endorsed by any of these entities.
Comment Policy: We invite readers to respond with questions or comments. Comments may be held for moderation and are subject to approval. Comments are solely the opinions of their authors'. The responses in the comments below are not provided or commissioned by any advertiser. Responses have not been reviewed, approved or otherwise endorsed by any company. It is not anyone's responsibility to ensure all posts and/or questions are answered.
Subscribe
Notify of
0 Comments
Oldest
Newest Most Voted

Primary Sidebar

College Admissions

Featured Resources

>  Princeton Review (recommended)
>  Kaplan (recommended)
>  Khan Academy (recommended)

College Planning

  • How To Make A College List: Finding Academic and Financial Fit
  • How Colleges Admit Students Based On Major
  • Are College Admissions Counselors Worth It?
  • How Accurate Are College Admissions Calculators?
  • The Best Extracurricular Activities For College Applications
  • Best Niche Sports For College Admissions

College Application Process

  • College Application Checklist: Timeline And Printable Calendar
  • How To Build a Stronger College Application This Summer, According To The Data
  • How Does The College Admissions Process Work?
  • Best Questions To Ask A College Admissions Officer
  • Mastering The College Admission Interview
  • Should You Ever Withdraw A College Application?
  • How Do You Defer Enrollment In College?
  • Can You Accept More Than One College Admissions Offer?

College Admissions Tests

  • College Entrance Exams 101: SAT vs. ACT. vs. CLT
  • What Is A Good PSAT Score?
  • What Is A Good SAT Score?
  • What Is A Good ACT Score?
  • How Do AP Scores Work For College Admissions?

Paying For College

  • How To Fill Out The FAFSA: 2026-27 Step-By-Step Guide
  • How To Save For College: Order Of Operations For Parents
  • How To Pay For College: The Best Order Of Operations
  • Military And VA Education Benefits (Complete Guide)
  • Best Student Loans And Rates

Heading To College

  • Ultimate College Packing List: What To Bring To College
  • 101 Essential Resources And Tips For College Freshmen
  • How To Prepare And Make Dorm Room Move-In Easy
  • Best Dorm Room Renters Insurance For Students
  • 5 Risks of College And How To Protect Against Them

Admissions Guides

  • Graduate School Admissions Tips: How To Stand Out
  • MBA Admissions Guide
  • Medical School Admissions Guide: Month-By-Month

Footer

Who We Are

The College Investor® provides the latest news and analysis for saving and paying for college, student loan debt, personal finance, banking, and college admissions.

Connect

  • Social
  • Contact
  • Newsletter
  • Advertise
  • Press & Media
  • Helpful Calculators

About

  • About
  • In The News
  • Research
  • Editorial Guidelines
  • How We Make Money
  • Archives

Social

Copyright © 2026 · The College Investor® · 2514 Jamacha Rd, Ste 502, El Cajon, CA 92019

Privacy Policy ·Terms of Service · DO NOT Sell My Personal Information

wpDiscuz