This is right in my lane as I have one daughter attending StFX and another starting at Queen's this fall. Thoughts and prayers for my wallet, please.
The endowment dollars per student is interesting but I'd be curious to see what the income from endowments contributes annually per student. Also, a breakdown of the total spending per student into tuition paid, endowment money, and government funding.
Not sure how it could be quantified but it would be interesting to note which faculties and degree programs produce the most productive outcomes in terms of employment related to the degree, level of income achieved by graduates and finally value returned to the community at large in terms of taxes paid on the income earned. In other words determine which programs return the most in the form of positive economic outcomes for graduates and conversely which the least.
I do understand why people are drawn to the instrumental model of higher ed. Engineers do well, as do doctors and lawyers, although the latter two require multiple degrees. But an education in humanities or social sciences may not get you a job as a humanist; however, it can prepare you for many jobs , as well as for full participation in the larger society. It is important to have a smart, informed populace. And you don’t require a uni degree to be smart or informed, but it helps.
According to my data, McGill's endowments are either $1.8 or $2.0 billion. The numbers I got for land holdings (between $2.2 and $6.0 billion) and "other assets" (between $0.7 and $1.1 billion) were wildly divergent, for whatever that's worth.
Thanks, very interesting. I liked your estimates of future operating time at current burn rates with no public income. What would that number look like for, say, Harvard? Would it even have an end date?
Despite having an insane endowment portfolio (and being a private school), Harvard apparently got around $686 million from federal agencies in 2024 - mostly in research grant funding. They also received around $50 million indirectly in student aid funding.
My guess is that their survivability would be better measured in decades rather than years. :)
But research funding does not go into operating costs excepting a stipend for infrastructure required for the research. It doesn’t pay people for instance.
Well, since we're talking about the U.S. Ivies, I just looked it up: Harvard’s on-campus research indirect cost rate for the University Area (covering Cambridge, Allston, and the Wyss Institute) is set at 69.5% for fiscal years 2025 through 2028. The same rate applied to Harvard Medical School.
I suspect that a lot of that money does go to people.
I am not sure of the point here. We should not fund universities because they could last for a couple years without it? And then we would have no universities? Universities which serve a public good?
This isn't a zero sum game. There's a great deal of space between "cut all funding" and "blindly shovel billions of dollars of direct funding and tax benefits". Without a clear picture of their true economic and operational condition, it would be impossible to properly assess the appropriate funding levels universities should receive.
The universities are currently laying off tons of people and before long will be closing departments because they bet on international student funding which has all but dried up. You are speaking here of the biggest universities. But there are many more that are in deficit. I think people should also know your data is not a zero sum game.
Without ignoring the painful human disruption that will accompany those changes to international student numbers, there is a certain irony that, with all their money, resources, and analytical skills, the best and brightest who run Canada's universities (and colleges) didn't seem to see this coming. In hindsight, it looks like a pretty big ball to have dropped.
So you can see how much income universities are losing with the new restrictions on student visas. Also grad degrees in professional schools, like engineering, are higher.
Also, the per student data doesn’t accurately speak to all that that money does, including research costs, building costs, etc, which serve a larger community than the students.
That's true. But it's also true that the numbers I used only covered direct funding. Those figures didn't include tuition subsidies for eligible students - which might be an even larger number. So if you're looking to offset government funding with social outcomes, you'll need to incorporate *all* government funding.
It's a lot more than that. The average tuition for international undergraduate students across Canada in 2024–2025 is around $40,114, while the average full-time in-province undergraduate tuition at Ontario universities is approximately $8,514. For all intents and purposes, the difference ($31,600) is covered by various governments.
This is right in my lane as I have one daughter attending StFX and another starting at Queen's this fall. Thoughts and prayers for my wallet, please.
The endowment dollars per student is interesting but I'd be curious to see what the income from endowments contributes annually per student. Also, a breakdown of the total spending per student into tuition paid, endowment money, and government funding.
Keep up the interesting work, David.
Not sure how it could be quantified but it would be interesting to note which faculties and degree programs produce the most productive outcomes in terms of employment related to the degree, level of income achieved by graduates and finally value returned to the community at large in terms of taxes paid on the income earned. In other words determine which programs return the most in the form of positive economic outcomes for graduates and conversely which the least.
I actually attempted to do just that in one of the very first The Audit posts - although that post has a U.S. focus: https://www.theaudit.ca/p/capping-public-funding-for-post-graduate
One day I hope to apply that methodology to Canada.
Would also be interesting to see a comparison with community colleges and trade schools.
I do understand why people are drawn to the instrumental model of higher ed. Engineers do well, as do doctors and lawyers, although the latter two require multiple degrees. But an education in humanities or social sciences may not get you a job as a humanist; however, it can prepare you for many jobs , as well as for full participation in the larger society. It is important to have a smart, informed populace. And you don’t require a uni degree to be smart or informed, but it helps.
Very true but today's job market seems to view a BA as a great starter degree.
Yes. The data confirms that.
And that life time income is stronger overall than for nongraduates.
Interesting, thanks. As a grad of McGill I wonder what McGill's endowment is in 2025. Any idea?
According to my data, McGill's endowments are either $1.8 or $2.0 billion. The numbers I got for land holdings (between $2.2 and $6.0 billion) and "other assets" (between $0.7 and $1.1 billion) were wildly divergent, for whatever that's worth.
Although I suppose given its private, there is no (or less) public support for the US Ivys.
Thanks, very interesting. I liked your estimates of future operating time at current burn rates with no public income. What would that number look like for, say, Harvard? Would it even have an end date?
Despite having an insane endowment portfolio (and being a private school), Harvard apparently got around $686 million from federal agencies in 2024 - mostly in research grant funding. They also received around $50 million indirectly in student aid funding.
My guess is that their survivability would be better measured in decades rather than years. :)
But research funding does not go into operating costs excepting a stipend for infrastructure required for the research. It doesn’t pay people for instance.
Well, since we're talking about the U.S. Ivies, I just looked it up: Harvard’s on-campus research indirect cost rate for the University Area (covering Cambridge, Allston, and the Wyss Institute) is set at 69.5% for fiscal years 2025 through 2028. The same rate applied to Harvard Medical School.
I suspect that a lot of that money does go to people.
It is not nearly that high in Canada R1s. Check the difference in tuition too.
Grad students yes. That is funding research assistants yes.
Thanks, yes you are probably right.
I am not sure of the point here. We should not fund universities because they could last for a couple years without it? And then we would have no universities? Universities which serve a public good?
This isn't a zero sum game. There's a great deal of space between "cut all funding" and "blindly shovel billions of dollars of direct funding and tax benefits". Without a clear picture of their true economic and operational condition, it would be impossible to properly assess the appropriate funding levels universities should receive.
Don’t assume administrators are the bst and brightest🤪
The universities are currently laying off tons of people and before long will be closing departments because they bet on international student funding which has all but dried up. You are speaking here of the biggest universities. But there are many more that are in deficit. I think people should also know your data is not a zero sum game.
Without ignoring the painful human disruption that will accompany those changes to international student numbers, there is a certain irony that, with all their money, resources, and analytical skills, the best and brightest who run Canada's universities (and colleges) didn't seem to see this coming. In hindsight, it looks like a pretty big ball to have dropped.
So you can see how much income universities are losing with the new restrictions on student visas. Also grad degrees in professional schools, like engineering, are higher.
Also, the per student data doesn’t accurately speak to all that that money does, including research costs, building costs, etc, which serve a larger community than the students.
That's true. But it's also true that the numbers I used only covered direct funding. Those figures didn't include tuition subsidies for eligible students - which might be an even larger number. So if you're looking to offset government funding with social outcomes, you'll need to incorporate *all* government funding.
I don’t think there are many tuition subsidies, except scholarships which are merit based.
It's a lot more than that. The average tuition for international undergraduate students across Canada in 2024–2025 is around $40,114, while the average full-time in-province undergraduate tuition at Ontario universities is approximately $8,514. For all intents and purposes, the difference ($31,600) is covered by various governments.