Private Colleges Offering Discounted Tuition
Upon reviewing tuition costs at private colleges, a recent National Association of College and University Business Officers (“NACUBO”) survey said that only 11 percent of freshmen paid last year. Meanwhile, the overwhelming majority of freshmen at private institutions received a grant or scholarship that made up about 54 percent of the published tuition. The numbers indicate an increased use of “merit scholarships,” in which private institutions are offering bigger grants to lure prospective students. Three reasons cited for the rise in tuition discounts are psychology, economics and competition. For more on the NACUBO report , please visit Money.com. Also check out our Firm’s Education industry group for. Read More.
Penalties against Colleges for Missing Information Waived
Recent legislation is offering penalty relief to colleges and universities. In an email to tax professionals last week, the Internal Revenue Service (“IRS”) said educational institutions that were assessed penalties for tax years between 2012 and 2014 for a missing or incorrect taxpayer identification number on their Forms 1098-T are no longer on the hook. The IRS will issue a letter to any educational institution that was assessed a penalty for its 2012 tax year filing. For tax years 2013 and 2014, the IRS will not levy penalties for an incorrect or missing taxpayer identification number. More on the IRS’ decision is. Read More.
Colleges Increase Spending despite Lack of Funding
Reviewing 621 public colleges and universities, the Association of Public & Land-grant Universities (“APLU”) has released a report studying revenue and spending on a per-student basis between 2007 and 2013. Per the APLU’s analysis, public institutions in 2013 spent more per student on educational expenses than the funding they received in state funding and tuition money. On the other hand, state contributions and tuition that those institutions received in 2007 outweighed their spending. The statistics reflect a shift in increased spending at public institutions despite raising tuition and a decline in funding received. For the complete article on the APLU report , please. Read More.
The Blue Book Manual Discontinued
The Department of Education announced this week it will no longer publish The Blue Book, its guide on accounting, recordkeeping and reporting for federal student aid programs. In recent years, The Blue Book has been scarcely updated, including an eight-year gap between the past two editions. Most of the guide’s content is now part of the Federal Student Aid Handbook. For the full scoop on the manual’s discontinuation, please visit the National Association of College and University Business Officers website.
Report Says College Degree Valuable in Workforce
According to a recent study, graduates with at least a bachelor degree have taken 97 percent of the “good jobs” created from 2010 and 2014. Defining good jobs as those with median annual earnings of over $42,700, authors of the Georgetown University report said their findings confirm that a college degree is still worth the investment for students, and “postsecondary education is important for gaining access to job opportunities in the current economy.” More on the Georgetown report can be found on the Bloomberg website.
Supreme Court to Review Case on Affirmative Action in College Admissions
In late June, the U.S. Supreme Court agreed to hear its second case in three years concerning the constitutionality of considering a student’s race and ethnicity in college admissions. Beginning later this fall, the case focuses on the college admissions practices at the University of Texas at Austin, which gives justices an opportunity to limit or ban the consideration of race in such instances. While affirmative action supporters praise the Supreme Court’s decision to review the case, many legal observers are worried due to the current justices’ voting record on government policies involving race. For the full story , please visit the Inside. Read More.