Experts note that while many institutions have financial aid programs, Harvard's is particularly notable due to its higher income threshold, supported by its substantial endowment of over $53 billion.

The funding for this expanded financial aid will primarily come from Harvard's endowment, the largest of any university globally.

The new policy will provide free tuition for students from families earning $100,000 or less annually, and tuition-free education for those from families earning up to $200,000.

However, experts caution that less than 1% of college students enroll in Ivy League institutions, suggesting that the impact of such initiatives may be limited.

On March 17, 2025, Harvard University announced a significant expansion of its financial aid program, set to take effect in the 2025-26 academic year.

This initiative is part of a broader trend among elite universities to improve accessibility and reduce socioeconomic barriers for talented students from lower-income backgrounds.

Parents of students, like one mother of a Black child, express hope that these changes will create more opportunities for their children in elite education.

Challenges remain for lower-income students, who may face difficulties with cultural integration at elite institutions, highlighting ongoing disparities in educational access.

Data shows a persistent racial wealth gap in the U.S., with significant disparities in wealth between white households and those of Black and Hispanic families, affecting college access.

The expanded financial aid policy aims to provide equal access to education, reduce student debt, and enhance career opportunities for graduates, who typically earn a median salary of $147,000 after ten years.

This announcement also comes amid ongoing controversies regarding the university's response to recent events in the Middle East, which have sparked discussions about diversity and inclusion in higher education.

Harvard's financial aid adjustments reflect a growing recognition of the need for universities to adapt their policies to promote equity and accessibility in education.