Cost-Based Tuition & Need-Based Aid

The current strategy for funding most faith-based schools requires subsidy to underwrite the cost of the school. This subsidy often comes from a sponsoring religious group such as a church, parish, or synagogue. In addition, fundraising efforts ranging from magazine sales to auctions further offset the cost of the school. The net effect artificially lowers tuition and creates a false sense of how much it actually costs to educate a child in your school. It's not unusual for parents to think their tuition is your cost.

The current strategy also provides equal subsidy to everyone, not taking into consideration the actual need a family may have for tuition aid. And when scarce tuition aid is distributed, it's often on a first-come, first-served basis, with minimal analysis of actual family need.

In short, religious group funding and fundraising dollars are locked up in subsidy to the school rather than being devoted to actual family need.

Today, more and more school leaders are coming to realize that there must be a better way to set tuition and provide financial aid. Cost-Based Tuition / Need-Based Tuition Aid offers just such a way. The Cost-Based concept encourages school leaders to do three things. First, determine the true cost of education and calculate the actual cost-per-pupil. Second, establish your cost-per-pupil as tuition. And third, convert current subsidy and fundraising dollars to need-based tuition aid.