The "Truth in Tuition Act of 2025" mandates that colleges provide students with clear, multi-year tuition schedules or single-year schedules with cost estimates, ensuring transparency in education expenses.
Marie Gluesenkamp Perez
Representative
WA-3
The "Truth in Tuition Act of 2025" mandates that colleges provide students with clear information about tuition costs, either through a multi-year tuition schedule or a single-year schedule accompanied by a multi-year cost estimate. Colleges opting for single-year schedules must also disclose the historical accuracy of their estimates. The Secretary of Education has the authority to waive these requirements under specific circumstances. This act aims to provide students with greater transparency and predictability regarding the cost of their education.
Truth in Tuition Act of 2025: Colleges Must Show Tuition Costs Upfront, But Estimates Aren't Guaranteed
The "Truth in Tuition Act of 2025" is a new law that forces colleges to be more upfront about tuition costs. The main idea is to give students and families a clearer picture of what they'll actually be paying, helping avoid those nasty tuition surprises down the road. It's all about making sure you know what you're getting into before you sign on the dotted line. (SEC. 2)
Breaking Down the Bill
This law gives colleges two options:
- Multi-Year Tuition Schedule: Show the full tuition and fee schedule for the entire length of a typical program (like four years for a bachelor's degree). This can be shown as either a percentage increase or a dollar amount increase per year. (SEC. 2. a, b)
- Single-Year Schedule + Estimate: Provide the tuition for the next year, plus a non-binding estimate of the net cost for the following years. This estimate assumes your financial situation stays pretty much the same. They also have to tell you how much their past estimates have differed from the real costs. (SEC. 2. a, c)
Real-World Impact: Planning Ahead (Maybe)
Imagine you're starting a four-year program. Under this law, the college could either tell you exactly what tuition will be each year, or they could give you the first year's cost and an estimate for the next three. The catch? That estimate isn't a promise. It's more like an educated guess. They also must provide, with the single-year schedule, the average deviation between past cost estimates and actual net costs.
For example, if you're a construction management student planning your finances, a multi-year schedule lets you budget precisely. But if your school uses the single-year plus estimate, you'll need to be a bit more cautious. That estimate could be off, especially if your family's income changes or the college's costs skyrocket.
The Fine Print: Waivers and Loopholes
There's a safety valve for colleges. If a school is facing "severe economic issues" or has to cut financial aid, the Secretary of Education can waive these requirements. (SEC. 2. d). This could mean some schools avoid providing detailed cost breakdowns just when students need them most.
Also, remember that "non-binding" estimate? It's a potential weak spot. While the law aims for transparency, colleges aren't legally bound to those multi-year cost projections. This means that even with the best intentions, your actual costs could vary.
The law kicks in 120 days after it's enacted. (SEC. 2. e).
Bottom Line
The Truth in Tuition Act takes a step toward clearer college pricing, but it's not a perfect solution. While it pushes for more upfront information, the non-binding estimates and waiver option mean students still need to plan carefully and stay informed about potential cost changes.