Harvard University recently announced that undergraduate tuition will be free for families earning $200,000 or less beginning with the 2025-26 academic year.
The university joins a growing number of institutions that are expanding financial access to higher education for families who would otherwise struggle to afford it.
The Massachusetts Institute of Technology (MIT) and the University of Pennsylvania, for example, also offer free tuition for families earning less than $200,000.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
The University of Michigan waives tuition and mandatory fees for in-state students whose families earn less than $125,000, and the University of Texas does so for families earning less than $100,000.
Many of these tuition-free offerings have strings attached, including state residency requirements (primarily for public institutions), full-time attendance and minimum grade-point-average requirements.
While a tuition-free education helps lessen the financial burden of paying for college, it doesn’t mean attending is cost-free, says Betsy Mayotte, president and founder of The Institution of Student Loan Advisors (TISLA), a website that offers free student loan advice.
Mandatory student fees, which typically cover certain administrative, service or activity costs, may not be included in the tuition waiver.
And housing, food, books, health insurance, transportation and child care might not be part of the aid package, so families have to budget for those expenses, Mayotte says.
These non-tuition expenses can add thousands of dollars to annual attendance costs. At Harvard, for example, undergraduate tuition is $56,550, but the total cost of attendance is nearly $83,000, with about $26,000 for non-tuition expenses, according to the university’s website.
College expenses outside of tuition
It’s a good idea to create a comprehensive budget that accounts for college attendance expenses outside of tuition. These may include:
- Housing and meals (on or off campus)
- Textbooks and course materials
- Computers and other technology needs
- Local transportation costs
- Health insurance
- Travel expenses to visit home
- Club or activities fees
- Personal expenses, such as clothing and household items
Most universities publish these estimated expenses on their websites to help families budget for their all-in costs.
You may be able to reduce the costs by applying for work-study opportunities and external scholarships that cover non-tuition expenses.
Your high school counselor can help you identify scholarships you qualify for, or you can look up options at CareerOneStop.org, the Department of Labor’s online scholarship search tool.
Even if your tuition is covered, fill out the Free Application for Federal Student Aid (FAFSA) form to see what other financial assistance you qualify for, Mayotte recommends.
Federal student loans can provide a safety net in case tuition-free coverage changes unexpectedly or you no longer qualify for it, she adds.
Note: This item first appeared in Kiplinger Personal Finance Magazine, a monthly, trustworthy source of advice and guidance. Subscribe to help you make more money and keep more of the money you make here.
Related content
-
I'm 54 with a $320,000 IRA and will soon be self-employed, earning about $120,000 per year. How much should I be saving for retirement?We asked financial experts for advice.
-
This High-Performance Investment Vehicle Can Pump Up WealthLeave online real estate investing to the beginners. Accredited investors who want real growth need the wealth-building potential of Delaware statutory trusts.
-
Medicare Premiums 2026: IRMAA Brackets and Surcharges for Parts B and DWill you have to pay the monthly Medicare premium surcharge next year? It depends.
-
The Savvy Way to Spend (and Enjoy) Your BonusUse your bonus to build wealth, boost savings and still enjoy a little well-earned fun.
-
Stores Open (and Closed) on Thanksgiving Day 2025From grocery stores to big-box retailers, here’s where you can shop and where you’ll find doors shut on Thanksgiving.
-
My First $1 Million: Construction Industry Product Manager, 51, NortheastEver wonder how someone who's made a million dollars or more did it? Kiplinger's My First $1 Million series uncovers the answers.
-
10 Cities Where Grocery Prices Are HighestThese 10 cities are paying up to 33% more than the rest of the country to keep food on the table.
-
Find the Right Health Plan During Open EnrollmentYou may face sharply higher out-of-pocket costs for health care next year. Use our guide to select an insurance plan that meets your needs at the best price.
-
Medicare to Cover Obesity Drugs Under Trump Deal for as Little as $50. What You Need to KnowTrump's deal slashes GLP-1 drug costs for Medicare beneficiaries and others, unlocking coverage for millions with obesity and related conditions.
-
'But It's Not My Fault!': Your Insurance Company Absolutely Will Blame You in These Five ScenariosInsurance companies care about 'fault' in more ways than you think — from payment mishaps to your neighbor's landscaping — so it's on you to manage the risks.
