Where does my tuition money go?


Samer Hamadeh, Former Vault.com CEO. NYC Volunteer, Stanford Alumni Interview Program.

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A school's operating budget pays for professor salaries, buildings and equipment, scholarships, and many other parts of what it takes to run a college or university. It's rare that the tuition money received from students covers this entire operating budget. Most schools actively solicit donations (which builds up the school's endowment) and use those donations (or at least the interest) as well as investment income, revenue from other sources, and tuition in order to pay all of the bills. Ultimately, your tuition is helping to pay professor salaries but it's also helping the college or university to pay its other bills, too.

Marguerite Dennis, Higher Education Consultant

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When you’re applying to college, you may feel that asking what percentage of a school’s revenue is spent on instruction, athletics, and student services is not relevant. It is.

The allocation of resources is an indication of a school’s priorities. I recently listened to a university president tell a reporter on national television that the school’s athletic program was the single biggest revenue source, and whatever they paid the football coach was worth the money. That certainly reflects the school’s priorities. The president did not elaborate on the graduation rates for athletes or how the athletic revenue was used to make the educational experience better for all students.

I realize most students and many parents will not feel comfortable phoning the president’s office. If you don’t want to contact the president directly, ask your admission counselor to get this information for you.

Greg Power, tuition

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Basically, it depends on an organisation, a university, a school you study in. But mostly money goes for maintenance of your organisation. After all, that's not that cheap. But education isn't the only field you can invest your money in. I play casinos malaysia sometimes. There are enough different games and what I really like is you can find out all the info before playing.

Michael Klon, Money

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Chelsea L. Dixon, M.S., M.A.T, Author. Speaker. CEO.

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Where your tuition goes varies from institution to institution. However, there are certain places that the money is allocated to that is, in most cases, the same regardless of the college or university: Salaries –payment of the salaries of administrators, faculty and professors. Scholarships and awards – this includes grants, stipends and other financial awards that are given to students. Student services – activities, organizations, counseling, advising and career support services for students would be included. Operations and Maintenance – the cost to upkeep and maintain the grounds and buildings on campus such as residence halls, libraries, student centers, dining halls and administrative buildings.

Nedda Gilbert, MSW, Educational Consultant, and Author

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You asked the million dollar question, and one that has many parents scratching their heads over high tuition costs. The short answer is, after paying for professor salaries which can include attracting top talent for department heads, the money goes to the infrastructure of the school. This includes things like the cost of building and maintaining dorms, eating halls and professional kitchens, library facilities, health care, other school buildings, departments and staff. And on and on and on. Running a college, can be like running a small city - depending on the school. How well they do it, and where their priorities lay, has much to do with their operating costs which are passed down to you in tuition. That said, many schools rely heavily on their endowments to fund big projects and make unique opportunities in research available. Schools with large endowments tend to be plushier and may offer more, however this does not necessarily trickle down to relief from high tuition.

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