Stanford is one of the few private American colleges and universities that admit students without regard to their ability to pay, a simple principle known as "need-blind" admissions. Once students are admitted, 72 percent of undergraduates benefit from a financial aid program that requires far more explanation.
Stanford believes students and their parents have the first and primary responsibility for financing an education. Second, families should seek assistance to which they are entitled before seeking university help. This philosophy is reflected in how the university develops financial aid packages and in what they contain. Stanford considers all possible sources of assistance, including state programs, federal loan and work-study programs, scholarships from employers or philanthropic organizations, and the university's own funds.
We compute the anticipated family contribution from both parents and student based on a widely used method developed by the College Scholarship Service. (Families can make their own trial calculations at the web site: www.collegeboard.org.) Then we establish a family's eligibility for federal programs and university financial aid, making adjustments based on individual circumstances.
Stanford's financial aid awards also include the expectation that students will assume additional responsibility for their expenses through borrowing or work. That amount is limited to no more than 20 percent of the standard student budget, or $6,500 per year. Aid packages may include jobs and loans to help cover this contribution. Students who receive outside scholarships may reduce or even eliminate the loan and work portions of their aid packages. After the contribution from all these sources is calculated, Stanford makes up any additional need through grants.
Financial matters are a sensitive topic for many people, and when a child's education is involved, the emotional stakes can be even higher. Sometimes the amount parents are expected to pay (based on accumulated assets and current income) exceeds what a family feels it can afford. Under those circumstances, the family must assess its own financial priorities. Stanford does not offer grants to help meet the family contribution, but an increasing number of loans and deferred payment programs are available to help.