For most families living in the United States, the family contribution is 25% of income over $150,000 and 5% of student and parent assets over $175,000. Costs paid for siblings enrolled in undergraduate degree programs are also taken into consideration. One family contribution is provided per student, even when the custodial and non-custodial parent information is reviewed separately.
For families living outside of the United States, the family contribution is adjusted based on cost of living.
The family contribution is the amount of the estimated student budget that is the family's responsibility to cover. This amount may result in a balance due to the University for direct costs and/or be applied to out-of-pocket expenses for indirect costs.
Princeton University's financial aid eligibility review, includes but is not limited to:
| Income: | Assets: |
|---|---|
| Wages | Cash (savings and checking) |
| Interest income | Stocks |
| Business or farm income | College Savings Plans |
| Rental income | Real estate equity (excluding the family's primary residence) |
| Child support received | Business or farm net worth and/or value based on earnings |
| Employer- or VA- provided food and housing | Trusts or estates in which the student an/or parents are beneficiaries |
| Annual contributions to retirement plans (e.g., 401K, IRA, SEP, SIMPLE) | |
| Foreign income exclusion | |
| Depreciation | |
| Business and/or property losses* | |
| Net operating losses | |
| Money paid by others on your behalf | |
| Monetary gifts from family and/or friends |
*Total business/property values should be reported regardless of the family's percentage share. The percent share is reported separately.
**Assets do not include retirement holdings or primary residence. Assets do include non-retirement investments, 529 plan college savings, student assets and investments, non-primary vacation housing and other homes
The Financial Aid Office may request additional information to accurately determine the student's need. The family contribution is meant to cover the billed expenses as well as non-billed transportation and miscellaneous expenses.
New Methodology
| Income | Total Family Contribution* |
|---|---|
| 150,000 | 0 |
| 200,000 | 12,500 |
| 250,000 | 25,000 |
| 300,000 | 37,500 |
| 350,000 | 50,000 |
*Average Family Contribution by Income based on families with assets less than $175,000, residing in the United States with one child enrolled in college.