Yale Raises Term Bill Just 2.9 Percent, Lowest Rate Among Ivy League Schools in Two Decades/Also Takes Steps to Expand Financial Aid, Letting Students Use Less Of Their Own Money
Yale University announced today that it will raise tuition and room and board for undergraduates by only 2.9 percent for 2000-2001, marking its third straight year at that rate of increase, the lowest among Ivy League schools in two decades.
Yale also announced two important steps to ease the financial burden of students who receive financial aid. First, it will freeze the amount these students must contribute to their education from their own earnings and borrowing. Second, it will enable them to benefit more fully from outside scholarships.
“We are committed to keeping yearly increases as low as possible and keeping Yale affordable to all admitted students,” Yale President Richard C. Levin said. “We believe that, with today’s announcements, we are ensuring that anyone admitted to Yale will be able to attend.”
The “term bill”
Yale’s rate of increase for tuition and room and board – the “term bill” – has declined or remained steady for eight straight years. The 2.9 percent annual rate of the last few years is the lowest at Yale since 1968, and the lowest among Ivy League schools in two decades.
Tuition for the 2000-2001 academic year will be $25,220 and room and board will be $7,660, for a total term bill of $32,880. Students pay no other mandatory fees. Tuition in the current year is $24,500 and the charge for room and board is $7,440.
Yale announced two changes with regard to financial aid, as follows:
First, under what is known as “self-help,” Yale now asks freshmen and sophomores to contribute $6,020 a year to their education through jobs during the academic year and student loans. Juniors and seniors contribute $8,120.
Yale announced today it will freeze those amounts for 2000-01, marking the first time since 1975-76 that Yale has not increased self-help from one year to the next. That step will reduce pressures on students to borrow. It is equivalent to freezing tuition for the 40 percent of Yale students on financial aid.
Second, Yale announced today that, starting in 2000-01, it will let students apply 100 percent of scholarships awarded by external organizations to reducing their self-help requirement. Previously, only 50 percent of outside funds were used to reduce self-help. The other half reduced the size of scholarships awarded by Yale.
Yale admits students from the United States and Canada without regard to their ability to pay and fully meets their need for financial aid. All grant money awarded by Yale is need-based, and an individual yearly grant can total as much as $28,000.
Today’s announcements come on top of Yale’s efforts two years ago to boost financial aid. At that time, Yale exempted the first $150,000 family assets from available resources used to determine a student’s need; raised scholarships for international students by 50 percent per incoming class; and provided supplemental scholarship support for students who engage in community service or foreign study in the summer.
As a result of the changes two years ago, the average annual Yale grant to students receiving financial aid increased to $14,300 and the overall Yale College financial aid budget increased to more than $28 million.
The changes announced today will raise the average annual grant to an estimated $15,000 and the overall Yale College financial aid budget to $30 million
Term bill charges for Yale College and the University’s Graduate and professional schools provide about 22 percent of the University’s operating revenues. The balance is provided through grants and contracts (27 percent), endowment and contributions (27 percent), medical services revenue (16 percent) and other sources (8 percent).