University Of Texas Promises Free Tuition To Students With Families Earning Less Than $65,000

University Of Texas Promises Free Tuition To Students With Families Earning Less Than $65,000

The board of Regent at UT Austin decided to create an endowment of $160 million for students with families earning less than $65,000 yearly.

With the gradual rise in the tuition and fees charged by colleges, getting an undergrad degree seems to be near impossible these days for low - and middle- income families. However, amidst such limitations, the University of Texas flagship campus in Austin has now decided to make affordable education arrangements for students whose families earn less than $65,000 per annum, reports CNN.

Expanding its financial aid policy, the University of Texas System of Board of Regents has collectively approved the decision to create a special endowment of $160 million for financial support. 



The announcement which was made on Tuesday also indicated that the money will be generated from the state's Permanent University Fund and will be effective in the fall of 2020. With Chairman Kevin Eltife and Chancellor James B. Milliken leading the decision, we can now expect a brighter future for the students.

The officials further revealed their expectation of the allotted amount to easily cover the complete expense of a student's college fees. This program will also concentrate on outlining new financial fund to assist UT-Austin going students whose families earn just $125,000 yearly if they produce required documents supporting their claim to be in need. 



"Our main focus at the UT system is our students. That's it, that's what we're in business for is to provide affordable, accessible education for our students," explained the board chairman Eltife.

Elaborating on the requirement of a fund like this he continued, "We all know the struggles that hardworking families are having putting their kids through school. What we've done here is repurposed an endowment into another endowment that will provide tuition assistance to a lot of the working families in Texas."



In addition to that, he said, "Recognizing both the need for improved access to higher education and the high value of a UT Austin degree, we are dedicating a distribution from the Permanent University Fund to establish an endowment that will directly benefit students and make their degrees more affordable."

Acknowledging its benefits, Eltife said, "This will benefit students of our great state for years to come." This initiative plans to cover the tuition charges of about 8,600 undergraduate students, say reports.



According to US News & World Report, the University of Texas-Austin campus which ranks 15th among public schools has nearly  41,000 undergraduates under its wing. So, the number of students they plan on helping does seem quite good.

Moreover, the additional alleviation of huge amounts of fees for families earning  $125,000 annually does help quite a lot. As per a 2017 report by theU.S. Census Bureau, the median household income in Texas was calculated to be $59,206.



Appreciating the Board of Regents recent investment decision, the President of UT Austin, Gregory L. Fenves said, "I am grateful to the UT System Board of Regents and Chairman Kevin Eltife for prioritizing students and investing in the future of our great state."

He added, "Chairman Eltife understands that college affordability is one of the most critical issues affecting all Texans. Thanks to his leadership and the boardโ€™s action, this new endowment will go a long way toward making our university affordable for talented Texas students from every background and region."



This is now regarded as one of the largest financial aid allegiances which could assist undergrads all around Texas including the pupils in their first-year through fourth-year and transfer students. Until now, the University was providing free education to aid students with families earning $30,000 a year. Of course, the regent's vote received critical acclaim as it would effectively improve the rate of affordability of higher education among students with low-income families. "There is no greater engine of social and economic mobility than a college degree, and this initiative ensures that more Texans will benefit from a high-quality UT Austin education," said Chancellor Milliken.



"The use of Permanent University Funds to invest directly in students demonstrates the strong commitment of the Board of Regents and UT Austin to the values of public higher education," continued Milliken.

The Permanent University Fund now stands at an impressive $31 billion which includes royalties from oil and gas investments on the state-owned land situate in West Texas. This amount is only second to Harvard University, according to Bloomberg



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