A new US law significantly raising the endowment tax for wealthy private universities is leading to hiring freezes, staff cuts, and potential reductions in student financial aid. Institutions like Harvard, Yale, and Stanford are most affected, facing millions in additional tax liabilities. Experts warn the burden could reduce access for lower-income students. The tiered tax system, signed by President Trump, applies to private universities with large per-student endowments and at least 3,000 students, as reported by the Associated Press.University endowment tax hike is costing students, not just colleges: Here’s why it matters more than you think
A new US law significantly raising the endowment tax for wealthy private universities is leading to hiring freezes, staff cuts, and potential reductions in student financial aid. Institutions like Harvard, Yale, and Stanford are most affected, facing millions in additional tax liabilities. Experts warn the burden could reduce access for lower-income students. The tiered tax system, signed by President Trump, applies to private universities with large per-student endowments and at least 3,000 students, as reported by the Associated Press.
