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Subject: Re: Endowment Tax Bills, Best Venue for Ivy Madness Author: DeepBlue [ Next Thread | Previous Thread | Next Message | Previous Message ] Date Posted: 14:23:03 12/11/25 Thu In reply to: An Observer 's message, "Endowment Tax Bills, Best Venue for Ivy Madness" on 10:49:19 12/11/25 Thu It's not impossible that Princeton avoids the endowment tax, because it only applies to schools with more than 3,000 tuition-paying students and Princeton's recent expansion of financial aid may cause them to fall below that number - a benefit of being small relative to the other members of their very-rich peer group: https://www.dailyprincetonian.com/article/2025/12/princeton-data-2029-frosh-survey-blog-financial-aid-tuition-tax-endowment [ Next Thread | Previous Thread | Next Message | Previous Message ]

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[> [> [> Subject: Re: Endowment Tax Bills, Best Venue for Ivy Madness FREE TUITION Author: An Observer [ Edit | View ] Date Posted: 15:46:54 12/11/25 Thu DeepBlue, your point is fascinating. Think about the numbers here: Princeton could theoretically avoid paying $220 million in federal endowment tax if it can get the number of tuition-paying students down below 3,000. Like many of the Ivies, I believe that Princeton already offers free tuition, room and board to students whose familes make less than, say, $150,000 ballpark. It's free tuition only for families which earn less than $250,000. Let's just assume that Princeton currently has 3,500 students who currently pay something -- even one dollar -- for their tuition bill. It is **JUST AS CHEAP** for Princeton University to offer free full tuition to all 3,500 of those students (3,500 times $65,000 = $227.5 million) than it is to pay $220 million in endowment tax. Given that some of those 3,500 students already pay something toward their tuition, it will be far less than $227.5 million for Princeton to charge $0 in tuition. Logically, tuition at Princeton in 2026 should be $0.

[> [> [> [> Subject: Fascinating Author: sparman [ Edit | View ] Date Posted: 16:25:57 12/11/25 Thu Someone else can research the legislative history behind this particular limitation. Then again, the administration that implemented this legislation did not demonstrate elite legal skills. I hope it was not an ivy league grad who drafted it.