Recent Trends in MIT Student Financial Aid, Loans and Student Employment

By Alice Waugh, Communications Officer, Student Financial Services

Betsy Hicks, executive director of Student Financial Services, noted several highlights and trends in financial aid, loans and student employment for 2006-07 in her annual Report to the President. The reports are submitted in the summer and will be compiled and posted online at http://web.mit.edu/annualreports. You can see more statistics for undergraduates on the “MITGO” page of the SFS web site at http://web.mit.edu/sfs/financial_aid/mitgo_undergrad.html.  

  • Tuition, fees and other major Institute charges continued their upward trend, increasing 6% to $425 million.

  • Overdue student account receivables continued to decrease, dropping 40% to $1.5 million.

  • Education loan receivables also maintained a steady decline as MIT’s role as a lender diminishes. The education loan portfolio fell 6% to $52.5 million. The MIT Technology Loan for undergraduates required no capital, whereas the MIT education loan for faculty and staff borrowed $4.7 million from the Institute.

  • The total undergraduate price (the amount charged to students, not the actual cost to MIT of educating them) climbed to $190.7 million; family share remained at 54% and the share covered by financial aid stayed at 46%.

  • 90% of MIT undergraduates receive need-based and merit-based financial aid, including scholarships/grants, loans, and employment from institutional, federal, state and private sources.

  • 76% of all aid dollars for MIT undergraduates comes from the Institute, 15% from the federal government and 9% from private sources.

  • The average MIT scholarship rose 8% to $25,200.

  • 59% of undergraduates are receiving a scholarship from MIT.

  • Fewer undergraduates are borrowing and the total amount borrowed has dropped, although the average loan rose by $45.

  • Departing from the previous trend of increased graduate student borrowing, last year 9% fewer graduate students borrowed than the year before. The total amount borrowed went down by 11% and the average loan was 2% lower.

  • Fewer undergraduates are working, but they are earning more. Total student employment earnings increased 2 percent and the average annual earnings per student increased 11 percent, but the number of undergraduates working decreased 8 percent.

  • The number of graduate students on the Institute’s payroll decreased by 2%, but the total amount they earned was up by 10%.

  • 17% of MIT undergraduates come from the lowest two income quintiles – families earning less than $45,000 a year. The comparable percentages were 14% in 2006 and 15.5% in 2005.