Ivy League Financial Aid Reform Breaks Down Income Barriers
Yale is the latest ivy-league college to announce financial aid reforms. As competition for top students increases, the best schools are competing for academic talent – financially. With this latest announcement, Yale is eliminating all tuition for students who come from families earning an annual income of $60,000 or less.
Harvard announced similar plans last year, and some other high ranking schools have hinted that they are considering similar proposals. Many of the ivy-league universities have collected massive endowment funds from successful alumni. As donations grow, these schools are able to increase financial aid, invest in research facilities, and hire more high quality professors. Since student income is no longer a factor at Harvard and Yale, they will be able to recruit more talented students from lower economic levels – driving up the requirements for admission, but also ensuring that the next generation’s endowment will be well-funded.