Stanford to Reduce or Eliminate Tuition for Some Families

credit: matsuda.yukihiroIn a somewhat surprising, but welcome, move, Stanford University has announced its intention to eliminate the financial burden of almost a third of its students.

With tuition coming in at $36,000 and room and board costing another $11,000, the $47,000 annual price tag of a top-notch education can prove to be too much for many middle-income families. Though financial aid helps with some of a family’s responsibility, many parents find themselves unable to pay their share of a child’s tuition.

With Stanford’s new policy, families that earn less than $100,000 annually will have tuition eliminated, and families with an income of under $60,000 will be relieved of tuition as well as room and board. Stanford University President John Hennessy states, “By devoting more resources to financial aid, we seek to underscore what has long been the case — that no high school senior should rule out applying to Stanford because of cost.”

To fund the new financial aid packages, in 2007 Stanford increased its endowment payout to 5.5 percent. In addition, the university has plans to double the aid goal of its current fundraising campaign, the Stanford Challenge. If they achieve their goal, the campaign will command $200 million.

For families struggling to make ends meet, the university’s new plan will go a long way to eliminate financial burdens and allow student dreams to come true, regardless of economic status.

Tags: College and Education | financial aid