Non-selective schools heavily reliant on international enrollment and already under financial stress could slide into "negative territory," according to Moody's Ratings.
Instead of the existing flat 1.4% tax rate, there is now a new multi-tiered rate of up to 8%, with larger endowments subject to the highest rate. The Joint Committee on Taxation estimates this endowment tax will bring in $761 million over 10 years.
New Jersey lawmakers have reversed some proposed funding cuts to community colleges, ensuring operating aid remains consistent with the past two years. However, financial aid programs—including the Community College Opportunity Grant—will still face reductions under the new budget.
Early projections indicate that tuition discounts for first-time undergraduates during the 2024-25 academic year rose to 56.3%, according to this NACUBO survey.
The federal student loan system is facing a massive overhaul, which could result in less college aid. But higher education is only getting more expensive.To bridge the gap, some schools are offering substantial financial aid packages.
As of August 2024, 39% of first-time bachelor's degree-seeking students were not completing their program within eight years. The reason: students don't see a clear path to completion.
