MIT to Allocate Record $103.4 Million Next Year to Ensure Affordability

Published in MIT News on March 6, 2015

Undergraduate financial aid budget to grow 8.8 percent; tuition and fees will rise 3.75 percent.

MIT undergraduate financial aid 2015-16Underscoring its commitment to preserving broad access to MIT, the Institute will allocate $103.4 million next year to ensure affordability for its 4,500 undergraduate students — the first time MIT’s annual financial aid budget will exceed $100 million.

For the 2015-16 school year, the undergraduate financial aid budget will grow 8.8 percent, while undergraduate tuition and fees will increase 3.75 percent. The figures were announced today at a meeting of the MIT Corporation.

The sharp increase in the Institute’s financial aid budget reflects the commitment of an added $3.2 million to reduce what students are expected to contribute to their education through work and loans.

MIT’s $103.4 million budget for undergraduate financial aid next year is a dramatic increase from the $30.5 million spent in 2000 — a sustained rate of growth that far exceeds that of tuition and fee increases during the same period. For students with family incomes under $75,000 a year, MIT will continue to guarantee that scholarship funding from all sources allows them to attend the Institute tuition-free.

“MIT provides most of the financial aid its undergraduates receive,” says Dennis Freeman, dean for undergraduate education. “Next year we will have $103.4 million available to award in need-based scholarships that do not need to be repaid. This represents a significant increase in our financial aid budget, which will not only cover the increase in charges, but lower the net price for all students with financial need.”

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