OpenIDEO is an open innovation platform. Join our global community to solve big challenges for social good. Sign Up / Login or Learn more

Forbes Ranking of College Financial Fitness

A look at the financial management metrics that guide the financial and pricing decisions of colleges.

Photo of Jim Rosenberg
9 6

Written by

Forbes ranks the financial health of colleges in the US. They lay out a set of metrics that can be helpful in understanding how a college thinks about its financial position and its financial goals. How they are thinking about tuition as a percentage of revenue, yield rates, discounting, financial surpluses, and other measures leads (at least in part) to the tuition costs we see for the four year bachelor's degree. 

Forbes Ranking of College Financial Fitness


What is a provocation or insight that might inspire others during this challenge?

Colleges are businesses that are looking to keep the doors open year to year, just like any business. The financial health of these institutions drives critical tuition decisions.

9 comments

Join the conversation:

Comment
Photo of Kevin Mathis

This is great information. Thank you, Jim. It is important to note that only private institutions were included in this Forbes study. I did some research to understand the differences between public tuition growth rate and private tuition growth rate over the years.
From trends.collegboard's statistical analysis I learned that public tuition growth rate has been consistently higher than private for much of the last 30 years, however the growth rates increase and decrease in similar fashion over time. Keep up the good work, Jim!

Photo of Jim Rosenberg

Kevin, this is great additional information. I didn't realize public college tuition has been rising faster than private. I wonder if the pressure to cut public financing of universities (and public funding in general) over the last couple of decades is the culprit here, forcing public colleges to raise tuition as we've taken away the public subsidies. (No research here, just a moment of speculation)

View all comments