Unlocking Opportunity: The Major Bill Aiming at Expanding University Endowments for a Brighter Future

President Trump’s “Big, Beautiful Bill” recently passed in the House. This bill aims to change how large, private universities are taxed, hitting a topic that many believe is long overdue.

Many universities have been criticized for not serving the public interest. Instead, they’ve been accused of promoting views that shut down conservative voices. Tuition fees have soared, far outpacing general inflation over the last 25 years. According to recent data, the cost of higher education continues to rise, though at a slightly slower pace than before.

The House Ways and Means Committee made it clear: This bill aims to hold elite universities accountable. They argue these institutions function more like corporations, taking unfair advantage of their tax-exempt status.

To put things in perspective, only about 37.7% of Americans hold a bachelor’s degree, as reported by the U.S. Census Bureau. This means the majority of people are indirectly supporting wealthy graduates through tax breaks.

Inez Feltscher Stepman from the Independent Women’s Forum summed it up well: the burden caused by student debt should not fall on taxpayers who didn’t attend college. Instead, the focus should be on universities that have profited while overcharging both students and the public.

If the bill makes it through the Senate and is signed into law, the tax on endowments at large universities could rise significantly. For endowments exceeding $2 million per student, the tax could hit 21%. Some foundations might see an increase in taxes, but public universities and certain religious institutions could be exempt.

As a Harvard graduate, I have fond memories of my time there. However, I noticed the atmosphere was not always friendly to conservative viewpoints. Recently, journalist Christopher Rufo highlighted concerns about discriminatory hiring practices at Harvard, which further raises questions about these institutions.

Despite these issues, Harvard remains one of the wealthiest universities globally, with an endowment of $53.2 billion—more than the GDP of many countries. Just this year, top investment officials at Harvard reported earnings of $26 million. With such resources, Harvard could provide free tuition to students from lower-income backgrounds for many years.

The debate about university funding, especially regarding large endowments, is ongoing. It highlights broader societal questions about fairness and access. Many people are calling for change in how universities operate and are funded.

As we look to the future, it’s essential to consider how universities affect society as a whole. The changes proposed in this bill could be a crucial step in addressing long-standing issues in higher education.

For more on this topic, you can check out the U.S. Census Bureau’s statistics and Mark J. Perry’s analysis on tuition trends.

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Congress,Harvard,Taxes,Universities