Truth in Tuition Act of 2025
The Truth in Tuition Act of 2025 would amend the Higher Education Act of 1965 to require colleges and other institutions of higher education to provide clear notice of tuition levels to students. For each student admitted to an undergraduate or graduate program, institutions would have to offer either a multi-year tuition and fee schedule or a single-year schedule plus a nonbinding, multi-year estimate of net costs after financial aid, assuming the student’s and family’s income, assets, and circumstances are constant. The multi-year schedule may show any level of annual changes and must display year-by-year costs for the normal duration of the program. If an institution uses a single-year schedule, it must also include the average deviation between previous year estimates and actual net costs. The Secretary of Education can waive these requirements if meeting them is not practicable due to distress or other appropriate circumstances. The requirement would take effect 120 days after enactment. The bill seeks to promote transparency in tuition and net costs to help students and families plan financially.
Key Points
- 1Notice requirement: institutions must provide either (A) a multi-year tuition/fee schedule or (B) a single-year schedule plus a nonbinding, multi-year net-cost estimate after aid.
- 2Multi-year schedules: may include any size of year-to-year changes and must show costs for the normal duration of the program on a year-by-year basis.
- 3Single-year option: if used, must accompany a multi-year net-cost estimate and include the average deviation between prior-year estimates and actual net costs.
- 4Waiver provision: the Secretary can waive the requirements if they are not practicable due to severe economic distress, substantial reductions in aid, or other appropriate circumstances.
- 5Scope and timing: applies to undergraduate and graduate programs; effective 120 days after enactment.